Am I Missing Anything For A Short Sale??

Foreclosures, Short Sales, Tax Foreclosures
1

Based on the list below, does it look like I have everything?

Also where do I get all teh information for the HUD 1? Is it best to leave this for a title co to fill out?

Is it a requirement to list the property?

If I include on buyers line " and or assigns" will this get kicked back?

Cover Letter
Authorization to Release Information
Sellers Hardship Letter
Seller’s Financial information –Supporting Financial Information:
2 years w2’s
2 months pay stubs
2 months bank statements
Supporting Hardship info – for example HOA liens, medical statements, disability statements
Repair Estimate for the property – if you can develop a relationship with a contractor for this it adds credibility
Comps for the property
Purchase Contract
Net Sheet/ HUD-1

2

The HUD1 does not have to be done to perfection, but if you have a relationship w/ an escrow person they can do the first one for you.

The property does not have to be listed, but many times you are asked, so you have to have a quick response or address that in your hardship letter… ej. “I could not find any realtor to list the property because of the repairs needed and high loan to value…”

I would not have and or assigns -

Your list is almost complete, but I suggest you ask the bank to fax to you a short sale package to see what else they may need.

3

Thank you.

4

Oh one more question?
I’m glad you brought the package up. Do I contact the servicing company or the originator of the loan?

5

everything goes to the service provider for the loan. Make sure your comps are in a clear and concise BPO format. Keep the value as you can with the given comps. This is the key factor in determining whether they’ll take your offer. I also agree with everything Silvio said. Nicely done!

6

"Authorization to Release Information "

Is this the same form used in a refinance?

The refinance version is a " borrowers authorization" form.

???Or would this be in the short sale package.

Just trying to line my forms up and create my own packet for every ss.

7

The FIRST step is to fax a “Letter of Authorization” to the loss mitigation dep for the 1st (and 2nd) lien holder (banks). This form must be signed by the borrower, I posted a copy of the form I use, (you can do a search to find it) authorizing you to speak in behalf of the borrower . Allow 1-3 days for them to input your name in their system, then you may call to start the process. And to answer your question, many lenders will fax this form as part of the package, but not always, but most will accept your forms as long as they have all the same info. Good luck.

8

Thanks Sillvio.

Question: can’t you fax the authorization letter and payoff at the same time? That’s how we do it as a refinance. I know this is different, but in order to ask for a payoff we always need a payoff request and borrowers authorization form filled and signed and we send it in at the same time.

Then I guess the second call would be for the short sale requirements?

just trying to save time and use my skills as an LO.