How do you work with a real estate agent who gives you Short Sale leads? What type of partnership/agreement do you work out? How much do you give to the agent?
Once a bank approves a short sale offer, do they give you… say, about 45 days to close the deal? At this point, what do you all do to quickly find a buyer? What if you can’t find a buyer?
Anyone with experience in these 2 areas … please share your thoughts… thanks.
I would also like to hear the answer to this question. Thanks
This is personally very frustrating for me. Short sale gurus… pay me and become rich!.. only seem to focus on finding short sales and negotiating with the bank. Now, make no mistake, I truly don’t know what they teach because I learned OJT, but that is the impression I walk away with.
But the truth is that finding qualified buyers… or making qualified buyers out of unqualified buyers… is hands down the toughest part of this gig. I could have… easily… a dozen owners under contract every week. And negotiating with the bank is not much more difficult… it’s just a learning curve.
But finding qualified buyers, now, THAT’S tough, for me at least!
How do you work with a real estate agent who gives you Short Sale leads? What type of partnership/agreement do you work out? How much do you give to the agent?
Let the agent handle the paperwork, help work the deal, and pay the commission, just like a “normal” deal.
Once a bank approves a short sale offer, do they give you… say, about 45 days to close the deal?
They’ll give you whatever the terms of the contract were that were approved by both parties (being you and the bank). If it’s 45 day closing, then it’s 45 days.
At this point, what do you all do to quickly find a buyer? What if you can’t find a buyer?
You advertise for buyers. You can always find a buyer. If you’re asking what if you don’t find a buyer before you close, then you close on the deal and market the property some more.
Raj
Let the agent handle the paperwork, help work the deal, and pay the commission, just like a “normal” deal.
This works for you? You don’t give the agent any share in profits? Because the agent already has the listing, by giving me the short sale lead the only value added to the agent is that I would help him sell the home quicker at a discounted price. Your agents are okay with this and don’t ask for a percentage of your profit?
What type of paperwork/contract should I sign between the agent and myself to show that we’ll be working together and so and so?
Thanks.
Have you actually spoken to an agent yet about this?
If the agent has the listing, it is their goal to sell the property for the owner. By ‘giving’ you the lead, they are simply trying to do the job that they were hired to do, hence the commission.
In most states, if an agent were to receive any percentage of this deal over and above the agreed commission, then they’d most likely be charged with ‘excessive profits’ or something similar, then heavily fined and/or have their licenses revoked.
You may or may not be ‘working’ together with the agent. The agent is a seller’s agent simply offering you the opportunity to make an offer on one of their listings. Now, if you want them to be a buyer’s agent for you, then they’ll have the paperwork to sign for that, too.
Raj
Thanks Raj, I’m still new to this, so I tend to over complicate things.
Your insight really helps