Jun 12, 2008

Negotiating a short sale with the lender

I have an agent who has been trying to close a short sale transaction for 3 months. The agent has encounter the trials and hurdles that are a part of a short sale transaction. No responses, lost documentation, new people handling the case, delays, delays and a sense of non interest from the lender. To make matters worse, with this short sale there is a first and second mortgage.

So on Monday this agent walks into my office and says, the second mortgage holder is not agreeing to $1000.00. They will not agree for anything less than $3500.00. AND the first mortgage holder says they will not approve the commission as agreed per the listing contract with our seller.

My agent asks, What's my next step?

My answer: Tell them no. No you are not taking less. If they are not interested in allowing this sale to go through and would rather foreclose, then please let you know so you can inform the buyer and seller.

The very next day the first mortgage holder accepted the deal with the commission as per the contract and agreed to the $3500. for the second.

Related Florida real estate views:

Real estate agents would be wise to pick short sales over long sales.

Short sales may be an option to some homeowners

Is it really short sale business or no business at all?


- Greg Staker - Watson Realty Corp. - 407-304-0255

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