www.americashomerescue.com512.261.9200 provided by america’s home rescue

Short SaleMastery Trainingfor Real Estate Professionals

www.AmericasHomeRescue.com 512.261.9200

Provided by America’s Home Rescue

America's Home Rescue~ Short Sale Mastery Training for Real Estate Professionals ~

Copyright © 2013 America's Home Rescue, LLC

Your Instructors…

Licensed Realtors

Over 45,000 Agents Trained Nationally

2008 & 2009 NAR Trainers

Founders of the CDRS, CSSBR, and CDRCS Short Sale Mastery Certifications for Real Estate Professionals

Michael & Stacy Spickes

Speakers: Broker Agent Speakers Bureau


5 Keys to Successfully Closing Short Sales: 1) Knowing the proper Step-by-Step Process, depending on the type of loan that you are shorting. The process for shorting an FHA loan is different than the process of shorting a VA or Conventional loan. So knowing the proper steps, and the order of those steps, is critical.

2) Knowing what components each of the Lenders require for their Short Sale Package, getting a copy of the Lenders Short Sale Package in a timely manner, and then submitting that Package, in its entirety and in a format that will get the banks attention, meet their requirements and ultimately get you an approval.



5 Keys to Successfully Closing Short Sales: 3) Knowing what the Lenders have to “net” in the Short Sale. All Lenders have a bottom-line amount or percentage that they have to “net” in the transaction. Knowing that net is absolutely imperative for you, the Agent, to know so that you know where to price the property in MLS, so that you generate an offer that will be both quick, but also sufficient to meet the bank’s net requirements, cover all of your clients closing costs, as well as cover all the commissions at closing.

4) Knowing what terms the banks will and will not approve in your Buyer’s Purchase Contract.

5) Establishing your credibility and your rapport with those Loss Mitigation Reps at the banks that will get your Short Sales approved and closed.


Buyer’s Closing CostsWhat are the general rules regarding getting closing costs covered for a Buyer in a Short Sale? Whether or not any Buyer’s closing costs can be covered in a Short Sale depends on two things:

1. What type of loan the Seller has, and

2. What type of loan the Buyer is bringing

What type of loan does the Seller have?

FHA VA/Conv.

What type of loan is Buyer bringing?

FHA VA/Conv.

Typically, the max allowed is 3% of Sales Price and Buyer must be

offering at FMV.

Max 1% of Buyer’s Loan

Amount

None!!



Obtain Lead

Closing

Bank orders Appraisal

Qualification via Phone

Listing Appointment

Acceptance into Program

SS Package to Lender

Active in MLS

Contract Submitted

Approval

Active in MLS

Contract Submitted

Bank orders Appraisal

Contract Approval

FHA VA & Conventional


Step-by-StepShort Sale Process

Knowledge = Mastery = Success



The Lender Net ThresholdsFor FHA, VA, and

Conventional Short Sales


FHA VA Conventional

What does the Lender need to net at closing?

88% Day 1-30

86% Day 31-60

84% 61+ Days

88% +/-85%

(Based on Percentage of the Current Market Appraised Value)

% may be lower inHigh-Foreclosure Areas




Short Sale Math:Your Strategy for

Determining List Priceand Lowest Offer based

on Loan Type



Short Sale MathStep-by-Step Process

1. Establish Net to Bank or “Foundation”

2. Factor in Miscellaneous Expenses/Fees

3. Factor in Commissions and Closing Costs

4. Negotiation Buffer

Math Scenario

$250,000

X .86

$215,000

+ $1,000

+ $1,500

$217,500

/.92

$236,413

/.97

$243,724

Market Value

Lowest Offer

MLS List Price

FHA Seller IncentiveProperty

Taxes



Ready to take your training to the next level?

Register at www.AmericasHomeRescue.com/MAR

Short Sale Mastery for Listing Agents

MAR Special Pricing with “MAR” Coupon Code:

$247(Regular Price: $397)


www.americashomerescue.com512.261.9200 provided by america’s home rescue

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