Short selling your home in today’s market is still a long, and often frustrating process. Although short sales make up a fraction of all real estate sales in Miami, the process of getting them approved has not improved.
We were working to get two short sale properties approved (as of this post’s date). And we’ve been at it for almost a year.
DO NOT let this post discourage you from short selling if you are out of options. My point here is to shed light on expectations as a short sale can indeed be accomplished.
Cons of Short Selling Your Home In Today’s Market
- Short sale departments will ask you for the same paperwork again, and again. And the longer it takes to process the short sale, the more often they will ask since they need to get updated info.
- Expect to be asked for paperwork piece by piece. In other words, instead of being asked for three documents at the same time, you’ll be asked for one paperwork today, and next doc a month from now, and so on.
- How about accessibility to whoever is managing the short sale on the lender’s side? Patience. Have lots of patience since they can be tough to reach.
Tips To Short Selling Your Home In Today’s Market
- No matter how much you may be underwater (owe more than what the property is worth), price the property at fair market value.
- Get a buyer to pay you fair market value and plans to stick with you thru the process. Ask for reasonable escrow amount up front just like if it were a regular sale.
- When the lender’s short sale department asks you for paperwork, be quick to supply it.
- Short sale departments will also ask a Realtor for updated contracts, etc. Make sure the agent you hire is on the ball.
- If you hire an attorney to help you with the short sale, make sure they are referred. Many great attorneys understand the importance of being quick to respond during a short sale process to minimize delays. So make sure you do not hire a rock star that may put your file at the bottom of the pit.
Is Short Selling Your Home In Today’s Market a Viable Option?
Absolutely! On average, we sell several short sales per year (there isn’t may out there). Ofter, the process is long and tedious. But doable.