We know that statistically 70% of all foreclosure homes are never listed with an agent prior to being foreclosed on. We also know that 1 in every 6 homes are behind on their mortgage. So the next time you drive out of your neighborhood count every sixth home and you can guessimate how many people in your neighborhood are behind.
So you know that your neighborhood is behind and they tell you that they are going to be listing their home for short sale because they spoke with their mortgage lender and that’s only option left other than foreclosure. You are the trusted neighbor, what advice can you give them? There are several things as all agents not the same.
Here’s a list of several questions that should be asked prior to listing your home:
1.) How many homes have you sold this year as short sales?
This lets you know if they are experienced – Average agents sales 5 to 7 homes a years.
2.) How many homes did you sell last year?
Are they new at short sales or have they been doing this for a while
3.) How many homes do they currently have listed and how many are Pending Bank Approval
This will show you if they are busy and how they are managing their workload
4.) Do you have your do everything in the transaction or pass it off to an attorney once you have an offer?
THIS IS A BIG QUESTION THAT I WILL EXPLAIN NEXT
5.) Do you have our own short sale package or do you use an attorney or Lender package?
Again, if they are an experienced Short Sale Agent, they will have their own documents so they will know exactly what is needed by the mortgage lenders in order to get the short sale through.
6.) Have they ever worked with your mortgage lender?
This should not be a deal breaker, but is always helpful if you have a smaller mortgage lender and the agent has worked with smaller mortgage lenders before.
7.) Are they a REALTOR ® or just a Real Estate Agent?
REALTORS ® abide by a code of ethics and are less likely to jeopardize their position within their local board of REALTORS ® or State and National Boards.
NOW BACK TO QUESTION 4
If an agent passes off the short sale to a local attorney after they receive an offer, this should be an area of concern. We believe when the agent gives the file away to an attorney’s office, they lose control of the file. They don’t know what is going on with the file unless the attorney’s office tells the agent. If the agent is working the file themselves; then they will always know what’s going on. The listing agents have a fiduciary responsibility to represent the sellers, if they aren’t working the Short Sale file, then you can’t protect the sellers to the fullest.
As a Seller who is already stressing because the mortgage lenders are calling continuously, take the time to protect yourself and find the right listing agent to represent you not just take another listing for their stats.
