For many homeowners, the decision to sell via a short sale comes only after a stressful period of concern, confusion and sometimes even fear. Once the research is done and options are weighed, homeowners will proceed to list their properties. And even though homeowners whose only viable option to avoid foreclosure is selling are definitely eager to sell, the process takes an emotional toll.

There is more uncertainty that comes along with short sales. A lot can happen from the time the initial short sale package is turned in to the seller’s lender to the time the seller receives the written short sale approval: Among other things, a buyer can get impatient and walk away; the lender’s loss mitigation department can lose or misplace important paperwork even after it’s been faxed repeatedly; the lender can deny the short sale altogether.

With so much out the seller’s hands, many feel they have no control of the transaction. But they do. Short sale sellers may not be able to do anything about what their lenders and buyers do, but they have complete control of many aspects of the sale. One of the aspects in which sellers can impact the short sale process is in determining how their property listings are managed and how much leeway they will give their listing agents to do their jobs efficiently.

Taking care of their responsibilities to the best of their ability is the most short sale sellers can do to ensure successful closings and move on to those fresh starts. Furthermore, mishandling any of those could easily lead to short sale denials and eventual foreclosures.

Top 5 Seller Property Must-Do’s For Successful Short Sales

  1. Include the property in the Multiple Listing Service (MLS)- The MLS is the most powerful tool used by real estate agents today to connect buyers and sellers. It is a database that holds the information regarding available real estate inventory. For sellers, having their property listed in the MLS means significantly more exposure to a pool of buyers, which creates demand. Increased demand leads to quality offers from qualified buyers and, as a result, faster closings. Sometimes, homeowners feel exposed by allowing their agents to include their property in the MLS, especially when selling through short sales. However, in the interest of a quick sale, it is usually best to add the property to the system as soon as possible. Including the property in the MLS is also a great way to show good faith to a seller’s lender keeping in mind that the lender will (hopefully) be granting a significant mortgage discount to accommodate the sale.
  2. Have a For Sale sign on the property- Not having a For Sale sign on display is probably the number one request I get from my short sale sellers. Oftentimes, they feel embarrassed and are concerned with what their neighbors will think without realizing they have plenty of neighbors who -in that moment- are going through the same experience. While it is not absolutely necessary for a successful sale, a prominent For Sale sign will enable potential buyers driving through the neighborhood to spot the property and submit offers. I always advise my sellers who are reluctant to allow me to put one up if they can bear it.
  3. Give plenty of access to the property- It’s very important for listing agents and selling agents to have access to a property. After all, the property is the product we’re selling. Serious buyers will want to see the place for themselves to determine if it is a fit. If a property cannot be available for showings all day, then a consistent showing schedule that includes some mornings, some evenings and at least one weekend day would be very helpful to allow agents to schedule appointments around the seller’s desired showing times.
  4. Prep the property for showing- Presentation and curb appeal are very important. A dry or uncut lawn, a messy kitchen and last week’s laundry scattered about will take away from your property’s appeal. I urge my sellers to tidy up on showing days if they can make the time. Clearing living areas of as much clutter as possible, putting dishes away, taking out the trash and watering the lawn are all great ways to make a property inviting without going too much out of your way. The ultimate goal is to make a buyer feel at home… literally.
  5. List with an experienced short sale listing agent- Short sales are no joke. They are complicated transactions. And while it’s true that everybody either knows a real estate agent or is related to one, it is in every seller’s best interest to find one who specializes in listing and negotiating short sales. Chances are their short sale approval depends on it.

Just so you know:

I list and negotiate short sales in Orange and Los Angeles Counties in the beautiful state of  California. However, I am happy to answer any questions regarding anything having to do with saving your home. So, feel free to drop me a line!

Filed under: Short Sales

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