Chicagoland short sales are on the rise. However, having worked with many homeowners on short sale transactions we are fully aware of how lengthy and frustrating this process can be – mostly due to the lenders’ incompetence and lack of cooperation. Today however, due to overwhelming market changes, banks and lenders have become much more negotiable when it comes to short sale transactions. Recent changes in corporate policy and the Obama administration have also improved the chances of getting a short sale approved. New HAFA regulations, although still in the early stages of being applied, will definitely make things much easier for everybody involved in this type of transaction.
Make no mistake however as one thing remains the same. You, as the distressed homeowner, have to associate yourself with a team known for being short sale experts and for understanding your local Chicago area. Having the right realtor and negotiating company is the key to a successful short sale transaction. That is exactly what you’ll get when you decide to work with Andrew Filipowski and his team of short sale experts.
Below let us show you how we differentiate ourselves from other self-proclaimed Chicago short sale specialists by going step-by-step through the whole process. And remember, our whole service including a short sale is absolutely free to you.
Before you even have to talk to anyone, you have an option of reviewing several publications and getting educated on the topics of short sales, foreclosure, etc. by accessing the Resource Library on this website. You will have a better understanding of these subjects when it comes to the initial consultation.
At the first meeting (or phone conversation), once we learn more details about your situation, where you live in the Chicagoland area, and the stage of foreclosure you’re in, we will advise you on all your available options. Whatever you decide, whether it be a short sale, foreclosure, etc., it is going to be an educated decision and we will help you to make it happen.
If you wish to avoid foreclosure setting your mind on a short sale and we determine that you are eligible for this option, we will discuss with you all necessary steps that we have to coordinate in order to have a successful short sale. Your full cooperation is extremely important. Our goal is to stop foreclosures, not encourage them.
The next steps may vary depending on the fact whether you go through HAFA program or regular short sale. In a regular short sale, most likely you would need to have a solid sales contract signed before we can start negotiations with your lender. Under the HAFA program you can go the same route, or you can be approved for a short sale in advance, even before you have a buyer. That speeds up the whole process and makes things easier for all involved parties.
Lenders require all short sale transactions to be handled by experienced realtors. The property has to be properly marketed and listed on the MLS. Therefore, for our next step we would have to view the subject property and sign the listing agreement.
At that point we will determine the marketing and pricing strategy and get a better understanding of the Chicagoland neighborhood in which you reside. Pricing a short sale at the right levels and the subsequent price reductions are the single most important factors in getting a contract and having your short sale approved. And again, your cooperation in making the property available for future showings is essential. Working together as a team, we CAN help you avoid foreclosure.
Although the whole process is still in the early stages, we will supply you with the list of documents required by your lender in the short sale negotiations. It is a great idea to have them prepared in advance, so we have everything in order when the offer comes and the negotiations with the lender begin. If you are eligible for HAFA and you want to speed things up, we would have to start on your short sale pre-approval right away.
This is the area where you can distinguish a true professional realtor from a rookie. A rookie will put the listing in the MLS and that’s where his marketing ability ends. Unfortunately that would considerably hurt the short sale process and bring you much closer to the unwanted foreclosure sale. We will not only pick the right pricing strategy but we will use multiple options to promote the property.
Putting ads in the paper, distributing flyers, mailing post cards, having a sign in front of the property, utilizing free info line – that’s important and we do all that. But we also realize that huge majority of transactions initiate these days on the Internet, and that’s where we direct most of our resources. Your property will have the best in the industry virtual tour and unique video distributed all over the web. We use advanced SEO techniques and Pay-Per-Click advertising for our services. And due to our syndication agreements your property will be seen on hundreds of real estate sites. That is exactly how the properties are being sold these days and unfortunately most agents are still way behind in this process. We believe that an aggressive marketing strategy will not only sell your home faster, but can help you stop foreclosure from becoming an option.
Finding a buyer is one thing but finding the right buyer who is willing to go through this complicated and lengthy short sale process and in the end is able to secure the loan and actually close the transaction – that is really a hard task to achieve. We have seen short sale deals handled by other agents that fell apart after months of negotiations because the buyers were not properly checked and instructed about the whole process.
Once we get an offer for your property, we put in place several riders and addendums to the contract. And definitely we check the buyer’s ability to obtain the loan. We also sell your house in as-is condition, so you are not responsible for making any repairs before the closing. All these techniques applied at that point will highly increase the chances of the buyer staying with the deal to the very end.
This is a crucial step in the short sale process. Collecting all the necessary paperwork and persuading the lien holders to accept the short sale are extremely complicated and time-consuming activities. They should be conducted by an experienced negotiating company. Most agents use other attorneys or title companies that have no adequate resources for this purpose or they may even take on this job by themselves. Re/Max City uses a renowned company that has been negotiating short sales for years and employs several highly qualified and experienced negotiators. This company has closed more short sale transactions than any other company in the state of Illinois. You will be in good hands.
Among many factors that decide on a successful short sale approval, the BPO (Brokers Price Opinion) is probably the most crucial and underrated. A ‘typical” agent sets up an appointment and lets the appraisers for the bank enter the property on their own. That is a huge mistake that could kill the whole short sale. We personally accompany every BPO and we supply them with all necessary comps to support the selling price. We make sure that the property appraises below or at the contract price, otherwise the lender might ask for more money and that might make the buyer walk away from the short sale deal – putting the homeowner at greater risk for foreclosure.
Another aspect of keeping the buyer around for as long as necessary to close the deal is making sure they are continuously informed about the progress of the short sale. Again, most agents tend to lose contact with the buyer’s side after the contract is signed. Some buyers have no patience to wait for weeks or even months and they disappear in the middle of the process. On the contrary, we follow up about the progress with the buyer’s agent on regular basis. We want this buyer to be still around when the lender’s approval is issued.
Once we have the lender’s short sale approval and the buyer has secured the loan, we are ready to close. You will have an option to be represented by an experienced attorney who specializes in short sale transactions. And as mentioned before, legal fees, commissions, closing costs, etc. will be paid by the lender. You will not be charged for any of these items.
We hope that at this point you realize how important it is to pick the right professional to guide you through this complicated process. Give us a call. WE KNOW SHORT SALES.
