WHAT YOU NEED TO KNOW FOR A SUCCESSFUL SHORT SALE:

1. There are no guarantees. Not all short sales receive lender approval.
2. The first mortgage holder may say “yes” but the second mortgage holder may say “no”. Or visa versa. If that happens clear title cannot be conveyed.
3. The lender may require the seller to sign a promissory note for the deficiency. And the seller may not agree to their demand.
4. The gross real estate commission rarely exceeds 6%, are usually 5%, and I’ve seen it as low as 4.5%.
5. Approval, if granted, typically takes from 2 - 4 months from initial request to closing.
6. For those buyers obtaining a mortgage, rates and terms may change during the lengthy short sale approval process. A buyer who was qualified at contract signing may not qualify by the time closing is scheduled.

A COMPLETE SHORT SALE PACKAGE CONSISTS OF:

• An authorization letter allowing Sarasota Title Services to communicate with the lender on the seller’s behalf. 
• A hardship letter clearly explaining the events which lead to and reason for the short sale request
• Income Documentation consisting of most recent two years W-2’s, most recent two years income tax returns (all schedules and pages) and last two pay stubs. If unemployed provide unemployment documentation &/or termination letter. 
• Asset Documentation consisting of two most recent bank statement(s), and any other asset accounts such as money markets, stocks, bonds, etc.
• Detailed monthly expense report/finanical statement 
• Sales contract and listing agreement
• Broker’s Price Opinion
• Estimated HUD-1, which Sarasota Title Services will prepare
• The loan number must appear on every document sent to the lender
• A denial letter from an institution documenting that the owners have attempted to obtain financing to pay this loan in full.  (Helpful and may speed up the process but most loans are submited without.)