I attended a short sale seminar on August 9 in which Hank Lopez, Countrywide Mortgages’ Assistant Vice President of Home Retention spoke of their short sale recommended proceedure for real estate agents.

The following is the documentation that Countrywide would like to see from the seller with each short sale request:

  • Explanation of the hardship
  • One month income verification
  • One month bank statement

Real Estate Information:

  • Purchase agreement

  • Estimated Net sheet

  • Listing agreement 

Countrywide will then do an anlysis of the following:

  1. The customers ability to participate in the loss.

  2. Purchase price.

  3. Current value of the home from a Countrywide Appraisal.

  4. Ultimate gain or loss compared to the REO process.

Average short sale process takes about 60 days from the time the offer is received. 

TIPS:

Send in comparables and MLX history to justify purchase price.

More than likely even if it’s only one week before foreclosure sale, Countrywide will stop foreclosure to look at a short sale offer if it makes sense on the HUD or Net Sheet.

Countrywide will pay up to 6% real estate commission if there are 2 agents involved.

Hope this helps because I think we’re going to see a lot more of these with so many of the variables readjusting soon.

Look for my A,B,C’s,of the Foreclosure Process on my next blog.