I HAVE TO SELL MY HOUSE, BUT OWE MORE THAN I CAN SELL IT FOR. 
WHAT DO I DO??? 

Several months ago, I teamed up with my good friend, fellow associate broker, Bob Chapman, Windermere Real Estate/Lake Stevens  

(http://www.washingtonrealestatepage.com), to be of service to sellers whose homes were likely to sell for less than they owed in mortgages and fees, otherwise known as short sales. Bob is a seasoned short sale specialist who is hired by his clients to list their homes (typically in Snohomish County where his office is) and act as negotiator with the lienholders. We agreed to work together in partnership serving clients here in the Seattle area. As a team, I concentrate on marketing your home while Bob keeps his eye on the contractual end of things.

Why is this important to you? Short sales are complex, time-consuming, often stressful transactions. Unknowns and surprises are the norm. Having an experienced team to both guide you with the most successful pricing and marketing strategies, formulated to yield the quickest offers possible, while protecting both your interests as seller and ultimately those of the lienholders, is of paramount importance. You need not be overwhelmed.
 

SHORT SALE – GETTING PREPARED

Much of being prepared to list your home as a short sale is about paperwork and process. Here are some simple, though possibly time-consuming steps you will need to take. 

• Hardship Letter – Signed hardship letter explaining what caused you to fall behind on your mortgage payments (we can provide a sample).
• Pay Stubs – Copies of the last pay stub (2) for each customer on the mortgage. Also include proof of additional income such as Social Security, pension, disability, child support, alimony or rental income. (Concerning the latter – include a copy of the lease agreement or written letter from the tenant confirming the amount of rents paid) If you are using a property management company, they may provide you with this information, too.
• Self-employed? – If you are self-employed, provide a copy of your year-to-date profit and loss statement, along with a copy of the business tax returns.
• Complete a detailed financial disclosure form – (available upon request)
• Bank accounts – You’ll need to provide copies of your last two months worth of statements for all accounts including checking and savings.
• Liens – A statement identifying any liens or judgments on the property.
• Taxes – copy of last year’s tax return.

When you have listed, these following documents will also need to be prepared: 

• Copy of the listing agreement.
• Copy of your purchase and sale contract
• Copy of the estimated net sheet (net proceeds), including closing costs and realtor’s commission. (You may assume this to be a negative sum in a short sale)
• Copy of pre-qualification letter from Buyer’s lender/mortgage broker. 

With depreciating property values having been the norm since 2007, many home owners may be “up-side” down. While I advocate for finding ways to hang on to your home, if at the end of the day, selling is your best option, then Bob and I are here to make that process as stress-free, seamless and expeditious as possible.