Even with the end of moratoriums and stimulus packages implemented to offset the economic impact of COVID-19, the danger of foreclosures returning could still be on horizon. Will the real estate agent community be prepared to not only understand the coming short sale market, but to leverage it toward growing their business?
Both new and experienced agents should embrace the fact that the complexity of conducting a short sale has grown exponentially since its peak over ten years ago. First, the typical profile of a distressed homeowner has changed. Stringent lending guidelines minimize the number of homeowners borrowing more than they could afford and owing more than the home is worth that dominated the previous default cycle. Today, pandemic-related loss of household income plays more of a role in homeowners falling behind in mortgage payments. Second, third parties involved in a distress property transaction – lending institutions, mortgage servicers, title / escrow – have added more documentation and procedures that more effectively mitigates losses and liability associated with properties in or near default. Today’s agents are ill-equipped to manage anxious homeowners’ expectations while negotiating with entire departments created for the sole purpose of recouping as much of the outstanding loan balance as possible.
This necessitates the need for agents to engage a short sale negotiator to coordinate activities between the homeowner, the agent, and all external parties. This platform needs to deliver transparency and real-time information on the status of all transactions for all stakeholders in the short sale process. The minimum requirements of a short sale platform include:
- Transparency–equal access for all parties to view all aspects of the transaction
- Document management and access — a centralized system that captures the initial hardship letter and all supporting documents for review and approval
- Milestone tracking — a checklist of the fundamental steps in the short sale workflow — short sale package creation, offer acceptance, short sale approval, close of escrow — and parties responsible for each activity
Apex Resolution’s ShortSales Plus platform incorporates these elements and more. Developed by short sale negotiators who have successfully managed thousands of short sale transactions, ShortSales Plus creates a streamlined, organized workflow that oversees the transaction from the first interaction with the homeowner to recording of the eventual sale. Both homeowners and agents can monitor the negotiator’s progress from the time the homeowner submits all documentation. What’s more, this amazing platform allows agents to control how much oversight Apex has throughout the cycle of the short sale — either turnkey or advisory solutions based on the agent’s preference on how much interaction is preferred with the client.
Your time is better spent working on growing your business. More time to grow your business. Agents can devote more time prospecting for new business rather than spending in some cases up to a year negotiating with lenders. Consult with one of our Apex Resolution specialists today on how ShortSales Plus can help you for the next cycle of short sales.