Short Sale Process

If you are a seller needing to do a short sale , you will need to gather the following information which is considered your Short Sale Package for your lender(s): 

• All lien holders names and contact information
• All loan numbers
• 2008 and 2009 W-2s - or the tax forms that you filed if you do not get W-2s.
• Last 2 Month’s Bank Statements
• Proof of Disability or Unemployment or Job Transfer (if applicable)
• Hardship Letter - this explains why you want to short sale and why the bank should allow you to short sale

In addition, The Marley Team will contribute:

• A Third Party Authorization Form - this will allow the bank to discuss your short sale with us.  Some banks have their own form; others will accept any form.  We will get you the appropriate form and send this off as soon as we sign the listing agreement with you.
• Listing Agreement - this will include a Comparative Market Analysis of the property to justify the list price

Once we have your Short Sale Package together, the next steps are…

1. List the property for sale – Some banks want the property listed for the amount that is owed first, and they will be willing to drop to a more realistic price after a period of time.  Others will allow us to determine the list price from the beginning. The Marley Team will find out your lender's preference.

2. Receive and ratify a contract – Some banks want one contract at a time; others want to see them as they come in.  The Marley Team will find out your lender's preference.

3.  Send Contract and Short Sale Package to Bank - The Marley Team will send all paperwork to the loss mitigation department and get proof of receipt.

4.  Be patient - The time it takes for The Marley Team to receive a response to the submitted offer from the bank can take 10-90 days depending on the lender. These steps will need to be done for each bank that is involved and each bank has their own process. Some banks that are in 2nd position (2nd trust/mortgage) will only start processing their short-sale after they’ve received written short-sale approval from the 1st trust. This means that the overall short-sale approval process may take twice as long with two trusts/mortgages.

5.   Offer approved by bank - Once The Marley Team receives an approval letter from your lender(s), escrow begins. From here, the sale process is identical to a regular sale.