Mortgages & Creative Financing

Negotiating a Short Sale Is Like Eating a Chocolate Bacon Cupcake

Expertise:
79 Articles Written

Recently I came across a recipe for a dark chocolate bacon cupcake. When I saw the recipe, I did a double-take. What the heck is this? What is it gonna taste like? Breakfast and dessert all in one? I cannot for the life of me imagine what this thing is going to taste like when I put it into my mouth. I imagine that it’ll be something like the stick of chewing gum that Violet Beauregarde began chewing in Charlie and the Chocolate Factory . . . you know, the one that tasted like a 3 course meal: tomato soup, roast beef, and blueberry pie.

Want more articles like this?

Create an account today to get BiggerPocket's best blog articles delivered to your inbox

Sign up for free

Just as I wouldn’t know what to expect in the exotic flavors of that cupcake, I never know quite what to expect when working on a short sale. Today I had a seller from Oceanside, California contact me about selling his home in a short sale. He asked me some questions about the length of the process, the impact on his credit, and whether the bank will accept his hardship.

In the last four years, I have negotiated more short sales than I can count. Each one is its own animal. With each successful negotiation, I have always been surprised by the new and interesting ways that the “bacon” has mixed with the “chocolate.” Will the transaction move quickly or will the paperwork get lost between the fax machine and the bank’s database?

What I can say is this: my experiences have taught me to be an expert strategist. I can anticipate what will probably occur, and use leverage, contacts, and experience to obtain the best result possible for the client. But can I predict what flavor will be in Violet’s gum or how that cupcake will taste? Not with 100% accuracy! Same goes for the short sale: you never know how it’s gonna turn out.

Photo: flickr creative commons by clevercupcakes

    Bob
    Replied about 8 years ago
    I agree that no two short sale transactions are alike. We do many ourselves and find that each one has it’s own set of variables. The investor rules, the strength of the negotiator, the quality of the BPO, the accuracy of the seller’s financial…. The only thing we can do is make sure that we do a great job up front to prepare our client and to make sure that the information being submitted by the seller is complete and accurate. Reply Report comment
    Bob
    Replied about 8 years ago
    I agree that no two short sale transactions are alike. We do many ourselves and find that each one has it’s own set of variables. The investor rules, the strength of the negotiator, the quality of the BPO, the accuracy of the seller’s financial…. The only thing we can do is make sure that we do a great job up front to prepare our client and to make sure that the information being submitted by the seller is complete and accurate.
    Mark
    Replied about 8 years ago
    The reason behind the short selling process being so different each time is that there are too many variables incorporated. The lender will probably be the first one. I know that it could be very frustrating some times, but i think they are worth the time. Thanks Melissa; M Mark Reply Report comment
    Mark
    Replied about 8 years ago
    The reason behind the short selling process being so different each time is that there are too many variables incorporated. The lender will probably be the first one. I know that it could be very frustrating some times, but i think they are worth the time. Thanks Melissa; M Mark