PennyMac Mortgage Short Sale Application, Forms And Packages

Finding The Right Agent

It is very important that you select the right person for your short sale process  because although the short sale is a common process but still there are a very few professionals in the market that can properly deal with the situation. if you have not been able to figure out where to turn to we have got a team of professionals nationwide. Click here to request a call from a short sale pro or call 888-934-3444. 

Get The Property Listed!

Getting your property listed is another important step to do so that your property gets a fair review. Lender will not allow you to just take an offer to them. You may be asked for documents such as the MLS Listing and MLS History as a proof that the short sale has been properly listed.

You can not proceed to next step until you have completed this step properly and the Listing Agreement will be amongst the first of the documents required to get your short sale going.

What is a short sale?

In real estate when the offered amount for a property is not enough to pay off all the debts taken against the property then such a sale is called as a short sale. For any lender it is not possible to review your application untill you have an offer for the property. The lender will take an interest in what is the net amount that you will make them in the end once all the closing costs have been deducted from it. This includes past due taxes, non-recurring closing costs, attorney fees, settlement fees, title fees, and anything else that may apply.

Find The Right Buyer For Your Short Sale

Strong Short Sale Buyers

The most important quality of potential buyer is patience. A potential buyer willing to wait is better when compared to an all cash buyer or even the buyer whose offer is more than others. Your broker is required to interview the potential buyers to make sure they are a good fit. Broker representing the buyer is as important as the buyer

Previously Approved Bay view Short Sale

It has been often been seen advertised by agents that their previous short sale with PennyMac Mortgage was approved successfully but this is to mislead. Even if previously all the terms were met and approved still they will need to make a full review.

Submiting Your Short Sale Package to PennyMac Mortgage To Get The Process Going.

What is in the PennyMac Mortgage Short Sale Package?

All the lenders usually require sam documents. Following is a list of documents usually demanded by the lenders: a listing agreement, a purchase agreement, proof of the buyer’s ability to perform such as proof of funds or a prequalification letter from the buyer’s lender. That’s only the beginning.

As a short sale seller they also require you to provide your financial information such as a monthly budget, your tax returns for the last two years along with a 4506t to show the returns were actually filed, pay stubs or proof of income like a profit and loss, bank statements, reason for requiring to do a short sale, and a hardship letter.

Getting The Right Value Goes A Long Way.

To figure out whether the person is eligible for the short sale or not the lender will complete a valuation, Valuation is usually completed by a broker by comparing the properties similar to the property in question which are either currently listed or have been sold within 3 to 6 months. They consider the homes perceived condition, the size of the living space, the size of the lot, how many stories it has and whether or not it has a pool.

Market conditions and how fast homes are selling in the area will also be considered. There are many factors they take into consideration.

Short Sale Appraisal Values

It is important for the investor for which PennyMac Mortgage is working to complete a valuation as they are already facing a loss. Sometimes it is important for the investor to get a deeper view for this they will get an appraisal. Appraisers have specific licenses that are to determine the fair market value of properties. Some investors such as Fannie Mae (FNMA) complete two appraisals. The type of value completed varies from lender to lender and investor to investor.

Filing Value Disputes and Variances

It is a common occurance that sometimes a value returns too high and it can happen to both rookies and experts. Sometimes it just so happens that the agent makes a mistake and compares properties that have nothing in common because he/she is not from the area. So, all of your hard work and meeting with the broker or appraiser does not matter in the end.

PennyMac Mortgage’s Short Sale Time Line Coming To An End.

At this time the undersigned will have to decide whether you qualify and to send your file to the investor or not. Usually there is an auditing process before submission to the management and if approved there is often another auditing process that occurs before an approval letter is issued.

PennyMac Mortgage Counters Short Sale

A counter or rejection may be issued at your short sale application at that time. Special skills are needed to compete with either of these situations acquired only by experience . Anyone can get the easy ones done but it’s the difficult transactions that seperates that experts from the wannabees.

Short Sale Escrow.

If you ever came across a  typical escrow a short sale escrow will look very much similar. The typical escrow process will start after all the debt holders have given their approval. Title search must have been issued by now to ensure that all the interest holders in the property have been properly addressed.

PennyMac Mortgage Issues Short Sale Extension

What If you have not been able to complete the short sale process and the approval letter expires? We get this question all the time and to be honest, there is not a simple answer to this. It depends on the lateness of the mortgage, whether the value they have expired and many other details. If you need more time to see what we are able to get approved with PennyMac Management consult one of our professionals. Results may vary greatly but the best part of our services is we only get paid if the transaction successfully closes (we are generally paid from the real estate commission awarded to the agents involved and paid out of PennyMac‘s net).