Franklin American Mortgage Short Sale Application, Forms And Packages

Finding The Right Agent

One must consider this step very important as you are going to select the right professional 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. We have got a great team of professionals nationwide if it is still doubtful for you where to turn to. Click here to request a call from a short sale pro or call 888-934-3444. 

Get The Property Listed!

The next important thing you will have to do is get your property listed by working with an agent 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?

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. Any lender iss not in a position 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 Franklin American 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 Franklin American Mortgage To Get The Process Going.

What is in the Franklin American Mortgage Short Sale Package?

Usually lenders demand following list of documents  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.

In order to know whether the person is eligible for the short sale or not the lender will complete a valuation. A broker completes Valuation 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

An agent will give an opinion called a Broker’s Price Opinion (BPO) to the lender.The reason why the lender will need to obtain is because they are already taking 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 professionals and experts. Sometimes 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.

Franklin American 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 management 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.

Franklin American Mortgage Counters Short Sale

Rejection of your short sale application may occur at that time. Someone with special skills are needed to compete with either of these situations. Such skill can only be acquired 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/traditional escrow  a short sale escrow will look very much similar. The escrow process will start after all the debt holders have given their approval. Title search is issued by now to ensure that all the interest holders in the property have been properly addressed.

Franklin American Mortgage Issues Short Sale Extension

One question that we keep on getting is what If short sale process has not beeen able to complete and the approval letter expires ? To be honest, there is not a simple answer to this. It depends on 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 Franklin American Mortgage’s 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 gernerally paid from the real estate commissions awarded to the agents involved and paid out of Franklin American Mortgage’s net).