Did you say your Realtor is too timid? In this business..especially in these times timid is for the birds! You need a Realtor what will work for YOU and be aggressive enough to get answers and negotiate on your behalf to save you time and money!
Did you sign the latest "Short Sale Addendum"? If so, did she remove some of the wording from it to protect you? This document basically states that you have agreed to wait 45 days for 3rd party approval (the Banks approval) and after waiting 45 days you can cancel the contract within 5 days without penalty. See if you are within your rights to cancel and move on. Even if you have past this time period there are ways to get out of the contract. Speak to a professional on these ways.
Is the property still listed as available for others to make offers on it? (This is a problem if so)
Has the Sellers agent submitted competing offers along with your offer to the bank? (This is a problem if so)
Did your Realtor educate you on how the short sale aka LONG sale process works?
How many banks are involved in the short of this property?
Has a negotiator been assigned to the file?
As suggested by my fellow Realtors, schedule an appointment to speak to the Broker and express your concerns with your present Realtor. Sadly not all Realtor are created equal with the level of education, experience, drive, and care for Buyers and Sellers!
When you are ready to work with a true professional, don't hesitate to call me. As an aggressive Top5 agent I'll be happy to get the job done right! If I don't have the answer, you better believe I'll GET IT!
Normalina Martin, ABR, SFR, e-PRO
Real Estate Consultant
Now that we're rapidly approaching the April 30th deadline to have a "binding" contract, the supply of homes that can actually give you a legally "binding" contract are dwindling. A short sale contract "contingent" on lender approval may not be considered a "binding" contract by the IRS.
Keep your contract on the "pending short sale" with the other Realtor (as long as you have the right to cancel) and immediately find another Realtor (or stay with your existing Realtor, even better yet) to show you ONLY "approved" short sales, bank owned and regular sales. Make sure to disclose to the new Realtor (if you decide to discard your current realtor) that she may not ever get paid because you have a "pending" short sale contract with another Realtor and if the lender approval (demand letter) arrives before you find another property you may decide to continue buying that one. Also tell your new Realtor to make sure there is not a "negotiator fee" you will have to pay on any of the "approved short sales" she shows you--unless you're okay with paying $1,500 to $2k on top of your normal closing cost. If you're getting an FHA mortgage, I'm not positive but I don't think you would be allowed to pay the extra "negotiator" fee.
Hopefully you'll soon get the approval letter for the contract with your previous Realtor and all of this discussion will be moot. I hope that's the way it works out for your previous Realtor.
Lastly, short sales are full of trickery and even the most astute, well experienced and well educated Realtor cannot know all of the tricks surrounding Short Sales. On April 5th there are new "required" procedures going in place with GSE mortgages (Fannie Mae and Freddie Mac) so hopefully the Short Sale process will be greatly improved.
Go over each item. The biggest problem that clients have with Realtors is unmet expectations. That goes BOTH WAYS, by the way.
It may be that you have a new agent, in which case I like the idea that you ask to speak with her broker about having a new agent assigned to your case.
The truth is that you need a plan that will help you achieve your goals. Your goals need to be realistic and achievable. Ask for a second opinion. Is what you are trying to accomplish workable?
Sometimes new Realtors are unable to acertain what is achievable, and what is not.
I am glad that we are in agreement that the home purchase is important enough to put feelings aside and hire the best agent for you.
I don't think you mentioned if you have actually had a face to face meeting with your agent expressing all your concerns.
For me personally, I think I would rather have someone approach me with their concerns about my performance, as difficult as that may be, than find out after the fact that I fell short in my performance. You may actually do your agent a favor because it could lead to her being a better agent due to your honest feedback.
I really hope everything works out for you.
Maybe for the right person, agent is a match. But I'm on a mission to buy a house and I myself (incase it hasn't become clear) am a go getter. I needed a bulldog of a agent to fight for what is best for me...to advise me of things I am not aware of...and to coach me into making a sound investment. At this point....I'm thankful for my hours of HGTV learning....and google, because without them I would not even know how to "advise" my agent. At this point I will wait and see what happens with this shortsale. Nearly 100% confident that even though agent says "the house is yours"......something won't come together.... If it closes--peace. If not....I am ending that relationship and finding a new agent. Next agent will be spoiled since I'm now used to doing all the work!! haha
Although I would love to hear your agent's side of things, I wonder- why is it that people go into the largest purchase of their lives and act as if they have no responsibility in hiring a real estate agent that they can work with?
Don't get me wrong, as a new agent myself I cringe at what you are saying about your agent. My broker works very closely with me in every transaction I am involved in. I am honest with the people who hire me about being relatively new and tell them that they get 2 for the price of 1: my enthusiasm and time and my broker's experience. I also happen to work in a very supportive office where agents will always lend their help, if needed.
So here you are, a newbie yourself, in a short sale situation, with an agent you have no respect for.
Agents are as variable as...well.... people are. And so are the offices and brokers they work for.
Please, the next time you need an agent, spend the time interviewing. As you probably now know very well, it can make a huge difference in your home buying situation. I can't imagine going into such a huge purchase without full confidence in the person hired to guide you through this.
I know that I didn't help you with anything. I really have nothing more to offer that is better than the twenty something answers you've already received. Its just that I hate to see somebody in this situation, having an agent they really don't feel comfortable with, buying a house and feeling somewhat scared and alone.
It should NEVER be like that and a few hours of meeting and interviewing agents (and ideally their brokers) would have saved you and countless others from being in a situation like this.
You are very welcome. I have some more questions....
Why oh why would you continue with a "realtor" who is unprofessional?
Was she a friend of a friend of a family member?
Sadly most buyers and sellers stick with a person who has been referred to them. One must truly do their own home work on who this "professional" is.
Would you stick with a doctor who's watching you bleed to death? NO!
Think of it this way...your Realtor is causing you to bleed to death! As graphic as that sounds...this is what is and has been happening to you from day one it sounds like!
I'll toot my own horn here and say that ANYONE who is referred to me (which is where 98% of my business comes from) will receive top notch service because my name as well as the persons name is on the line! I respect that they have trusted me with their closest friends and family members to help them with one of the LARGEST financial decisions most people make in their life!
Frustrated, the bottom line it sounds like to me is....find a Real Estate professional who will stop the bleeding and help you feel better and cured in no time!
Feel free to e-mail me Normalina@OrlandoYourHome.com or call me at 407-760-0767 and I'll be happy to help!
Normalina Martin, ABR, SFR, e-PRO
Real Estate Consultant
THANK YOU NORMALINA! (and apology accepted Gay) :)
My points exactly. Now Alma....I'm not disagreeing with you that everyone deserves to be compensated for their work....however, I do not think my agent has done much work. Let me provide a few more details.
I am a first time buyer folks. Yup....newbie...so I was hoping for some guidance with my trusty "real estate professional."
Here is the amount of work I have had to put in....
In the 3 months working with my agent, I have requested them to set me up on a drip campaign to receive MLS listing updates and homes within my slated criteria. I sent her all the details (price range, bed/bath, square ft, etc and 3 zip codes I was interested in) I have still not received one listing from my agent.
On the homes I have submitted offers for....I found every single one, by scouring the MLS myself, then sending her the MLS number and requested a showing. All she had to do was look in her system for showing instructions. On my offers.....I had to request comps to help me come up with a fair offering price. ONLY on the first one did her broker send me comps. (isn't this something that agents should know?...my client wants to make an offer---I'll send the comps so they know what homes in the area are selling for..) The other 5 offers I was left scouring Zillow, Trulia and the internet for recent sales.
Many of my communication went unanswered from my agent. (can I see this home? MLS#.... Agent: sure....I'll look it up tomorrow). After a follow up I email to tell agent that one has now sold...
In response to Normalina's questions:
Is the property still listed as available for others to make offers on it? (This is a problem if so) -YES!! still active on the MLS and not even a notation as to "accepting BACKUP offers only"!! I have pleaded with my agent about this....agent's response..."don't worry,...you're first in line." First in line??? I'm not playing dodgeball.
Has the Sellers agent submitted competing offers along with your offer to the bank? (This is a problem if so) THANK YOU!!! I requested an addendum to the shortsale contract which my agent seemed to think was ridiculous. I am FINE with them taking backup offers...but I do NOT want any other offers sent to the lender.
Did your Realtor educate you on how the short sale aka LONG sale process works? Somewhat...agent said max of 60 days....I know better, and am prepared for 3-4 months of nothing.
How many banks are involved in the short of this property? I asked if there was 2 mortgages and my agent didn't know....
Has a negotiator been assigned to the file? I'm going to guess no. In either case...my agent doesn't know....
In this particular home where seller signed my contract (shortsale) I made the offer before even seeing the property because I knew my agent wouldn't act fast enough....(and she sat on my offer...I had to urge her to submit the offer....then the sellers agent tried to sit....and I had to advise my agent that the listing agent was probably waiting for multiple offers and to tell her to submit the offer to the sellers immediately. Which she FINALLY did and it was accepted by the sellers).
So it feels like I'm having to do a majority of the work here...and my agent opens the door.....
I 1000% agree that YOU should not be the expert here..that is my clarification on "above your pay grade" statement
Not meant as a diss but more of a support of your frustrations and how YOUR agent should be your advocate and have set down all these expectations for you and guided you thru the pot holes so you don't remain.....
"Frustrated" but could change your screen name to
"Happy New Homeowner" in Orlando. We like that much better for you.
Not all agents are created equal and I want to always give the benefit of the doubt and not to beat up on an agent that has not been able to defend their side, with that said...while you may be RIGHT I know for sure
YOU have Rights and you should exercsie them to your fullest. Many here have advocated for you in similar ways and we hope you do well with the varied advice. First try to work it out with your Realtor and Broker as suggested and again my apologies for any miss communication as to your dedication and hard work on your own behalf , just sorry you had to go through the process in this way.
Wishing you Well
There are some agents who think that by getting their license they know what they are doing. We are experiencing never before situations with REO's and Short Sales. I have dedicated the last three months just to learning the business. In that time I have acquired 2 designations, Certified Distress Property Expert (CDPE) and Short Sale and Foreclosure Recourse (SFR) from the National Association of Realtors(R). Does this make me an expert?, not by any means, does it show my dedication and commitment, I would hope so. My point is it is very important to get to know the real estate agent before engaging in any commitment and/or transaction. That being said, TALK TO THE BROKER.
We are all glad you are seeking advice, and help. The Broker may be the best place to start. Call a meeing with the Broker, agent and you to discuss your frustrations. Sometimes the agent IS the Broker that can be problematic when you want to get help. If that is the case, then you need to consult an attorney to review your current contract and advise you.
This is not about the long and short of a short sale. It is about you working with an agent that you have lost confidence in. You need to find out exactly where you stand with this short sale contract. Hopefully you and your escrow funds were protected. There is a standard short addendum that your agent has access to thru our Realtor association. Hopefully it was used. It gives a standard 45 days for the bank to respond to the offer. Buyers should be wary of signing an open end short sale contract without the benefit of an expiration date of the banks time to approve this. These dates can always be extended or adjusted.
Great forward progress has been made with short sales of late but if this property has a first mortgage AND a second mortgage or other attached lien you may never get this approved by the banks or lien holders. It is these other secondary liens that are the hold outs. This should have all been explained to you. This is generally speaking and not always the case, each case can be very different but there are some issues that should be explained to you upfront.
After 6 tries you may want to consider a change of agency and leaving the short sale process behind. You may feel much less frustrated in the end.
Try a Broker meeting, if that fails have an attorney review your contract for ways you can end this and save your escrow and if that fails or works (either way ) consider shopping around for new representation which is your right. Inform all parties of all your actions and decisions as you move through this. Finally try and locate a property that may have a better chance of closing BEFORE the April deadline for the government tax credit. I hope you can work it out with your agent and/or have a better experience in the future. Do remember and be aware it is difficult for many not just the "new" agents. Very confusing for all of us. Education and communication and experience helps...look to an agent has these. Best of Luck and I hope this helps.
I know on short sales, I get discouraged. I've sat for months waiting, and called and called and called and never got the response my buyers wanted. There was nothing really I could do; they were frustrated, I was frustrated!! I was tired of calling them and saying.. sorry.. nothing today..
Plus, the whole time my client was insiting upon seeing other houses all the time, but wouldnt back out of the short sale. We finally withdrew the offer and proceeded on other properties and the client was more satisfied with a bank owned property.
Imagine having 6 clients with 6 short sales, and not hearing anything on any of them! That makes for an aggravating day. Maybe your agent is not knowledgable, but maybe it's just that she can't get any information out of the bank, or the other agent. Definitely figure that out! You shouldnt have to answer your own questions- that's for sure.
I do think addressing your concerns is a better way to go, and definitely talking to the broker to see what his/her opinion would be on the situtation and what the next step would be to take to get you into the house you want!
Once you are out of this situation I suggest you find an agent more to your liking but at least for now I would not have her put in anymore contracts on your behalf. If she has put in all 6 offers what if all 6 accept your offers then you might be in a position to have to close on all 6 homes so I am not sure she is giving you good advice.
Johnny, ain't that the truth!
Frustrated, you're nowhere near as frustrated as I would be as your agent. Not that you aren't justified, but pursuing short sales is incredibly frustrating, and, it's becoming increasingly clear, often not worth the bother.
Let us tell you that, as real estate agents, we're used to putting deals together. With a short sale, we're essentially taking your side of the bargain down the shore, placing it on a raft, and waiting for the radio operator to call back with news. Seven times, she's been down to the dock on your behalf. The entire process is frustrating.
But if you think your agent is uneducated about the process, what do you expect from your first-time agent? Some special insight as to getting these deals closed? Probably not. Experience? Guidance? Wisdom? Support? These are not the qualities of a rookie. Rookies have Enthusiasm, Energy, Availability - positive traits, but not the ones on your shopping list.
There's a reason that more and more agents are refusing to work with buyers on short sales. We're pretty much guaranteed to be showing you homes for six to twelve months, the search doesn't end when you've gotten an offer accepted, and pretty much all we get to report to you is, "I don't know, I haven't heard anything."
Oh, and the banks still try to cut our commissions. Bless you, Fannie!
If you have submitted an offer buyers agent would represent you on that transaction HOWEVER we instruct our buyers although you submitted an offer best keep pushing forward with search, in some instances it can take many offers working with bank secure a property for a family or investors, in other instances we have immediate response.
If you are low balling offers you wont' receive a response from lender
Many lenders if they don't like your offer won't even respond.
Not to mention she was going to let the SA hold on to the offer for a few days before submitting it and I had to beg her to call and tell her to submit it now......
I guess I'm irritated and just have to deal with this....
John Forrester-27 years experience
I hope this helps! All the best to you!