a MARS provider is subject to the regulatory authority of the Consumer Financial Protection Bureau (CFPB), Federal Trade Commission (FTC), and state regulatory agencies. Some states require a mortgage lender, servicer, or broker license to offer loan modification services.
Some states may not offer an exempt of attorney's for a mortgage license.
Under the MARS rule, an attorney is exempt against the up-front fee rule and has other requirements.
Experience matters and full disclosure of their services through a written agreement is required under the rule.
Rick Bell - Realtor
Licensed in Kansas and Missouri
Better Homes and Gardens Real Estate Kansas City Homes
11150 Overbrook Road, Ste 150
Leawood KS 66211
I have been doing short sales since the late 1990s.
Any real estate transaction should be handled by a professional. That saying the SELLER will be hevaily involved with all the documents that need to be submitted again and again.
Don't trust your short sale to just ANY agent, especially one claiming to be an expert after taking a weekend training class.. Experience is everything. Check out -
In today's market, the banks want to see the properties listing with a Realtor so they know it is being offered to the masses. I know of investors who negotiate their own short sales but for the most part, these properties are located in areas that are not highly desireable.
I specialize in short sales and have been helping homeowners for over 4 years now. Part of the requirement of a short sale is to provide a listing agreement to the bank. To be honest, I don't think someone negotiating a short sale they are buying gets them any better of a deal. I just think it is wiser to use a Realtor from the get go in the event you spend a large amount of time to find out they want it listed.
Let me know if you have any other questions regarding the process. God Bless! Sheila Vardakis
Reece & Nichols
In many states a license is required to advise buyers or sellers regarding Real Estate and a Mortgage Lenders License is required to advise borrower's or negotiate on their behalf. Some states permit Licensed Real Estate agents to negotiate short sales on behalf of their clients, but there are still limits to what a Real Estate Agent can discuss with a seller.
I've been a licensed lender and agent, but I still refer my short sale clients to an attorney to review all of their options and understand the ramifications of a short sale.
As far as "Processing" the paperwork, much of what happens during a short sale process is sitting on hold, faxing paperwork and obtaining (or hoping to obtain) any update in status. Provided the processor doesn't negotiate on behalf of the seller or advise the seller I don't see why this couldn't be done by a competent clerical person under the supervision of a licensed person.
But to have access to the Listing, you would have to be a Realtor:
There are a few exceptions to this, where some New England States will allow a transaction using an Attorney. I do not believe that Missouri is like that.
Because Short Sales and REO's are channeled through Reators, both for Listing and Buying, you should contact a good Buyer's Agent if you want to buy one. A Buyer's Agent is free to you, paid by the Bank.
Good luck and may God bless