Work with the Right People

      Way too often I speak with homeowners who tell me that they already tried a short sale with someone else and it didn’t work. For a homeowner or real estate professional looking to prevent foreclosure, a short sale company can be a big help. Be careful though, contracting an incompetent person can lead to financial disaster if done incorrectly. Real estate agents or investors with little knowledge or experience can do more harm than good. These people are also the reason why more and more homeowners are turning to attorneys and paying big money to negotiate their short sales for them when all the homeowner needs to do is some research. The first thing you should do when you are considering working with a short sale company is Google them. A while back, I had a “bird dog” working for me, he was an amazing salesman and he brought me at least 5 deals a month every month for over a year. One day I decided to Google his name just for kicks… As soon as I hit “Enter” a huge picture of him popped up as being a registered sex offender! Needless to say, I ended my relationship with him immediately and have Googled everyone I’ve met ever since then. My point is that you never know who you’re dealing with until you find out who you’re dealing with.
      Another thing you should do when researching short sale companies is get references from the people they’ve helped in the past. If they are a legitimate short sale company, they will have a company website that you can go to and see testimonials, blogs, informational videos they’ve done etc. If they can’t provide you with anything to establish their credibility… run and don’t look back! Do you really want an inexperienced realtor or investor to get their practice by doing your short sale?... I didn’t think so. Also, be careful when paying someone upfront to negotiate a loan modification or short sale for you. Only an attorney or a mortgage broker is legally allowed to collect upfront fees to do a loan modification or short sale, and if you do decide to go with a Law firm, you should only pay if they are willing to get paid the majority of their fee only after they are successful. Only pay their minimum amount required to get started. You should also follow up with the lender on your own once a week just to make sure that they are doing what you paid them to do.
     As a successful short sale investor, I have been approached by several “services” that claim to provide loss mitigation for homeowners in foreclosure. I was asked to partner and work with them. I had considered it until I realized they were charging homeowners upfront for their “help” and were not following through. To me, this is immoral and wrong,[not to mention illegal]. I came to find out that they wanted to partner with me so that they could use my name and credibility in their marketing.
      Performing due diligence when searching for a company that negotiates short sales is definitely worth your time and effort.