When it comes to short sales there is no guarantee. Here’s a few reasons that a short sale might fail.
- The Borrower/Seller did not have a true financial hardship. Remember, you must be able to prove to the lender that a hardship exists. You must be willing to submit bank statements and any other documentation require by your loan servicer.
- The Buyer wasn’t qualified. Be sure to only accept and offer from a well qualified buyer.
- The contract was weak or the buyer failed to follow through:
- Was the offer price fair?
- Was earnest money submitted?
- Were inspections completed?
- Was a mortgage application submitted?
- Were all Servicer documents filled out completely and submitted?
- The CMA came in much higher than the offer price. If the price isn’t fair, the lender may reject the offer.
- The buyer got tired of the process and the time involved and walked.
- Junior lien holders refused to cooperate.
Having a knowledgable listing agent and buyer’s agent is recommended.
