Who is InsideTheShortSaleDepartment ?

My name is Elizabeth Wojtaszek and I am The Short Sale Department and InsideTheShortSaleDepartment.com. I've been in the Real Estate business for 14 yrs and  have dealt with every aspect of real estate.

Within a short period of time I became an Executive Loan Officer in my first 6 months of Real Estate. As time went on and I picked up the business quickly I wanted to know what was behind the scenes and some would say that being an Executive Loan Officer would be better than being a Loan Processor but I ended up doing both. Basically this is the path I took in my real estate career:

Executive Loan Officer---Loan Officer/Loan Processor---Loan Processor---Account Executive for the 3 top Subprime Mortgage Companies---Account Executive for a Hard Money Lender---Short Sale Negotiator and Freddie Mac Certified

After the subprime mortgage downfall I went back to doing what I knew best which was processing but it was processing short sales.While starting out processing short sales I developed many contacts and still use the ones I met from when I started to this present day and continue to establish new relationships. I push the envelope on negotiating short sales because I know and have studied the guidelines and keep up with lender requirements at all times.

When negotiating my files I'm in control and know the language that the lenders use. My process time is short and clean. Escalations are used when needed and it's minimal most of the time. Postponements of sales are executed and followed through with constant follow up.

The blog that I have created is to chronicle the different scenarios or current short sale situations that I see and go through. It's informative and has explanation. Furthermore it's to encourage realtors to use negotiators such as myself and expand their pipeline and get more business.

-The Short Sale Department

Processing a Mortgage Debt Forgiveness for 2nd liens During a Short Sale

During the last 2 years of processing Short Sales there has been a change when processing 2nd liens. The normal way to process them is to submit the short sale package to the 2nd lien holder or servicer and begin negotiations. Approximately 6 yrs ago when I started negotiating the banks would take a minimum of 1k - 3k to approve the short sale. Then as the time passed and lenders and servicers started to see an overwhelming response to the "Short Sale Revolution", the payoffs to the 2nd lien holders started to increase from 6k, 10k, 10%-15% of the balance or a promissory note. 

These pass two years processing 2nd liens have changed. Now there are principal foregiveness for 2nd liens that are becoming easier to process short sales. 

When the borrower receives a letter like the one above which is an example of the letters that are going out please read carefully and follow instructions. The seller should call in immediately when receiving the letter to confirm there participation in this process. 

IMPORTANT if the home is in a short sale and is in foreclosure with a sale date your negotiator should be able to postpone the sale date and explain to the 1st lien holder about the process for the 2nd. The 2nd lien holders process is not something that will happen within a 1 month time frame it is approximately 60 days and if it's a HELOC in some cases it could be 1 month. At the end of the process a full reconveyance can be requested by the county recorders office and the seller will receive a 1099-C which is the cancellation of the debt.

If you have any questions contact InsideTheShortSaleDepartment.com

-The Short Sale Department

Short Sales are booming in California....read why!!!

The best article that was published this month about real estate happened to be about Short Sales...my specialty, my niche, my world. I was excited about this article in the LA Times that it's a must read. View just a piece below and to read the full article the link follows.

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The surge in short sales stems in part from last year's national mortgage settlement with the nation's five largest banks. To avoid going to court over foreclosure improprieties, the banks agreed to certain levels of debt forgiveness for underwater homeowners. Short sales count toward those commitments.

But the trend also marks a triumph of economic common sense. Short sales have long been less costly to banks than foreclosures. Homeowners often remain in a property until a new buyer is found, which helps banks avoid maintenance costs and keeps out squatters and vandals. Moreover, many buyers of foreclosures expect a discount, whereas banks aim to get market value for short sales.

http://articles.latimes.com/2013/jan/08/business/la-fi-short-sales-20130109

-The Short Sale Department

California Foreclosure Process

Time and time again and agent can get caught up in listings and sales that sometimes when working on a short sale they can often times forget what the foreclosure process is in California. It's always good to remember and educate the client so that they get a better understanding and gain some education. At the end they will appreciate that your including them and not thinking of them as your next commission.

Take your time and review for a minute:

At any moment that the client is going through a foreclosure and at the point that there is a sale date, consult with me so that it can get done and you can continue with the listing. 

-The Short Sale Department

What Is It With Real Estate Agents and NOT returning calls?

A cell phone to a real estate agent is something that is absolutely needed. How else would they communicate with someone if not in the office or in front of the laptop. The cell phone is the quintessential item needed besides your briefcase with your business cards and listing agreement. In most cases a real estate agent glorifies their cell phone and become mute without it. Without the phone they are lost and in most cases unable to do anything. Agents get the most expensive, hi tech, can do any transaction, and they probably have an application that allows them to run their office which is their world.  But the question remains why can't they answer and return a call?

I've learned that when you can't answer and a message is left, RETURN THE CALL! It's valuable for your business and in some cases it could be a new listing or connection. However I'm seeing that most calls are being put through the do not disturb button so that all calls go through voicemail, agents look at their phone and think should I answer it should I not? Question the validity of the call and say "well if it's important they'll leave a message", and in some cases "oh it's my negotiator let them leave a message"!

I can admit I have done the examples above, however I do return calls because you never know who it can be. I've had to process files where I know the agents and how they are in their work life and have been fortunate to come across true professionals where they enjoy an update on their files. I would think that getting the update via phone or email is satisfaction to the agent especially when they rely on processors, assistants, or negotiators such as myself to handle their files.

It's the agents with their fancy outgoing voicemail  messages that put you through their voicemail and claim that they are unavailable and super busy.  As a negotiator I have found out through social media like Facebook that those agents that your processing a file for are updating their status or advertising selling Laker tickets for that nights game. The status for that is, "message me if you're interested in Laker tickets", knowing very well that you could have important news they don't answer, don't return calls, or emails.

For agents that are like that there is no need to put the title as "Professional" in front of there name because if clients really knew how they were in their work life I'm pretty sure they would think twice in hiring them. This is just a general opinion in what I have observed and go through but I'm pretty sure many can relate.

-The Short Sale Department

Remember How Short Sales Use To Be?

When I first started with Short Sales it seemed to be just like processing a loan just a bit more critical. The critical part was that years ago and to this present day you have to make sure the sellers don't get foreclosed on if there is a sale date, make sure the file has been submitted, call everyday on the file and follow up, and get that APPROVAL. Sounds a bit much but it's true. As a negotiator the mindset is that of helping the customer so they can have a clean transaction and move out of their home with ease. With that in mind the documentation and how it's submitted is important.

The days of faxing the Authorization 10 times to different fax numbers and also the Short Sale Package has come a long way and now it's been made easier but still the requirements are the same.

Standard Checklist:

3rd Party Authorization
Hardship Letter
Financial Worksheet
2-3 months worth of Paystubs
2-3 months worth of Bank Statements
Last 2yr Tax Returns
4506-T
Listing Agreement
Preliminary Title Report
Purchase Agreement
Prequal Letter
MLS Page
Hud-1

Obviously now there are lender specific paperwork that should be included along with the checklist but still the process is the same and the above checklist should always be used as a tool when building the file to submit to the lender. For submissions and processing always consult a Short Sale Negotiator to negotiate the file.

-The Short Sale Department

Get to know my blog and what I do...

WWW.INSIDETHESHORTSALEDEPARTMENT.COM

I always sit behind the scenes of the transaction while viewing and monitoring agent behavior to sellers and towards myself. I’ve always wanted to really say what is on my mind but having an employer held me back. I always asked myself, if I tell the agent the wrong that I see when working a short sale will they not want to have me as their Short Sale Negotiator?

Fortunately enough they come back and the best part I went from having an employer to being my own boss. What is it with calling yourself a short sale specialist? Really a specialist? Not possible you’re an agent specialized in Real Estate, that’s it. I sit behind a desk up to 10hrs negotiating and overseeing the negotiations and making sure escrow is open and that the deal closes on time. So why do agents call themselves Short Sale Specialists when the work is being done by me, the short sale negotiator, to get the deal approved? I suppose wearing a fabulous outfit whether you’re a man or a woman will do it to influence the customer and the agents ego but that’s not the case.

As a Short Sale Negotiator I have developed the lingo, the language to say it a bit better. The knowledge, the guidelines, and what is especially important…the contacts.

Stay tuned I have more to say…

The Short Sale Department