The relationship you establish with the seller in the beginning is critical to your success in the short sale world. The seller is in a difficult position and you may be their last hope to stop a foreclosure and help them move forward with their life. They have entrusted you to take care of them. If you succeed you are their best friend and savior. If you fail they may blame you for ruining their life… unless you take control from the beginning.

1) Be direct with the seller from the very beginning so they know and understand that you will do your best to complete a short sale… BUT you must be clear that you are unable to make any promises or guarantees. Ultimately the lender will decide to accept or reject the short sale offer.

This is important to cover both verbally and with a written agreement. Taking the time to go over this simple fact in the beginning will save you from cursing sellers at a later date.

2) Inform the seller that the short sale is a time game to the lenders. If there is a lot of time before the foreclosure date the lender is less likely to be enthusiastic and aggressive in the negotiations. As the foreclosure date approaches the lenders interest in a short sale heightens and the real negotiations begin.

Through much of the process it is a hurry up and wait game for you and the sellers. Every day that passes the seller is getting closer to a foreclosure. Every day the seller is getting more and more concerned. The seller must understand the process or they will become unglued as the foreclosure date approaches.

The accompanying short sale automation software system will help you prepare the seller for the short sale process and prepare all of the documents needed for the seller and the short sale package to the lender in less than 5 minutes!

One of the best ways I have found to explain the short sale process:

Remember the game of chicken with the tractors along the canal. In the beginning the tractors were moving slow and everybody was full speed ahead. Only as the tractors neared a head on collision did things heat up and get serious. That my friend is a short sale!”

3) Let the seller know you will be working on the short sale and will ONLY call them if you have any questions, need any documents, or have a major updated to give them. This establishes their expectations of your communications.

In practice you should contact the seller every week or two to give them an update and build rapport. A short email can do wonders even if it says “no new news to report.”