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					                            The Short Sale PACKAGE

1)     Cover Page
2)     Offer Sheet
3)     Purchase and Sales Agreement/Contract
4)     HUD1
5)     Proof of Funds/Pre-approval letter
6)     Listing Agreement
7)     Hardship Letter
8)     Financial Statement
9)     Pay Stubs
10)    Bank Statements
11)    Tax Returns
12)    Repair Estimates/Home Inspection Report
13)    Miscellaneous (comparables, listing history and
                          log of showings with buyer feedback)

Explanation of the Short Sale Package and its content

1) Cover page         Number the pages that are contained in the package and specify what is
                      contained on each page.

       **This makes the loss mitigator’s job easier. Then if they can’t find something you can
       ask them to reference a certain page to find a certain document. This saves time and
       **Loss mitigators will thank and compliment you for it, as it will come across to them in
       an organized and professional manner

2) Offer sheet – present who you are (loss mitigation company, investor, real estate agent)
       This is where the bank first finds out who they’re dealing with, the offer sheet reveals A
       Who you are and B the problems with the property

       A) Who are you?
             Loss Mitigation Company
              Real Estate Agent

         B) What is wrong with the property and why they should accept your offer
3) Purchase and Sales Agreement/Contract
      It should include stipulations such as: “Subject to lien(s) holder approval” “AS IS”.

        Lenders want contracts that have no contingencies, and will have a closing date of 30
        days after written approval is received from the lender

        If you are a Loss mitigation company or real estate agent - make sure the buyer is well
        aware that the property is being sold “AS IS” and “subject to lien holder(s) approval”
        even if requesting any due diligence periods, inspection, appraisal, or financing

4) HUD1 Settlement Statement
     The bank wants to see what they will “net” and where and who the funds are being
     dispersed to.
            (For help with your HUD1 Settlement Statement see the training video on
            your Manage My Short Sale site)

5) Pre approval letter
       This verifies that the buyer(s) will be able to obtain a mortgage.
       If it’s a cash offer, show a proof of funds letter.

6) Listing Agreement
       This verifies that the property is listed, the price it is listed for, and when it was initially

7) Hardship Letter
      The hardship letter should be handwritten and address three key issues: what happened
      to cause the homeowner to fall behind, when it happened/how long it’s been going on,
      and what they have done to try and correct the situation.

8-11) Typical bank requirements
       A financial Spreadsheet that breaksdown income versus expenses, tax returns (typically
       just the 1st twp pages; 1040 forms, W2s, bank statements, pay stubs. (See document

12) Repair estimates
      The bank needs to see why the price is justified. Repair estimates by a licensed
      contractor helps to establish a picture or a story about the condition of the property

13) Miscellaneous
       Each property will have different circumstances that may need to be explained further.
       You may need to include more listing information: a CMA, recent sold comparables,
       listing history, showing logs, buyer feedback, foreclosure rates, average days on market,
       market data….

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