By James A. Gage
If you're looking to create
big results in your real estate investing business (even in
a bad market) this is probably the most important article
you'll read.
Here's the reason. Most
investors are missing out on a huge number of potential
deals that SHOULD be theirs.
They're missing out because
they don't have the right tools to get the deal done and
profit from them.
One of those tools is
knowing how to do a Short Sale.
Just to make sure we're on
the same page, a short sale is simply when a lender accepts
less for a home than is currently owned.
Now a few years ago, doing
short sales was an optional skill to have. These days,
things are quite different. And if you don't do short sales,
you could be in for a pretty rough ride.
So if short sales are so
powerful, why aren't more agents doing them?
Because there's a huge
obstacle in the way. And based on my experience, the biggest
obstacle to doing short sales (and putting more money in
your pocket) is simply that there is a TON of misinformation
floating out there about them.
The good news is most of
the information is just myth. It's not true. And it's time
you got the facts.
So here are the
"Most Common Myths Keeping You From Doing Short Sales."
Let's jump right in...
Short Sale Myth:
Banks Won't Do Them...
A few years ago, when the
market was hot, this was largely the case. Banks had no
financial incentive to do short sales. There was simply no
need.
Today, things are
different...
Banks are in business to
make money. And they can't make money when their customers
default on their mortgages. Plus... when a bank is forced to
foreclose on a property, that inventory prevents the bank
from lending a certain amount of money. And a bank can't
make money if it can't lend money.
A foreclosure is bad
business for a bank. That means there is a huge upside for
doing short sales. And these days, banks are motivated to
minimize risk as much as possible. A short sale does that
for them.
Short Sale Myth:
Not All Banks Do Them...
This one is simple. ALL
major lenders do short sales. In fact, they have entire
departments dedicated to that very thing. It's called the
loss mitigation department.
It's just that sometimes
what they SAY they'll do and what they'll actually do are
two different things.
When you know the facts,
you're in the driver's seat.
Short Sale Myth:
Lenders Won't Pay Real Estate Agents Commissions...
The bank doesn't care about
commissions. The bank cares about their bottom line.
Don't fall for this myth.
It could be a very expensive mistake.
Short Sale Myth:
Short Sales are HARD...
This is one of the most
dangerous myths keeping real estate investors from profiting
from short sales.
Short sales are fairly
straightforward. You don't need special connections with the
lenders and you don't need any "secret sauce."
To do short sales, you have
to learn the process. It's a new skill that most investors
simply don't know... yet. But there is a simple step-by-step
way to do it.
Of course, you can't take
two steps without tripping over the newest "we'll close your
short sale for you" company. They charge a fee for this
"service." And it's often non-refundable.
Some mortgage loan officers
have also thrown their hats into the game. They smelled
profits and became overnight "short sale" experts. Also,
starving real estate agents have now crowned themselves as
short sale experts” nothing could be further from the truth.
Actually real estate agents usually cause a deal to die with
the lender or in committee due to their inexperience.
Note: There is an exception to every
rule, including the last statement I made, so let me qualify
my statement; 99% of agents don’t know how to do a
successful short sale which will benefit the investor.
Here's the problem with
that:
There really is no good
reason to leave money on the table or pay someone else to
close your short sales. Doing short sales is something that
any investor can learn... quickly.
Short
sales are not rocket science; however, they are an “Art”!
That’s why I call my course “The Art of The Short Sale”. And
once you know how to do them, you'll wonder why you didn't
learn a LONG time ago.
"You are who you are and where you are because of what you
have put into your mind."
For more information or pricing please do not hesitate to
call or e-mail. I can be reached at :
(508) 595-9567.
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