Short Sale Specialists

What is a short sale?

A short sale is a sale of real estate in which the proceeds from the sale fall short of the balance owed on a loan secured by the property sold. In a short sale, the bank or mortgage lender agrees to discount a loan balance due to an economic or financial hardship on the part of the mortgagor. This negotiation is all done through communication with a bank's loss mitigation or workout department. The home owner/debtor sells the mortgaged property for less than the outstanding balance of the loan, and turns over the proceeds of the sale to the lender, sometimes (but not always) in full satisfaction of the debt. In such instances, the lender would have the right to approve or disapprove of a proposed sale. Extenuating circumstances influence whether or not banks will discount a loan balance. These circumstances are usually related to the current real estate market and the borrower's financial situation.

What type of discount can real estate investors expect?

The average savings is anywhere from 10-40% below today’s market value depending on the neighborhood and situation. With short sales, working capital and the ability to close quickly is ultimately what gives buyers the leverage to create discounts.

What qualifies being an Inventory Supplier?

To register as an inventory supplier, we ask that you are either a short sale specialist, a realtor working on short sales or represent an asset management company with inventory to supply. The real estate buyers on this platform expect property to be substantially discounted. Therefore, suppliers should only post opportunities that fall 10% or less than today’s fair market value.

Do you guarantee that the properties I upload will be purchased?

No. We do not guarantee that your submissions will get sold, but we do guarantee that we will market your opportunity to members within the Network and advertise for new members in your prospective areas. Ultimately, it is the responsibility of the Inventory Supplier to facilitate their own deals once the match is made.

What qualifies being a Real Estate Investor?

To be a real estate investor you have to have some working capital and product knowledge. Whether you are a first time home buyer or have been in real estate since the 60’s, members find this platform extremely helpful, efficient and user friendly. Our Company acts as a high end match making service that partners up real estate buyers with properties, research tools, closing services and turnkey solutions.

What are real estate investors looking for?

Each member has unique specifications. eRealtyVest has a real estate networking forum that allows investors to post their preferences and give our suppliers a better idea of what to look for. Generally speaking, homes that are consistent with the average price in the subject neighborhood and require little renovations have a tendency to get more attention. The bottom line is: The greater the discount, the greater the chances of getting sold.

What is a Broker’s Price Opinion?

A BPO is a method that a real estate broker (or a sales agent acting on behalf of their employing broker) uses to estimate the probable selling price of a real estate property/house. The estimate of price is submitted in a report (2-3 pages) that includes local and regional real estate market information, neighborhood analysis, and comparable properties (comps) that compare to the house (subject) that is being evaluated. This method of estimating a selling price has similarities to a Comparative Market Analysis CMA and a residential real estate appraisal. To view a sample BPO, click here.

Who inspects the property for damages or mold?

A local home inspector can evaluate the home, give a report and assess the cost of damages. A home inspection is an objective visual analysis to determine if certain parts of the home are performing properly. See the “Resources” tab in our member section to request information on a local home inspector.

Can I get a rehab/repair estimate from a reliable source?

Yes. We’re networked with one of the largest online portals that recruit licensed/bonded contractors all over the United States. Companies that specialize in everything from mold remediation to complete demolition. Enter a request online and have local contractors responding that same day. See the “Resources” tab in our member section to request information on a local contractor.

Is there a real estate agent involved?

Most properties posted on this site are listed by licensed real estate agents. A listing agent represents the seller which can assist in closing on the property, and provide information about the home and subject neighborhood. A buyer’s agent is not involved, but eRealtyVest can appoint a reputable agent in the area upon request. We have a large network of agents all over the United States that can offer additional support and guidance throughout the buying process. See the “Resources” tab in our member section to request information on a local real estate agent.

How do I know there aren’t any liens, judgments, or encumbrances on the property?

Title insurance is indemnity insurance against financial loss from defects in title to real property and from the invalidity or unenforceability of mortgage liens. It is meant to protect an owner's or a lender's financial interest in real property against loss due to title defects, liens or other matters. The transactions that take place using this site allow buyers ample time to receive an accurate report and prevent making unnecessary mistakes. We can always appoint the most reliable resource if you don’t already have representation. See the “Resources” tab in our member section to request information on a local title company.

What is escrow?

Escrow is best known in the United States in the context of real estate, specifically in mortgages where the mortgage company establishes an escrow account to pay property tax and insurance during the term of the mortgage. An escrow account is simply a trust account held in the borrower's name to pay obligations.

Do I need to use an escrow company to close on a property?

Not necessarily, but we suggest using one. Use a trusted neutral third party that will oversee all the details of your purchase. See the “Resources” tab in our member section to request information on a local escrow agent.

Do I need to use a real estate attorney to close on a property?

In some states, you are required to hire a real estate attorney to guide you through your real estate transaction and assist with closing. In other states, real estate attorneys are optional. In states where attorneys are not required, the real estate agent usually guides buyers and sellers through property transactions. The agent also provides standardized documents and contracts that legalize the property transfer when signed. See the “Resources” tab in our member section to request information on a local real estate attorney.

What does a real estate attorney do?

They involve the execution and delivery of all necessary documents simultaneously with the payment of the purchase price and the settlement costs of the transaction. First, a closing attorney would examine the title records for prior conveyances, unpaid mortgages, liens, judgments, easements, and other encumbrances and clouds on title. They verify that the seller has the authority to convey a good title to the property and that no errors exist in the deeds in the chain of title. They likewise negotiate with the title insurance company for insurance coverage to insure titles against any adverse claims of ownership, liens, and easements.

The closing attorney’s role can be summed up as follows:

For buyers, attorneys:

Review and negotiate the specific terms of contracts;
Help assess financing options and explain the terms of loans;
Attend the closing and make sure clear title is transferred;
Scrutinize charges to make sure that they are consistent with estimates;
Provide updates of any facts that affect the property interest and provide counsel if difficulties arise.

Can someone help me re-sell the property?

EREALTYVEST can partner you up with a local agent to re-sell properties. Here are a few common marketing techniques you can expect your agent to include in the plan:

The "For Sale" sign in your yard, which should identify the agent, the agent's company and give a phone number. Make sure that there will be somebody on the other end of that number from morning till night, seven days a week, to answer any questions from house-hunters.
Fliers that include a picture of your home and a description of its size and features. A box of fliers can be attached to the For Sale sign. Your agent may also distribute fliers to other real estate offices in the area, which may have clients who are looking for a home like yours.
A preview of your house for other real estate agents. The tour usually takes place within the first week or two your house is on the market. Ideally, the agents will return with clients. You may want to offer a perk such as food or a raffle to entice agents to attend.
A listing in the Multiple Listing Service (MLS), which is a database of all the homes in a given area that are listed by registered users (which includes the vast majority of agents). Your listing agent will write up a listing that details your home's qualities and attach a photo. Other agents will see it when searching the database for properties that match their clients' criteria. You may want your house to be listed in several MLSs, as some areas overlap.
Advertising in local newspapers, magazines and the Internet, which can generate viewings of your home by house-hunters. According to a 2003 survey of homebuyers and sellers conducted by the National Association of REALTORS®, 93 percent of homebuyers use the Internet to search for homes.
Open houses, which -- like ads -- are meant to generate traffic through your home and create some word-of-mouth interest.
Showings of your home. Your listing agent should coordinate times to show it to potential buyers and for other agents and their clients to see the house. Your agent should give you enough warning that viewers are coming so that you can tidy up the house. He or she should also give you feedback from the people that tour your home, which will help you improve it for the next showing.

Part of converting your investment to profit is identifying the do’s and don’t in working with you realtor.

Can someone help me find a tenant to rent the property?

EREALTYVEST is affiliated with the National Association of Residential Property Managers. They are an association designed for real estate professionals who know first-hand the unique challenges of managing single-family and small residential properties. NARPM® offers an effective, professional learning environment for owners of property management companies, property managers and their office staff.

With their support, you can expect:

Better renter selection, background checks, and pre-screening.
Maintenance contracts that save you money.
Rental listings that are taken care of, and usually reach a larger audience.

Property management dues range from area to area, but are often a legitimate tax deduction. See the “Resources” tab in our member section to request information on a local property management team.