A Real Estate Agent should avoid:
Telling Short Sale clients that they will qualify for HAFA
Providing their client with tax advice
Provide their clients with legal advice
Before Listing a Short Sale:
* Make sure that clients sign the SLS Pre-Lisint Disclaimer and advice client to contact:
- HAFA direcly to see if they qualify for a HAFA Short Sale
- A competent Real Estate Attorney regarding Real Estate Law
- A competent Tax Professional regardung tax issues
- A competent Bankruptcy Attorney regarding Bankruptcy Law
Updated C.A.R. Forms:
- Short Sale Addendum Form SSA (11/10)
- Short Sale information and Advisory Form SSIA (11/10)
Mortgage Assistance Relief Services:
- Short Sale Negotiation Notice (MARSSN, 3/11)
- Offer of Mortgage Relief Notice (MARSMRN, 3/11)
READ THEM !!
Arms Length Transaction:
Many Lenders now require that all parties, (including the Listing Agent AND the Selling Agent) sign UNDER PENALTY OF PERJURTY, an "Affidavit of Arms Length Transaction," which restricts who the parties may be and what the buyer may do with the property
Avoid "Accidental Fraud"
- If an Affidavit of Arms Length Transaction contains a representation that is not true, the Short Sale risks being cancelled by the seller's lien-holder and the parties who signed the Assifdavit risk being POSECUTED FOR FRAUD.
- Don't represent relatives or business associates
- Make sure that all payments are on the HUD1 settlement statement
- Avoid Straw Buyers