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Why short sales are not for everyone

Learn the New Luxury Playbook at Luxury Connect | October 18-19 at the Beverly Hills Hotel

It has been four years since I worked with my first short sale. I listed a townhouse for a friend and while it was on the market she stopped making payments and I ended up with my first short sale. The process was stressful for all parties. It worked out, and we are still friends -- which will always be more important to me than a commission. We got bank approval on an offer after only three months, but the "file" was sold to another institution two days before the anticipated closing, which caused more delays. But it did eventually close. Personally, I would have come out much better if I charged an hourly rate instead of a sales commission. Short sales are more common than ever, and I think that is a shame. Many short-sale attempts end in foreclosure. And even if successful, a short sale hurts the credit rating almost as much as a foreclosure does. As agents we need short sales and they can be good for business. There are classes real estate professionals can...