property is sold. The lender will usually accept a short sale to avoid the time and expense of a foreclosure.

Many fi les are incomplete, causing even more delays. Missing one page of a bank statement can cause a fi le to

get set aside, sometimes for months. It usually takes 48-72 hours just to get confi rmation from a bank that they

have received a short sale package. Hold times to speak with loss mitigators can run into the hours.

fi nd liens on the title report that were not known or disclosed by the seller at the time the listing was taken.

foreclosure can cost a lender over $50,000 and 14 months in time. If the lender does a short sale, they save an

average of $14,000 and 6 months in time. (source: FHLMC study, 2004)

and sell properties. It is never their intention to provide services that should be handled by an attorney or other

qualifi ed expert such as negotiating a debt settlement with a lender. Nevertheless, this new law creates the

possibility that some of the things they do in the normal course of a real estate transaction could be interpreted as

Distressed Home Consulting Services (“DHC Services”).

Therefore, to the extent they offer any service that could be construed as DHC Services, the new law

requires a special written agreement with the seller. If you want your listing agent to provide any of

these services, you will need to discuss with your agent whether he or she is willing to provide those;

and if so, your agent will prepare an addendum to the listing agreement.