This document provides information and instructions on the short sale process. It discusses the initial phone call with the seller, gathering paperwork from the seller, explaining the paperwork to the seller, and the steps involved in the short sale process. Key documents that are discussed include the authorization to release information, purchase and sales agreement, agreement and understanding, general warranty deed, and limited power of attorney. The typical timeline for a short sale is also outlined.

1. The Short SaleThe Short Sale
ProcessProcessExplaining the Process to theExplaining the Process to the
SellerSeller

2. The First Phone ConversationThe First Phone Conversation
 What are our goals?What are our goals?
 Let the seller know what we do.Let the seller know what we do.
 Confirm that you are going to doConfirm that you are going to do
business.business.
 Get their email address, faxGet their email address, fax
numbernumber
 What do we want to do?What do we want to do?
 Save timeSave time
 Save energySave energy

3. Outbound Call ScriptOutbound Call Script

4. Put Together Seller EmailPut Together Seller Email
 Put all of your paperwork in aPut all of your paperwork in a
single documentsingle document
 Write an explanation of theWrite an explanation of the
paperwork and use as a coverpaperwork and use as a cover
pagepage
 Convert to a .pdf fileConvert to a .pdf file
 Send .pfd or word document toSend .pfd or word document to
seller as an attachment.seller as an attachment.

5. Email to Perspective Sellers
As per our conversation, I have attached a file with all of the paperwork that we
discussed. Please be sure that you read the package in its entirety. I have included a brief
explanation of all of the documents as the first page.
If you should have any questions please do not hesitate to contact our office.
Sincerely,
Robert Marshall
The Reid Group LTD LLC
336-995-3527

6. The Reid Group LTD LLC
1625 Pembroke Ave
Winston-Salem, NC 27103
To Whom It May Concern:
Thank you for choosing the Reid Group LTD LLC. In order for us to process your file,
and start the short sale process we will need the following information.
___ Complete Financial statement form.
___ Copies of last two (2) pay stubs for all borrowers.
___ Copies of last two (2) years Federal Income Tax Returns, including all schedules
for all borrowers.
___ Copies of all bank statements for the last three (3) months for all borrowers.
___ Letter explaining the hardship, including copies of all relevant documentation to
substantiate your explanation.
___ Copy of recent Appraisal
If you have any questions please call out office at 336-577-9414.

7. THE PAPERWORK
We are going to go over some paperwork that will allow us to help your situation.
1. The authorization to release information:
This is a form that allows our company to talk to your mortgage company on your
behalf. When we call your mortgage company they will not speak to us until they
have received a copy of this document. This is to protect the confidentiality of
you, their customer. We will fax this document to your mortgage company.
2. The Purchase and Sales agreement:
This is a standard purchase contract. This is what is called a meeting of the
minds. You, the homeowner, can not convey interest in your property to our
company unless there is a meeting of the minds. There are two copies of the
contract. There is one for you the homeowner to keep, and there is one for our
company records.
3. The Agreement and Understanding:
This is a form that my attorney helped our company write. We use this form so
that there will be no misunderstanding of what our company plans to do with the
property. Again, there are two copies, one for the homeowner’s record, and one
for our company’s record. This form will be read out loud to you word for word.
4. The General Warranty Deed:
This form was created by the North Carolina State Bar Association. It conveys
the property form you, the homeowner to our company. We will let our attorney
fill in the correct legal description when we go to record the deed. Thus, at the
bottom of this from we write the physical address of the property. This is a
safeguard to the homeowner. If the homeowner has more than one property it
protects against changing the deed to a different property address. This document
needs to be signed and notarized.
5. The Limited Power of Attorney:
This form allows us to expedite the process. It at sometime may be necessary for
our company to sign the homeowners name. For example, the bank may send our
company a form that needs to be signed by the homeowner. If anything is signed
by the company that is not legal, then the person who signed the document is
legally responsible for the repercussions.

8. THE PROCESS
Day 1: Visit the house to gather all of the necessary paperwork. Our company
will put a for sale sign in the front yard.
Day 2: Our company will call the mortgage company, find out the name of the
person who is handling the account, and fax the Authorization to Release
Information. Depending on the mortgage company, this may take 1-3
business days for the Authorization to be updated into the system.
Day 3: Homeowner should have finished gathering all of the necessary
documentation that we have requested. This needs to be either mailed or
faxed to the company.
Day 4: Our company will contact the Mortgage company to see if they have
uploaded the authorization to release and ask them to send all of the
necessary documentation to conduct a short sale on the property. At this
time the Mortgage Company may order and appraisal or an BPO (Brokers
Price Opinion) of the house. Depending on the company this will take
between 5 to 10 business days to gather this data.
Day 10-15 Our company will conduct market research to determine the value of the
house and begin to line up investors. Our company will also put together
any and all other information that the mortgage company may request.
This may or may not include a mock HUD statement, home repair
estimate, and a short sale request.
The HUD statement is a receipt for an Real-Estate transaction. It shows
who is paying what and who is receiving how much money. It will show
our company paying all expenses i.e. attorney’s fees, appraisals, taxes,
recording fees etc. It will show the homeowner receiving no funds from
the sale. The HUD will also show the banks how much they should
expect to NET from the sale.
A Short Sale request is a request by the company for the Mortgage
Company to take less that what is owed on the property.
Day 16 Our company will submit a short sale request to the Mortgage Company.
Depending on the Mortgage Company, this process takes 5 to 15 business
days to get a answer. Once we have an answer, we will know how we can
proceed.
*Days are considered business days not calendar days.
*This process is accurate but not guaranteed.

10. The Purchase and Sales
Agreement that you plan to use!
• This gives the seller the opportunity to
look at the document.
• This gives the seller a chance to have a
trusted advisor to look at the file before
you arrive.

11. Authorization To Release Information
I/We hereby authorize you to release to Your company name here and
all information requested for the purpose of a credit transaction or loan transfer. You may
reproduce this document to acquire reference from more than one source.
Thank You.
_____________________ _________________ _____________
Signature Soc. Sec. # Date
_____________________ _________________ _____________
Signature Soc. Sec. # Date

12. Agreement and Statement of Understanding
As owner of the Real Property located at __________________________________________
_____________________________________________________________________________
and, concerning its transfer and conveyance to _Your Company Name Here on this
date ______________, I am aware of, understand and agree to the following statements of
fact and terms:
1) The mortgage on this property contains a due on sale clause. The lender has the
right to call the note due and payable when title is transferred.
2) The mortgage will stay in owners name until it is paid off in its entirety or
assumed by a future known or unknown purchaser.
3) The party named above accepting this conveyance has no intentions of assuming
the loan. No promises have been made to the owner stating that the loan will be
paid off or otherwise assumed or that payments will be made in a timely manner.
4) The party accepting this conveyance has agreed to pay any back payments, if
any, to remove this property from pre-foreclosure, only upon the re-sale of this
property. There have been no promises to do so prior to that time.
5) If the party accepting conveyance is unable to negotiate an acceptable short sale,
or sell the property in a timely fashion, the owner understands that any amounts
in arrears will not be paid to bring the note current, and it may still go into
foreclosure.
6) The owner holds the party accepting the conveyance, and/or their heirs and
assigns, or future acceptor of this conveyance, harmless and blameless from any
debt, action, suit, payment or any liability whatsoever that may be associated in
any way with this agreement or of notes, deeds of trust or other liens on this
property.
On this ____ day of _________, 20___, we the owners have set our name and seal.
___________________________Seal ___________________________ Seal
Signature Signature
___________________________ ___________________________
Print Name Print Name
___________________________ ___________________________
Social Security Number Social Security Number

13. Financial Statement

14. Financial Statement Cont…

15. NORTH CAROLINA
Limited Power of Attorney
FORSYTH COUNTY
KNOW ALL MEN BY THESE PRESENTS, that We, __________________, and
________________ have made, constituted and appointed and by these premises
make, constitute and appoint ______________________ our true and lawful
attorney-in-fact, for us and in our name, place and stead and on our behalf, to do
and perform for us THE FOLLOWING ACTS.
(1) To contract and sell and borrow against the property listed below at such times
and in such manner and upon such financial terms as to her may seem proper, as
well as the specific power to execute all deeds, notes, deeds of Trust or such
documents in connection therewith as may be required to effect or assist the
transaction and closing of said loans, sale or sales.
Address:_______________________________________________________
More specifically described in Exhibit “A”, Incorporated herein.
We hereby ratify and confirm all that the said _______________________________
as our attorney-in-fact, shall lawfully do or cause to be done by virtue hereof.
This Power of Attorney is a durable Power of Attorney and shall continue even in
the event of incapacity of any principal.
IN WITNESS WHEREOF, We have executed the foregoing Power of Attorney
this ___ day of ____________, 2003.
(SEAL)
Home Owner
__________________________________(SEAL)
Home Owner
STATE OF ____________________
______________________ COUNTY
I, _______________________, Notary Public, in and for said County and State,
do hereby certify that ___________________________________ personally appeared
before me this day and acknowledged the execution of the foregoing instrument.
WITNESS, my hand and notary seal, this the _____ day of _______________, 2002.
__________________________________
NOTARY PUBLIC
My Commission Expires:_____________________

17. Visiting the seller at theVisiting the seller at the
propertyproperty
 Confirm meeting timeConfirm meeting time
 Call before leaving to theCall before leaving to the
propertyproperty
 Bring all of your paperworkBring all of your paperwork
 Blank Ready FileBlank Ready File
 Bring equitmentBring equitment
 Flashlight, notepad, ect.Flashlight, notepad, ect.
 ““The Box”The Box”

18. Property EvaluationProperty Evaluation
 Make sure that you completeMake sure that you complete
this while you are at thethis while you are at the
property!property!
 Take lots of pictures for theTake lots of pictures for the
bank!bank!

19. Angell Road:Angell Road:
ForeclosureForeclosure

20. Angell Rd:Angell Rd:
Picture Sent to BankPicture Sent to Bank

21. Angell Rd:Angell Rd:
Picture Sent to BankPicture Sent to Bank

22. Homeowner Needs andHomeowner Needs and
Wants…Wants…
 I want to get cashI want to get cash
 I want to stay in my houseI want to stay in my house
 I want you to refinance myI want you to refinance my
mortgagemortgage
 I need to find a new place to liveI need to find a new place to live
 I need to feed my familyI need to feed my family

23. Homeowner ConcernsHomeowner Concerns
 How will this effect my credit?How will this effect my credit?
 What are my neighbors going toWhat are my neighbors going to
think?think?
 What are the possible taxWhat are the possible tax
implications?implications?

26. The Next Live Seminar November 9, 10, 11, 2007
San Diego CA
• 5 Seats Remaining for November
9, 10, 11 2007.
• Visit ww.winwithgraham.com
• Your Insiders Guide to Successful
Short Sales
– Seller Conversations and Scripts
– Communicating with the Bank
– Influencing the BPO
• Underground Foreclosure Wealth
Summit
– 23 hours audio
– Selling houses in a slow market
• Seminar Workbook
– Complete short sale
– Confidential Vendor Contact
Information
• Mortgage Broker with no
chain of title issues
• Preferred Title Companies
• Private Money Lenders
• Total Investment $1495

27. Call Mike Daniels at
336-306-5350