Relocate to Wisconsin : "Do Your Sellers REALLY have a hardship ?" asked the Selling agent

"Do Your Sellers REALLY have a hardship ?" asked the Selling agent

 One of the requirements....let's say the primary requirement for doing a short sale is that the Seller(s) have a financial hardship.  We dupside down houseon't know anyone who buys a house with the thought of at some time, having insufficient funds to make the mortgage is not a sought after or ever desired situation by any homeowner.

   Many times there are multiple hardships which may include things like unemployment and divorce or serious illness and job loss...death of a spouse and insufficient income.  We know the reasons for each short sale we list, we have seen the financial disclosure...we know that the expenses as minimal as they may be for the necessities in life, exceed the income of the homeowner.

income and expensesWhat the nature of the hardship documented to us.  We see no reason to document it to the "world" other than in the required hardship letter to the lehardship collectionnder when we are seeking approval of the short sale. In some cases, Divorce for example, the hardship may be public knowledge. Court records are available to anyone who wants to research them. 

We see no reason to document whatever the hardship

to the Buyer or their agent. Life is tough enough for distressed sellers  without adding unnecessary problems to make things more difficult....airring the financial details of their hardship is unnecessary.
    If we list a home as a short sale, we guaranty that the Sellers  have a hardship. We believe that experienced agents who list short sales understand their professional and ethical obligation to make that determination before taking a short sale listing.

   The short answer to..."Do your Sellers REALLY have a hardship?" YES.

    If you or anyone you know is unable to pay their mortgage for reasons of hardship...Call the Hansons. If you do not live in southeastern Wisconsin, we will help you locate an agent with expertise that practices in your area. 



Sally K. & David L. Hanson, ABR, CDPE, CSS, e-Pro,ILHM, REDS

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Comment balloon 32 commentsSally K. & David L. Hanson • February 27 2016 03:06AM


Good morning Sally K. & David L. Hanson ,

You are one needs to know the "why" of a hardship. It is personal and should stay between the listing agent and the seller. I've known some short sale agents (we have very few of them) over the years who find the need to kiss and tell!! Not a good practice.

Posted by Dorie Dillard, Serving Buyers & Sellers in NW Austin Real Estate (Coldwell Banker United Realtors® ~ 512.346.1799) over 2 years ago

Good morning Sally and David. Seeking an agent with sufficient expertise is critical to a smooth process! Enjoy your day!

Posted by Wayne Martin, Real Estate Broker (Wayne M Martin) over 2 years ago

You are good agents and your clients are lucky to be working with you.

Posted by Gita Bantwal, REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel (RE/MAX Centre Realtors) over 2 years ago

I can understand this question from the buyers' agent.  As, I understand your answer as well.

Posted by Gabe Sanders, Stuart Florida Real Estate (Real Estate of Florida specializing in Martin County Residential Homes, Condos and Land Sales) over 2 years ago

You know the answer to these questions Sally & David and that's one of the reasons why your so successful in this niche!

Posted by Lawrence "Larry" & Sheila Agranoff. Cell: 631-805-4400, Long Island Condo & Home Sale Specialists (The Top Team @ Charles Rutenberg Realty 255 Executive Dr, Plainview NY 11803) over 2 years ago

Sally K. & David L. Hanson Your impication here is that an unprofessional buyers' agent actually had the audacity to ask you what your sellers' hardship was? That take balls!

Posted by Sandy Padula and Norm Padula, JD, GRI, Presence, Persistence & Perseverance (Realty National) over 2 years ago

We live in a world where everyone feels they are entitled to all of the details.....NOT!

Posted by Roger D. Mucci, Lets shake things up at your home today! (Shaken...with a Twist 216.633.2092) over 2 years ago

Great post - I can't believe how many buyer agents argue with me about the terms of the short sale - I don't make the rules - the banks do!

Posted by Lise Howe, Assoc. Broker and Attorney Licensed in DC, MD, VA, (Keller Williams Capital Properties) over 2 years ago

Amazing what people think they have an inroad to know .. or the right to know these days, Sally K. & David L. Hanson.  Thankfully there are still some professionals with integrity, do the right thing,  and that don't stoop to the level of drama and reality shows ...


Posted by Gene Mundt, IL/WI Mortgage Originator - FHA/VA/Conv/Jumbo/Portfolio/Refi, 708.921.6331 - 40+ yrs experience (NMLS #216987, IL Lic. 031.0006220, WI Licensed. APMC NMLS #175656) over 2 years ago

Hi Sally.  You are a fierce advocate for your clients.  Stay warm.

Posted by Conrad Allen, Webster, Ma, Realtor (Re/Max Professional Associates) over 2 years ago

Sally and David you short to the point "YES" is perfect and all the Buyer needs to know.

Posted by George Souto, Your Connecticut Mortgage Expert (George Souto NMLS #65149 FHA, CHFA, VA Mortgages) over 2 years ago

Really good timing I am about to try and help someone go through this. I have told them I have no experience but they really need some help... I will read some of your other posts for more information  Thank you!

Posted by Debra Leisek ( Bay Realty,Inc Homer Alaska) over 2 years ago

For short sale the sellers are only interested in stalling forclosure process so they can get to stay longer.

For regular sale, I have not encountered hardship from the seller. May be wife punched her fist on his face to give a black eye-divorce.....

Posted by Sam Shueh, mba, cdpe, reopro, pe ( (408) 425-1601) over 2 years ago

Done many short sales here in Phoenix, South Phoenix and Laveen.  Currently have one I"m working on.  All have hardship.  Its a must.

Posted by David Alan Baker Laveen & South Phoenix Realtor, Your local Expert (HomeSmart) over 2 years ago

Good information for those who may find that a short sale is an option.

Posted by Joan Whitebook, Consumer Focused Real Estate Services (BHG The Masiello Group) over 2 years ago

Some people just take a lot of convincing or don't have the patience to do the proper research. Thanks for being one of the good ones!

Posted by Laura Cerrano, Certified Feng Shui Expert, Speaker & Researcher (Feng Shui Manhattan Long Island) over 2 years ago

A lot of it is fairly quick information for short sale, but that's what it needs to be in this case and it works! I agree!

Posted by Laura Cerrano, Certified Feng Shui Expert, Speaker & Researcher (Feng Shui Manhattan Long Island) over 2 years ago

It's no one's business why there is a short sale; obviously there is a need or the bank would not have said yes. I'm not sure why a buyer agent would even need to know this.

Posted by Kat Palmiotti, The House Kat (Grand Lux Realty, 914-419-0270, over 2 years ago

Working for the sellers is to maintain their privacy.  There has to be a need or the bank would not allow it.

Posted by Rose Mary Justice, Synergy Realty Pros (Synergy Realty Pros) over 2 years ago

Sally K. & David L. Hanson "We see no reason to document whatever the hardship to the Buyer or their agent. Life is tough enough for distressed sellers  without adding unnecessary problems to make things more difficult....airing the financial details of their hardship is unnecessary."  Agreed - it's "nunya" to the Buyer/Buyer Agent.  Re-Blog!

Posted by Tony and Suzanne Marriott, Associate Brokers, Serving Scottsdale, Phoenix and Maricopa County AZ (BVO Luxury Group @ Keller Williams Arizona Realty) over 2 years ago

Yes, sellers have to demonstrate a valid hardship to qualify for a short sale!

Many times there are multiple hardships which may include things like unemployment and divorce or serious illness and job loss...death of a spouse and insufficient income. 

Posted by Sham Reddy, CRS (H E R Realty, Dayton, OH) over 2 years ago

Here we see what experience and talent does when it is working...thank you

Posted by Richie Alan Naggar, agent & author (people first...then business Ran Right Realty ) over 2 years ago

It is lack of experience of a selling agent who asks this question. A buyer doesn't need to know why a seller is selling. 

Posted by Pamela Seley, Residential Real Estate Agent serving SW RivCo CA (West Coast Realty Division) over 2 years ago

Since we are in the age of oversharing and TMI, this question doesn't surprise me in the least, although it's sad it's being asked.  

Posted by Susan Haughton, Susan & Mindy Team...Honesty. Integrity. Results. (Long and Foster REALTORS (703) 470-4545) over 2 years ago

Inquiring minds want to know... they think it may help with their negotiations, but as the listing agent, the reason for the sale (or hardship) is not relevant and should be protected. Good for you!

Posted by Pat Starnes, Brandon, MS, Front Gate Realty ~ 601-991-2900 Office (Front Gate Real Estate) over 2 years ago

Just because someone poses a question, we don't have to answer it. It's amazing how much information I get out of agents on the other side, and that does not make me a bad agent.  I try to find out what my client wants to know. If I can't, I can't especially if it's not relevant to the transaction.

Posted by Hella M. Rothwell, Broker/Realtor®, Rothwell Realty Inc. CA#01968433 Carmel-by-the-Sea over 2 years ago

Sally and David

I'd say you covered they whys and hows of hardship in a short sale pretty well. Yes there is a hardship - Nuff said


Posted by Jeff Dowler, CRS, The Southern California Relocation Dude - Carlsbad (Solutions Real Estate ) over 2 years ago

Sometimes agents chase short sales that are not short sales, so they get burned because the sellers have no intention of really following through on the short sale, but those are idiot agents who list those things. You, Sally, are certainly NOT in that category, so regardless of  WHAT the buyer's agent thinks he is entitled to know, he is incorrect. The hardship is nobody's business but the listing agent and your fiduciary requires confidentiality, which some buyer's agents simply fail to understand; too bad, so sad. You go get 'em. :)

Posted by Elizabeth Weintraub Sacramento Real Estate Agent, Top 1% of Lyon Agents, Put 40 years of experience to work for you (Lyon Real Estate) over 2 years ago

Are short sales have dropped considerably.  Do you still have many?  And yes, I agree with you that there is no reason to air the dirty laundry of clients, no matter what.  WE have fiduciary duties.

Posted by Carla Muss-Jacobs, RETIRED (RETIRED / State License is Inactive) over 2 years ago

As a listing agent I need to know that the seller has a hardship or I don't take the listing.  I however, like you, protect that information from other parties. 

Posted by Tammy Lankford,, Broker GA Lake Sinclair/Eatonton/Milledgeville (Lane Realty Eatonton, GA Lake Sinclair, Milledgeville, 706-485-9668) over 2 years ago

This is an excellent perspective to share with prospective home buyers and their agents.

Posted by Roy Kelley, Roy and Dolores Kelley Photographs (Realty Group Referrals) over 2 years ago

Thanks for sharing, Great information Sally K. & David L. Hanson 

Posted by Michael Kaim, Real Estate team serving the Cleveland Area (Berkshire Hathaway HomeServices Professional Realty) over 2 years ago