By Deborah Ball, RE/MAX Times Online Associate Editor

Last year, Maria Peña-Morales and her team closed 17 Short Sales, each one helping a family avoid foreclosure. The Platinum Club member with RE/MAX Ranch & Beach in San Diego has used her training from the Certified Distressed Property Expert designation to successfully accomplish her goal: Closing each and every Short Sale listing she takes.

Peña-Morales says her team sprang into action after RE/MAX International Chairman and Co-Founder Dave Liniger encouraged Associates to become educated about distressed properties in mid-2009.

"One of the first things I did was shift my part-time marketing assistant to a full-time Short Sale coordinator position," Peña-Morales says. "We created a business within our business to exclusively handle Short Sales, and it has paid off.

"The CDPE training showed me an efficient, organized way to sort all the documentation you need for a Short Sale. Having a system in place to manage all the forms and documents you have to keep track of is a huge help when dealing with banks."

Meeting a major demand
In Peña-Morales' market, distressed properties are a significant part of the landscape. She estimates that 90 percent of the properties listed for less than $400,000 in the San Diego MLS in 2009 were in some sort of distress.

When her team takes a distressed listing, it has a Short Sale package with pre-written forms ready to go, Peña-Morales says. She keeps a file for each pre-listing appointment with a list of questions to ask sellers and background information she collects for the file. First, she asks whether a seller has considered a loan modification or bankruptcy, which are sometimes better options for the client.

"I hit all the points on that form and it keeps everyone on track," Peña-Morales says. "We have a binder for each of our listings and in it, and we include communication to and from the banks, between us and other agents, as well as the clients.

"At my last two listing appointments, the sellers were in disbelief that we could short sell their house within three months; they were under the misconception that it takes forever to get this done. It doesn't if you know what you're doing and have a thorough package prepared – that's how you create a good working relationship with lenders."

A short-sale success story
Peña-Morales' goal is to sell as many properties as she can by Short Sale before they go into foreclosure. That's what she did for David Cichon and Jonathan Aeria.

The pair bought a new condo for $400,000 in 2006 and made many high-end upgrades over the years. In 2009, they decided to relocate to Las Vegas because of a job transfer. In June, however, Cichon was laid off from his $70,000-a-year job as a commercial landscaping supervisor just weeks after closing on a home in Las Vegas.

Knowing they couldn't afford both homes solely on Aeria's banking salary, Cichon says he contacted their lender for help. The bank, however, wouldn't work with them until they missed a payment.

"I had seen one of Maria's flyers in our building. Although I was skeptical, I called her," Cichon says. "Within days of her taking our listing, the bank's calls stopped and she had nearly 20 buyers interested in our place. She was a Godsend."

Peña-Morales' detailed Short Sale package including a document checklist, hardship letter examples and required bank forms made the transaction easy and seamless. After just three months, the property sold for $305,000 and the couple was able to move on.

"Maria got us out of an emotional, stressful situation and delivered on her promises," Cichon says. "She became our best friend in the process."

'Education is a must'
Peña-Morales continues to get the latest training from CDPE and other outlets to stay on top of the latest information regarding distressed properties. She is constantly outlining options for people facing foreclosure. Her team sends out press releases and advertises its services heavily through e-mail blasts, social networking, and monthly mailers.

Educating clients and fellow real estate agents about the new streamlined Short Sale guidelines, will hopefully make the process more efficient and speed up closing times, Peña-Morales says. Nearly 10,000 RE/MAX Associates have earned the CDPE since 2008. Many offices are completing the CDPE en masse; 18 Associates with RE/MAX Olympic Realty in Manassas and Haymarket, Va., recently completed the CDPE as one group. With CDPE training, agents have all the tools, resources and guidance they need to effect a positive change in their markets, Peña-Morales says.

"You do yourself, clients and the community a disservice by not having this education," she says. "What you gain in confidence, credibility and knowledge is invaluable, and it's part of your duty as professional to be armed with the knowledge to help people in any market condition."

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Posted 1/25/2010