8 ways to find short sales in 2025

Jan 10, 2025
 

 Short sales present a win-win opportunity for both investors and realtors by unlocking untapped potential in the real estate market and in this article we will go over how to find short sales.

For investors, they offer the chance to acquire properties at below-market prices, creating instant equity and higher returns on investment. Realtors, on the other hand, benefit from the niche expertise required to navigate these complex transactions, setting themselves apart from competitors while earning commissions on properties that might otherwise remain unsellable. Beyond the financial rewards, short sales allow both parties to help distressed homeowners avoid foreclosure, making a meaningful impact while achieving their professional goals.

In fact, I've been processing short sales for almost 2 decades and these are proven, actionable steps you can take today on how to find short sale homes.

Below, we dive into the most effective ways to find short sale properties, with actionable steps and tips tailored to the current real estate market. 

1. Build Relationships with Local Real Estate Agents

Real estate agents are often the first to know when a homeowner is considering a short sale. Building connections with agents who have experience in short sales can give you access to listings before they hit the market.

How to Get Started:

  • Attend local real estate networking events.
  • Search for agents online who specialize in short sales.
  • Offer value by referring potential sellers who need short sale expertise. 
  • Join a Community like Stephanie's (Attractionshortsale.com) who may have opportunities for you to list or purchase. 

Having a reliable agent in your network can be key to how to get a short sale successfully.

2. Monitor Pre-Foreclosure Lists

Pre-foreclosure is the stage where homeowners have missed mortgage payments but have not yet been foreclosed on. Many of these homeowners may opt for a short sale as a way to avoid foreclosure if they owe more on the home than it's worth.

Where to Find Pre-Foreclosure Data:

  • County Records: Most counties publish pre-foreclosure filings, such as Notices of Default or Lis Pendens depending on the state you are in.  Non Judicial States file Notices of Defaults and Judicial states file Lis pendens on mortgages that are behind. 
  • Online Platforms: Websites like RealtyTrac, Zillow, and Foreclosure.com, Auction.com Property Radar and Batch Leads aggregate this information.

Create a follow-up system to contact homeowners tactfully and offer solutions. Avoid coming across as opportunistic; instead, present yourself as someone who can help them navigate their options.  Be a problem solver not an Agent or Investor.  

Acting early allows you to approach homeowners with solutions and offers, giving you a competitive edge in how to find short sale properties

3. Leverage Your Network of Attorneys

Bankruptcy attorneys, divorce attorneys, probate attorneys often work with clients facing financial hardship. These professionals can be invaluable sources for short sale leads. When homeowners face financial difficulties, these trusted advisors often recommend short sales as a viable option.

How to Establish Partnerships:

  • Introduce yourself to local professionals with a clear explanation of how you can help their clients.
  • Offer educational resources, such as free consultations or workshops.
  • Maintain professionalism and prioritize client confidentiality to build trust.

Referrals can be a reliable way to find short sales that aren’t publicly listed.  Referrals are my #1 source to find short sales

4. Utilize Online Real Estate Platforms

Online real estate platforms are goldmines for finding short sales. Many websites allow you to filter listings to identify distressed properties, including short sales.

Top Platforms to Use:

  • Real Estate Bees: Join one-of-a-kind marketplace and get access to a massive inventory of inbound, highly motivated home seller leads for Real Estate Investors and Agents!
  • Zillow: Use filters like "foreclosures" and "potential listings" to find short sale opportunities.
  • MLS (Multiple Listing Service): If you're an Investor Partner with a real estate agent who has MLS access to locate these listings that are still active and available.
  • Redfin: Search terms like "short sale" or "subject to lender approval" can reveal short sale opportunities.
  • Auction.com shows pre-foreclosure leads.

If you’re wondering where to find short sale homes, the MLS should be one of your top resources.

5. Direct Mail Campaigns

Targeted direct mail campaigns to homeowners in financial distress can be highly effective. When done correctly, this method allows you to position yourself as a trusted advisor.

Best Practices for Direct Mail:

  • Use data-driven lists (e.g., pre-foreclosure homeowners or those with underwater mortgages). I recommend Property Radar.
  • Craft empathetic and solution-focused messaging.  
  • Include a clear call to action, such as a free consultation or educational resource.

This strategy helps you proactively find short sale properties while building trust with potential sellers.

6. Partner with Short Sale Negotiators like Stephanie Parks

Short sale negotiators are specialists who work directly with banks to facilitate short sales. They often have a pipeline of properties that are in the negotiation phase. If she cant help she can connect you with someone who can. 

Why Partnering Works:

  • Negotiators can share upcoming deals.
  • They can streamline the approval process, saving you time.
  • You can leverage their expertise to close more efficiently.
  • You have someone to help you navigate through the difficulties of short sales.

Negotiators will be your best bet on how to get short sale listings from banks.

7. Create a Digital Presence

Many homeowners research short sales online when they’re in financial distress. Having a strong digital presence can position you as the go-to expert in your area.

Digital Strategies:

  • SEO: Optimize your website for keywords like “short sale expert” or “help with short sale “in your city.”
  • Content Marketing: Publish blog posts, videos, or guides explaining how short sales work.
  • Social Media: Use platforms like Facebook and Instagram to target local homeowners with ads about your services.

8. Host Community Workshops

Educational workshops can establish you as an authority on short sales. These events can attract homeowners, agents, and even investors who need help navigating the process.

Workshop Topics to Cover:

  • The benefits of a short sale over foreclosure.
  • How to negotiate with lenders.
  • Real-life success stories to inspire confidence.

This strategy not only helps you find short sale properties but also builds trust within your community.

Mastering how to find short sale homes is about combining technology, networking, and proactive outreach to uncover hidden opportunities. Whether you’re targeting listings online, building relationships with industry professionals, or working directly with Agents or Investors, these strategies will help you consistently find short sales in any market.

By positioning yourself as a trusted expert and staying ahead of the competition, you can turn short sales into a lucrative and rewarding niche. Start implementing these tips today and discover where to find short sale homes that meet your goals and start making more money.

If you want to learn more about Short Sales check out Stephanie's Short Sale Training and Community that goes in Depth on ALL things short sales.

You can submit short sales leads for her to work for you or you can become the expert yourself: Check out her website. 

https://foreclosureguidance.com/short-sale-negotiations

Stephanie Parks

Short Sale Coach, Mentor, Expert Negotiator, Author, Child of God

Owner: FC Guidance Group, LLC and Attraction Short Sale Support

817-223-4924 (Call or Text)

[email protected] 

 

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