The short-sale package, item by item.
More short sales fail on paperwork than on price. This guide lists the documents lenders typically ask for, explains what each one is used for, and shows how to submit a complete package the first time so the file stops losing weeks to request cycles.
What a complete package usually contains
Every servicer has its own list, but the same set of documents appears again and again. Policies change, so treat this as the starting skeleton and confirm the current list with your servicer.
Hardship letter
The borrower's own written explanation of what changed. Clear, specific, and supported by the rest of the package.
Identification
Copies of the borrower's government ID for all names on the loan.
Income verification
The servicer may request recent pay stubs, W-2s or 1099s, tax returns, and a profit-and-loss statement if self-employed.
Financial statements
Servicers may request bank and investment statements as part of the hardship review. The servicer may review available assets as part of evaluating hardship and borrower eligibility.
Expense worksheet
A monthly budget showing where the money goes, to prove payments are genuinely unaffordable now.
Mortgage and lien statements
The current payoff for the first mortgage plus any junior liens, HELOCs, or other encumbrances.
Property information
The listing agreement, a broker price opinion or CMA, and the property's condition notes so the valuation makes sense.
The purchase contract
Once an offer exists, the executed contract, the net sheet, and the estimated settlement statement show the investor what it would net.
The four rules that keep a package moving
Complete before you submit
A servicer that receives a gap will often stop and ask rather than chase. Assemble everything, then submit once.
Consistent and legible
Blurry scans, mismatched names, and altered statements invite rejection. Clean scans, consistent names, no white-out, no edits.
Fresh to the date
Old pay stubs and statements go stale fast. Refresh the dated documents in step with the servicer's request window.
Match the hardship story
The numbers must support the written hardship. A claim of lost income and bank statements showing large deposits reads as a red flag.
Never fabricate or alter. Every document you submit is verification fodder. Honest, complete, and consistent paperwork is the only defensible path, and it is the fastest one too.
How the team helps
We review your package before it goes out, flag the gaps servicers notice, and help you frame the hardship letter so the story the lender reads is the story your documents prove. For listing agents, that is a second set of eyes between your file and the queue.
Start a conversation
Want the package reviewed before it ships?
Contact our team to discuss a package review. Do not send financial documents through the website contact form.