by Paula Samford
I recently assisted some buyers with an attempt at purchasing a short sale. We submitted our offer in October, 2010 and after weekly motivational speeches to my clients to” hang in there” we finally received a response from the bank mid January stating that the sellers have $49 in surplus every month after they pay all of their bills so they “don’t know if they will allow the shortsale.” At this point I’m really disgusted because the fluctuation of food and gas prices alone can absorb $49/month! Two weeks later, the bank decides that they will allow the seller to move forward with the shortsale, so nice of them, especially since the sellers had already moved! AND…. Finally……. this week we received a response from the bank with a counter 17k higher than our offer and 7k higher than the list price and they refuse to negotiate because “it is a federally insured loan” and they “cannot sell the property below certain percentages of loss.” I have to assume that they will not get their insurance money if they go below this certain percentage mark. In other words, they would rather it foreclose than to adjust the price to what the market will now support! This video is really an eye opener, it shows what some of these banks are up to!