Short sale Inspections question

[Robert Courtney]

I'm looking for help answering some concerns I have about a duplex. We are in the final stages of closing on a duplex and I discovered mold in the property recently. I had an inspector come look at it and was given an outrageous quote of $20,000. I asked my realtor if there was any chance of the bank renegotiating and she told me no. I told her I would walk away and she told me she would check with the banks realtor to doublecheck. She called me back and again told me there was no way to renegotiate the price and that the bank realtor would not even attempt it. The reasoning given is because it is a short sale and short sales work differently than normal sales. They also don't have an inspection contingency in the contract. I realize that I could jeopardize my earnest money because of this if the bank decides not to renegotiate, but I feel like I'm being lied to concerning whether or not there is a possibility for negotiation. My question is, on an "as is" short sale near the final stages, is it possible for the bank to renegotiate if a major issue is found with the house? 

[Billy Runyan]

Almost every "offer to purchase" or Real Estate Purchase Agreement (RPA) has a due diligence provision that starts for a period of days "once the contract is accepted" by both parties in writing. To that end, the buyer normally has the opportunity to do a professional inspection of the property by licensed contractors. There is a "Federal"" document commonality referred to as "For your Protection" get a home inspection. Read your contract. Many times some of the grinders (companies on the take) try to make the earnest money deposit non-refundable PRIOR to the inspections. If you see that... my advise is RUN, don't walk AWAY from it as fast as you can. I sold hundreds of bank owned REO's and every one of them had the right of inspection. BEST LUCK!