Shady escrow request? ---> 50% of listed price

[Sergio B.]

So , I am still looking for my second deal.....have a couple of offers waiting for a response.

In the meantime, today I received a phone call from a Realtor that told me a couple of weeks ago the property I was interested in is under contact already. She is saying the buyer wants to back out ( this is a short sale) and if I want present an offer.

The property is listed for $40K in the MSL , and according to her the escrow this buyer has is $20K ( 50% of the value) Red flag 1?. I told her if i can use my own title company and she said the bank has already a title company.... sounds shady to me since this is an unapproved short sale , how come the bank can have a title company already? Red flag 2?.....any advise?