Short sale negotiation fee

[Sam Leon]

I have a SS deal where the seller's agent mentioned they have an attorney who handles the negotiation with the bank (Chase) and will be charging an "added fee". I assume that's what some called the negotiation fee? I have yet to find out whether it's a flat fee or a percentage of the sale price.

How are SS negotiation fees addressed on the HUD1 or the purchase contract? Is it typical for the buyer to pay 100% of this fee or split between the buyer and lender? I assume seller won't pay a dime since they get nothing out of it? Once I find out the amount I probably will pad my offer price to account for it.

Also, other SS I have purchased the seller is in some form of delinquent payment. Agent told me seller has not missed a payment but once the contract is executed and they prepare the package he will begin to not pay...is this right? I thought the bank will only consider a SS if the seller hasn't pay a few months? What if the bank receives the SS papers and the seller hasn't missed a payment yet? Is that going to be a problem?