Short sale/Bank demanding home be listed on HUBZU to sell.

[Sean Dougherty]

Hello everyone and thanks in advance for any advice/information anyone can provide.

Making a long story short, or as short as possible:

I have located a homeowner who has been issued notice of default and is delinquent for over 2 years on his mortgage. He agreed to sell to me and I set him up with my realtor and he has been approved for HAFFA funds. Seller is more than willing (grateful even) and cooperating with all paper work etc. We submitted offer of $180k to bank.

After 3.5 months Bank orders appraisal that comes back at $230k. I request a variance and submit with it 2 estimates from local contractors bidding the cost of repairs. ( Both bids are for over $100k.)

Now 3 weeks after that the bank responds that they are demanding that property be listed on HUBZU website to be auctioned off to highest bidder and I am welcome to submit my offer via the website.

The listing agent is also my agent who I have been working with on many short sale deals. He says he has no choice but to list on HUBZU because bank refuses to even negotiate otherwise. Seller and listing agent have accepted and tried to push my offer through as it is the only offer that came in. I am willing to negotiate price but bank says NO. Right now listing is CONTINGENT. And initially the bank says they only want to deal with one offer at a time. Now they all of a sudden are demanding to list on HUBZU for it to even qualify as a short sale.

 What can I do? My agent specializes in short sales and he says he has never seen this. Is there anyway I can push my offer through without it going on HUBZU? Any advice please!!