SHORT SALE SELLER WANTS OUT!!

[Ian Efron]

Hello all,

I live in Texas. I recently had a call back from some letters that my wife and I sent to some pre-foreclosures. The auction is on February 2nd. We planned a meeting with the seller tomorrow. Here's the catch: I looked on HAR to get some comps and the property is currently listed as a short sale. Spoke with my agent and they said that the seller has no option now. The bank has all control as it is a short sale. To make matters worse, the sellers agent is very difficult to deal with, and the seller does not get along with them at all. Not sure when the listing contract is up either. What are some of the options I have besides submitting a market value offer to the bank? Thank you all!

[Matthew Fields]

In my area when a bank is foreclosing they will often come to terms on a short sale right up to the day before the foreclosure. Generally if a bank has an occupied home that is about to foreclose, if there is no second mortgage, they will try to accept a short sale in my area at 70-75% of market value. If there is a second, from a different bank, the primary lender often cannot negotiate the second mortgage down enough, to be beneficial over foreclosure. I would attend the sale and see how much the bank offers on auction even if you don't agree on short sale. Also if you do agree to short sale, and it is occupied, factor in attorney fees and holding time of eviction process. If occupant aren't happy they may not be nice when being evicted. Hope it helps.