Negotioating second lien on a shortsale

[Sean Dougherty]

Thanks ahead of time for any pointers or advice. 

I am in contract on a short sale. Junior lien came up in title report. Ditech is 2nd lien holder. SPS is senior. Seller has already qualified for short sale with SPS. Now 2nd lien holder is requiring her to qualify for short sale as well. 

How likely is it that the second lien holder (ditech) will require some payment on amount owed in order to approve the sale. If they do ask for reimbursement, will they negotiate with senior lien holder? Considering all funds are going to senior holder, it seems logical that the two banks would negotiate in order to complete approval process.

Is that how things go? Or will I (the buyer) have to be the middle man negotiating between both lenders? Any help would be appreciated.

[Brett Goldsmith]

1st lien will allot money to 2nd lien. Depending on how much is offered, 2nd liens position and guidelines, will determine if they will accept it or counter. If the 2nd lien is short it needs to be ran through the short sale process too.