Yep you are toast.It sounds like you are trying to lock up a private deal and get them to accept a low offer.What they are telling you is before they accept a short sale they have a servicing guideline REQUIREMENT that the property has to be marketed.They want to see all the different offers to come in to make sure your offer isn't a low ball.

Good news is I locked a 725K Lease Purchase with the understanding that I wont execute until I find a Tenant Buyer.

Get a schedule of estimated repairs , painting , lock changes etc ?

Unfortunately, most of the noise regarding bulk deals does turn out to be just that, noise.Before robo-signing locked the banks down, the company I work for actually had purchased small bulk packages from banks and had success turning those properties.

Also be sure to go through the house when the showings are over and check every window and door lock, basement included.

My "con" to that is that ONLY 3 year ARMs are available (at least that I can find) - so by "jumping" on great rates now, we're only locking in for 3 years anyway.

My husband and I locked in a rate of 4.25% on a 30 year loan with a mortgage company.

Nice job locking in instant equity, and sound like your CF will be excellent!

There is also a key lock box on the front door which I would assume is for workers since it is not currently on the MLS.

Could be he'd be happy to lock in a 6% yield.