Short Sale - Bank Asking for More $$$

[Anonymous]

I'd really like to get some input on this situation...just to see if it seems "normal" or if it sounds fishy...

Short sale list price $71,000.  I offered $75,000 with seller paying $4,000 of closing costs.  Seller's accepted offer...offer was turned over to the bank for approval about 3 weeks ago.  Seemed like everything was going smoothly until Friday of last week.

Seller's bank is requesting that I add $8,000 to my asking price.  What in the world?!  Doesn't seem right. While this is a wonderful home and a steal (approx. $100,000 less than it was bought for 6 years ago), I really want to stay as low as possible.  Is this normal?

Also, I learned that the seller's were to pay $10,000 to the lender in addition to my offer.  Does this sound like the seller's are shifting a portion of their committment to me?  Could that be it?  I'm dying over here waiting for a response and breakdown of exactly what they're counteroffering.  Darn these long weekend ; )  Makes for some extended stress!!!! 

Help help and help!!  I can afford the $8,000 no problem i just don't think this is right.  UGH.

Thanks (in advance!!)

[Anonymous]

It is very normal for a bank to counteroffer on a short sale. I don't think the seller is shifting a portion of their commitment to me, what they are saying is the bank wants $85K. The ball is now in your court, if you walk most likely what will happen is they will change the listing price, since they now know what the bank will accept.

Beside taking a long time, this is another reason why people don't like short sales, the sale price is ultimately determine by the bank.

[gagum129]

The bank probably had a BPO done on the house. This is a cheaper version of an appraisal done by a broker. If the BPO came back higher than what you offered or what the house listed at then that is probably why the bank is now asking for the higher price. My realtor in Florida has said that banks now a days are accepting prices that are around 80% to 90% of the BPO price. I am anxiously awaiting for the bank to accept or counter on my offer. The BPO was done 3 1/2 weeks ago and I have not heard a thing. Consider yourself lucky you have at least heard something!!! lol.

[Anonymous]

Thanks for your input, Shazer.  Makes me feel better to know this isn't unusual!!

[Anonymous]

Oh, I do consider myself lucky : )  I thought I'd be waiting for MONTHS.  It seems like the sellers really are looking to get the property off their hands as well as the bank.  It was listed much higher for over a year with only one offer (which fell through after three months of waiting).  They reduced the price and I'm ready to go...seems like they are too.

Thanks for your reply!

[Anonymous]

Not a problem. I am also waiting to hear back on a short sale. I really did not want to go the short sale route, but something good came along and I am in no hurry.

You heard back from the bank quick, it has only been a week for me.

Keep us posted on what you decide to do. If you don't mind me asking who is the bank?