Contingency ?
What type of Contingencies should go into the initial Short Sale Contract with the Mortgage company?
I know I should make a contingency "Contract is subject to Short Sale approval" However, are there any other contingencies I should be aware of in order to protect myself from being obligated to purchase the property if something goes wrong and I need to pull out of the deal?
Any Suggestions?
You probably want to have inspection contingencies which you should do with any property purchase. There are a number of people on TCI that do a lot of short sales (TheShortSalePro comes to mind). Some of these folks may add particular contingencies, however, I would think that your chances of acquisition improves if you keep your contingencies to a minimum.
You can certainly stick a weasel clause in there like "contingent on approval by financial advisor", however, this may not fly very far with the bank or the seller. When I am getting financing I usually say "contingent on obtaining acceptable financing". If I am questioned about this I will respond that with the large number of loan programs out there I will need to find one that will work for this purchase. So far I have never been questioned.