Short sale Question
I'm interested in a house(Arizona) that is scheduled to be sold at the courthouse steps on 3/10/03. I contacted the owner about purchasing the property. She informed me that she has a “short sale” offer in at the bank. Nothing signed yet. Here’s the question…..Can I contact the bank and offer more???? (the buyer told me how much the short sale was for). Or does she have to agree to whom she sells to because she still owns the property???? Thanks in advance for any information.
"She informed me that she has a “short sale” offer in at the bank."
As far as I know, she CAN'T have a short sale in. Lender will not deal with owners that way. It has to be an outside buyer.
"Or does she have to agree to whom she sells to because she still owns the property????"
Presumably the owner has a contract signed with a buyer that is negotiating a short sale with the lender. So you may not have a way in. Ask the seller if there is a contract. If not, sign a contract with them and submit your own short sale. Don't forget your profit!!!!
Thanks noslenj123 for your input. I didn't make myself clear. The seller has a friend that put a contract in with her to the bank for a short sale. She wants the bank to short sell to this person for 280,000 (20K under whats owed). And then he going to give her money under the table. (shady I know) The house is worth ~350K, but I'm interested for my personal residence. So the question is can I go in and offer the bank more without the cooperation of the seller?
Just to let fellow readers in on what I found out during my research:
The bank cannot sell you what they do not own. Therefor they cannot take a higher offer from you, since they are not the seller. The only thing the bank can do is either accept or reject the offer that is represented to them. Now if the bank also thinks that the home is worth $350K, I doubt that they will accept the offer. The offer is at 80% of value, while they will probably get paid off in full at the auction in 1 month (AZ f/c sales are very competitive, and banks usually get close to 85-88% of market value.
If the property goes to auction on 3/10/03, and nobody outbids the bank, you can then make an offer to the bank, since they are now the owner.
Hi Lashel--welcome to TCI!!
If you go to the main page here and click on articles you will see one by DWAN on shortsales---it is GREAT!! It will answer some of your questions and then you can got to the forum page and click on search and enter short sales and you'll get tons of info.! Dive in--the learnins fine and fun.
Wish you all the best
Mel
[ Edited by jimh634 on Date 09/27/2005 ]