All these brokers are right. I would like to know who that lender is, for future reference. Also, did your real estate agent advise you against putting money into a house that you don't own?

Penwen and Rocy. I also would like to know how that all worked out. There are 3 main reasons I would never advise a buyer to fix up a property. First of all, the short sale bank has no loyalty to you and could back out at any time. Second, If things did not work out with the repair, the seller could hold you responsibile even if the deal did not go through. Third, FHA will not allow you as a buyer to do this and neither will most conventional lenders. I would better advice from your agent's managing broker and also get some legal advice. Finally, This is just not a good idea to do no matter how much you may love this particular home.

Robert McGuire - Denver
Your Castle Real Estate
rpmcguirejr@msn.com

hello penwen my name is rocy and i would like to ask u how did that deal ended up???
did they answer did u close????
im in the same situation and we have not fix anything yet but we really want the house the only thing is that really makes me worry!!!

Hi Penwen,

I would recommend that yoou not put money into a short sale property unless you have closed on the property and the title to the property is legally yours. If a bank asks you to do this, I recommend telling them that you will not, and if they insist that you do it, walk away from the deal. There are many other properties in short sale or REO status that the bank will not ask the buyer to do this.

To see other available Denver Metro foreclosure properties, you can go to my website:

http://www.denvercoloradorealestatenow.com/page/94496/Forecl…

Thanks,

Ethan

I agree with Joetta on this one. But here's another thought. Did you sign a lien waiver for the work you had performed on the bathroom. If not, and depending on the addendums that the bank may have required you to execute with the contract, you may have some leverage to get your deal done quicker and/or to make sure it gets done at all.

You need to read your contract, especially paragraphs 6 and 10.4. If this deal doesn't close, you've given a nice gift to the seller, or the bank if the foreclosure goes through. The lender will probably have to send the appraiser out again, to verify the work. There could be many reasons why it still hasn't closed, but that could be one. Do you have an agent? Did they try to get the seller's lien holder to pay? They should be able to explain to you what's holding up the closing.

Tell me if I have got this straight.
Your lender said that the bathroom had to be redone prior to closing as a condition of the loan. And, you redid the bathroom, at your expense, prior to closing.
What is holding up the closing? Is it scheduled now?
I advise my clients to never make repairs to a property they are buying prior to the closing. So many things can happen....