I love this question and yes you do have options Dawn. First, you have to decide the strength of your offer. If it is not going to be any better than what is most likely for the first I would not even bother. However, if you would like to put a strong offer in, or at least full price offer I would for sure do it.
A buyer's agent responsibility is to find this out for you already, because they should be able to get a ballpark number from the listing agent on what is needed. You could still keep the house on the list and if the buyer walks at least it should be a pre-approved SS and you will know what is needed to get the deal done.
It should only take around 3 weeks for the BPO to get done and depending on the lender another 2 weeks to get back to you, but that will be your opportunity to move into first position. There is almost always a counter from the negotiator.
And although agents try to always pull the legal stuff and how traditional contracts works it is not the same as a short sale situation.
#1- most listing agents do an exclusive list contract with the seller- It really is not my responsibility to negotiate on the buyers behalf. If you really want to talk the whole 1 contract thing with me than facilitator agreements should be the norm.
#2- It is my responsibility to present the best offer to the lender and ultimately get the best deal for my seller.
If the lender counters the buyer it is not my responsibility to waste time negotiating on their behalf. If the 1st buyer does not agree to the price and terms I will let them know they are now in a multiple offer situation and they can decide what they want to do.
You may not want to be in a multiple offer situation and that is up to you. No matter what the 1st buyer still has the right to fully accept the lenders price and terms or respond to your back up offer.
Hopefully you have a good realtor assisting you on this that does short sales.
No there is no way to submit an offer directly to the bank after it has been listed by a realtor.
Keller Williams Coon Rapids
Short Sale Specialist
Keller Williams CR
As long as the seller still holds title the answer is no. There is a chain of events and simply selling short doesn't eliminate the need to have the legal owner who holds title agree to sell; the options are to wait or move on to another property. What does your Realtor recommend? I suggest having a conversation with your agent to determine what they feel is the best course of action.
Offers for any short sale will need to be agreed to by the seller as they are still the owners of the property - you won't be able to submit to the bank directly for a number of different reasons. The seller's can only accept one offer in MN, but they can submit as many as they want to the bank. The sticky part of using this mode of operating is that if the bank accepts the terms of an offer other than the one the seller accepted, the sellers will have a difficult time canceling the offer they accepted in order to work with the bank's favorite offer.
My advice in your situation would be to move unless there is something very special about the house beyond the price. If the house is a steal then the price will not likely be accepted by the bank.
Coldwell Banker Burnet
licensed MN Broker
If this is how the seller is going to handle offers, then you're pretty much stuck with that answer. This practice is very common in short sale situations.