Home Buying in Fulton>Question Details

 Micca82, Real Estate Pro in Fulton, MD

Is it possible to make direct offer to bank for short-sale home?

Asked by Micca82, Fulton, MD Sat Aug 4, 2012

A house was listed as a short-sale, but when we put in an highly competitive offer, the seller's agent told our agent that the seller decided to keep the house. A couple weeks later, our agent told us that the house came back on the market as a short-sale and it's under contract (guess pending bank's approval). It looks almost as if the seller's trying to sell the house to someone specific. Not sure why they would do this. Our agent has been trying to contact the seller's agent to get more details, but no response. :(
My husband and I really like the house, and were wondering if there was any way we can directly make an offer to the bank? Is this a bad idea? What do you think? If it is possible, whom should I get involved in making sure bank will consider our offer seriously?

Help the community by answering this question:


For those that are caught up in a distressed sale the issue is likely more of indecision and confusion than trying to manipulate the system and sell to a prefered individual. It is not all that uncommon for these sellers to change their mind about possible options...to many it's overwhelming.

If the sale is a short sale, the present owner is still the "owner of record" and someone that you must deal with before presenting your offer to the lender. It's only after the owner agrees to these terms and conditions that it goes to the lender for their consideration.

If there is an agreed upon offer in the hands of the lender it's highly unlikely that you will be able to be recognized as a possible consideration until the offer under consideration by the bank is terminated. With short sales it's also common for several offers from different buyers to be submitted on the same property over time before the lender decides to accept an offer.

Our recommendation is to have your agent be in touch with the listing agent and make him/her aware of your interest. Should the deal fall through(and many do) having the agent notify you immediately may place you on the inside track.

Be patient......

0 votes Thank Flag Link Sun Aug 5, 2012
No. With a short sale, the property is not owned by the bank. The property owner alone has the right to accept or decline offers.

The bank gives final approval as to the price and terms of the negotiated contract.
0 votes Thank Flag Link Sun Aug 5, 2012
With short sales, the seller has the right to select the offer they select to the bank for approval. You can't send in an offer directly to the bank since the bank is not the one selling.

If your offer was not considered, you should move on. There's not much you can do even if you suspect something odd about the current accepted offer. Then again, the seller has to sign an affidavit that the sale was an arm's length transaction. So, unless the seller's agent wants to take a chance with his license, I doubt there's anything illegal about the transaction.
Web Reference: http://www.archershomes.com
0 votes Thank Flag Link Sat Aug 4, 2012
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