Short sales are notoriously difficult and complicated. You do need to be working with two agents that both know what they're doing. I don't understand the hesitation to include the short sale addendum, I can't imagine two agents who would neglect it.
Mostly what the short sale addendum does, is inform you and the seller how difficult a short sale is to accomplish. As far as being afraid the seller will cancel your contract and go with a higher one, that would be incredibly foolish when your contract has been on the table this long. If they cancel your contract, the bank would close the file and start from the beginning. Since the NED was filed over a year ago, the seller would really be pushing their luck to try such a thing. I'm sure the seller's agent wants this deal to close too, so they can get paid for all their work.
Still, you never know what's going to happen in a short sale. The best practice is lots of communication.
If you have no short sale addendum, what is the closing date on the contract you signed? Was there something stated about the sale being short in the Additional Provisions?
I recommend you discuss in more detail with your agent what is actually going on with your offer and the Short Sale, until you understand and feel comfortable with your situation and offer. It is a confusing process for buyers and sellers both, but it sounds like there may just be some miscommunications with your agent that could easily be resolved by talking to them.
If after you still don't feel your concerns have been answered, email me the information and I can take a look at it for you. firstname.lastname@example.org. I have been working Short Sales with lenders and teaching agents how to work them for the last 7 years.
Good luck and I hope you are able to get everything resolved.
All the agents here shared great information with you! I just want to add, that you are currently at the very beginning of the process. Yes, 2 months after you submitted an offer is the very beginning. If everything goes well, be prepared to wait several more months to close. In fact, it may never close for various reasons. Please ask your agent for a Short sale addendum - it's purpose is to inform you, the Buyer, of the uncertainty of short sales. Best of luck to you and I hope you get the house!
Cherry Creek Properties
Is your agent a buyer agent for you? If so, this agent should be working on your behalf. I do a lot of short sales and know the workings of the process. You are welcome to contact me if you are not under a buyer agency agreement with anyone.
Good luck with your home purchase. I hope it goes well for you.