Home Buying in Agoura Hills>Question Details

Lnzyangel, Home Buyer in Agoura Hills, CA

On a short sale, offered 10% under asking with a $10,000 seller credit. Owners only owe about $40k over offer. At BofA , what're chances they

Asked by Lnzyangel, Agoura Hills, CA Wed Jan 11, 2012

accept? Do banks usually counter or just accept/decline? Are they likely to help us with closing costs?

Help the community by answering this question:

Answers

6
BEST ANSWER
It does not matter AT ALL what the owner owes vs. what the Listing Price is or what the current fair market value is. It's not going to be an "easier" short sale because the owners are underwater by $40,000 or $400,000. That said, whether you may a good offer or not can ONLY be compared with a market analysis (done by your Realtor) to see where current fair market value is compared to what you offered.

If you're getting an FHA loan getting the bank to pay 3% towards closing costs it's much easier than getting the bank to give you that amount when you're putting 20% down. If you're putting 20% down the bank thinks "why do you need help?".
0 votes Thank Flag Link Wed Jan 11, 2012
Each transaction is different. If you make a market value offer the bank SHOULD accept. Most agents will tell you NO closing costs, but I have been successful in negotiating closing costs the majority of the time. Most properties sale within 3-5% up or down of the listing price.

Good luck!

Dot Chance, Realtor®
Certified Distressed Property Expert – CDPE®
DRE License #01494182
Keller Williams Realty World Media Center
http://www.DotChance.com
818.339.7712

WHEN YOU THINK OF REAL ESTATE...Think DotChance.com! My business thrives from your referrals!
1 vote Thank Flag Link Wed Jan 11, 2012
Regardless of how much the seller owes on their mortgage, the short sale lender will be looking for close to fair market value of the property. The lender always sends out for an appraisal to help them determine the value. They usually have a net amount that they need to be close to - like a magic number. B of A usually issues counter offers. Talk to your real estate agent, hopefully they will give you a good explanation. Some agents have more experience with short sales than others.

Sara Mehrpouyan CDPE
Specializing in Short Sale & Foreclosure
Direct: 818-903-2040
Rodeo Realty
Dre License #01712757

http://www.short-sale-vs-foreclosure-help.com

Sign up for New Listing Alerts by Email: http://www.newlosangeleshomesearch.com/
Web Reference: http://athomewithsara.com
0 votes Thank Flag Link Wed Jan 11, 2012
you may also check http://WWW.liquidityvalue.com for time value market valuations
Flag Thu May 3, 2012
Hello Lazyangel,

It depends on the appraisal/BPO. Sounds like you have a good shot but it also depends on the seller an seller's agent getting all the paperwork to the bank that they need and in the meantime the home not foreclosing. The bank may counter the credit too.

Good luck!

Monique Carrabba
The Carrabba Group
Keller Williams Hollywood Hills
mcarrabba@kw.com
0 votes Thank Flag Link Wed Jan 11, 2012
Banks will usually counter. It all depends on the appraisal, how many payments they've missed, who the lender is, etc.
0 votes Thank Flag Link Wed Jan 11, 2012
....and time value pricing http://WWW.liquidityvalue.com for time value market valuations
Flag Thu May 3, 2012
You are assuming that the LISTING PRICE was some reasonable, well-thought-out, set-in-stone, piece of work:
You may be right.
You may be wrong.
Today, many Listing Prices are set intentionally LOW, 10-20% low, to attract multiple offers.
So if the house was $200,000, you are probably 25% under a reasonable price!
But you don't know, and neither do we.
You didn't get a CMA from a Realtor to determine the Fair Market Value for a good starting point.

I would say that your chances are very poor.

Good luck and may God bless
0 votes Thank Flag Link Wed Jan 11, 2012
...And the time value.... http://WWW.liquidityvalue.com for time value market valuations
Flag Thu May 3, 2012
Search Advice
Ask our community a question
Email me when…

Learn more

Copyright © 2014 Trulia, Inc. All rights reserved.   |  
Have a question? Visit our Help Center to find the answer