Tell everyone , including your realtor that you have a funny feeling about the whole thing and have to think twice but don't burn any bridges. In the meantime, get yourself some other options by getting another realtor and looking at more properties.
Best of luck to you!
Jessica E. Nooney
(609) 654-8633 Ext. 121
(609) 276-8183 (CELL)
(609) 479-5333 (Direct Fax)
"Helping You Reach Your Real Estate Goals - Buying or Selling"
There are a couple of points that need to be addressed. One - would you be financing the house? If so you may
have a problem aquiring financing based on the appraisal if you go over the value. Second - if the the owners second mortgage bank will not accept it is all a mute point. Have your agent dig deeper. If I were you I would be
activly looking at other houses while waiting this out but the loan issue is important to resolve now.
Best of Luck to you! Vicky
You have a relationship with an agent working on your behalf and you really need to get with them for answers to your questions. It would be highly unethical for another licensed agent to become involved when you have a relationship in place as we are bound by a Code of Ethics.
Your best bet is to sit down with your agent and go though everything in detail and make the appropriate decisions.
Best of Luck,
Tom Priester e-PRO
"Results Driven Real Estate"
Keller Williams Realty
please see my blog for how a shorty sale works with advice and tips on how to get them approved.
Sorry to hear what you are going thru with this transaction ,although, not unusual for a shortsale. I do not encourage any of my Buyers to pay more than the property is appraised for. You say you love it, the question is, "Do you love it enough to pay $9,000 more?. I will tell you if it goes to foreclosure, they will take what you offered. maybe its worth the wait , there is alot of inventory out there. One door shuts, another opens! best to you.
Cancel your offer now. You'd be crazy to continue wasting time or to pay their price which would put you upside down in the house. I wouldn't dream of offering as much as you did, and in foreclosure my guess is you can pick it up for much less.
I sold my condo $40,000 above other comps in same complex. It was in much better shape and it became the new comp bringing up appraised value for all.
The bank is not ever going to be happy throwing away money. Remember they bought the house.
Always be prepared for a slow deal if it is a short sale.
One of the reasons the appraisal was low is because of the most comparable sales in the neighborhood.
Paying $9000 more maks your home a higher comparable for the rest of the neighborhood.
We are seeing some areas start to climb again.
I've seen these situations always play out in the buyer's favor when he or she stands on a firm offer. Everyone still wants the deal to happen so then they are forced to get creative. Don't get nervous, they'll find other ways to resolve it without you having to saw a limb off to make the deal happen.
At this point it seems that the lending institutions need to come to terms with the current market value of the property. It certainly doesn't matter what they want, it only matters what someone will pay for the home and what the next lending institution will offer as a loan.
I can only imagine your agent is all ready presenting the facts to the banks via the sellers.
In this market we are seeing values depleted, some are unbelievable buys and others just good buys. When you start paying more than what something is worth then it is a question whether you feel it is worth more... or not... "You "Really Love this house!" How much do you love it more than what it is worth. Is this the end, I've seen these linger on and on asking for more and more.
It was said here go back and ask the appraiser if they could raise the price, No can do ! You cannot ask an appraiser to raise their valuation. You can present proof and ask for reconsideration as long as you can provide evidence of more value. Maybe something was missed, using different comps, allowances for sq ft or lot size or location. But you cannot ask the appraiser to just raise the value. I think the response was actually referring to what I am saying here, provide for a reconsideration of value but you must provide some proof. And appraisers are not always agreeable, since their licenses are on the line but we all make mistakes, so a valid reason for reconsideration would have to be made.
Again the appraisal is not what is the problem here until you go for your loan, it is what is owed and what the jr lien holder is getting out of the deal here. http://goo.gl/ZlKNb Sounds like the jr holder wants 10k to buy them out or maybe that is not what is actually being negotiated maybe it's just an offer to try to get jr holder to accept...
without knowing all the actions and what is being said it is hard to help. Your agent should have the answers.
We are all answering in the dark here. and it is not fair to you or your agent. but you question should yo be paying more than the appraised value? ? ? You and your family needs to determine the value now... Is it worth $10k more than it's real market value... the appraised value!
Weichert Realtors Turnersville
I would like to invite you to my free workshop tonight at 7 PM called Winning With Foreclosures. At this class you will learn the ins and outs of buying foreclosed property. Learn how to be successful at purchasing bank owned and short sale properties. It is to difficult for me to answer your question in this format but my hour long class will be helpful in understanding the process and knowing what options you have available in your situation.
To register go to http://www.jotform.com/form/2655117417
This class is held the second Thursday of every month at my office in Northfield:
Keller Williams Realty Atlantic Shore
200 Tilton Road, Suite 5
Northfield, NJ 08225
The second trust is probably going to be a problem and may be why you have been waiting so long. Your $10k above the listed price was the way to go, but the 2nd trust will be the problem. Since you paid the appraiser already I would contact him to ask if the value could be $10k higher to give you some peace of mind. The question is about value, is the house worth $211k compared to what else is out there.