What is your motivation for the purchase? If you really want the home, then be prepared to negotiate for it. Is the seller leaving the utitilies on for your inspection? Is the pool running? Is it being refilled with water?
Make sure you have an agent who is experienced with Short Sales, there is a lot of work and knowledge involved and you need an expert. Feel Free to contact me,
Sincerely, Diane 702.401.0307
Charges that are sometimes requested to be paid by the seller are sometimes rejected by the short sale bank, which would typically include the pest inspection and a 1-year home warranty for the buyer. If these costs are rejected by the short sale bank, then they become the responsibility of the buyer.
Virtually every other expense such as Common Interest Community (CIC commonly referred to as HOA fees) should be prorated to the time of the close of escrow: e.g. taxes, sewer (if separate from HOA fees), etc. As the buyer you should be willing to pay for any inspections and home warranty if you want one since you are likely purchasing the property for less than replacement cost.
In southern Nevada we use a short sale addendum to the purchase agreement that protects both parties to the whims of the lender and you won't have to pay for your inspections, or other due diligence until you have written approval from the lender that the short sale has been approved and both parties are aware of, and have accepted, the lender's conditions.
There are a lot of moving parts to a short sale but the good news is that lenders are responding quicker and have a better approval process in place compared to 9 months ago. If you know the ropes or have good buyer representation in a knowledgeable agent you can pick up some smokin' deals.
Foreclosures may be different because now the seller is the bank and you are negotiating with the bank directly. They may ask you to pay taxes or liens but that would be part of the contract and you would be aware of them during the negotiating period.