There are a couple of ways that you could be responsible for this fee:
Did you sign a buyer-brokerage agreement where you agree to pay your agent a minimum percentage? The list agent could just lop the shared commission off and that agreement could force you to reimburse the difference in the reduced commission to your agent.
Did your agent include the MLS Broker's Synopsis as an addendum to your offer? If that negotiation fee is disclosed on the MLS form and you initialled it, you've agreed to that condition and could be locked in.
Now, the disclosure that was sent to your agent could be problematic, even if it wasn't signed. Your agent is required to have disclosed that to you, and if he didn't, it still doesn't change the fact that you are in a contract, so any backing out on your part will probably lead to an escrow dispute.
Here's how the process should have happened: You submit your offer. The seller needs you to pay closing costs, so will not sign the offer (and thus making it a binding contract) until you have signed the addendum they send you, you sign negotiation fee addendum and proceed to an executed contract from the buyers, or you disagree and cancel your offer.
I wish you luck,
short sales are not necessarily bargains and they're hard work.
Century 21 Professional Group Inc.
My Esteemed Colleagues all bring valuable insight to this question. Each deal is different and each 3rd party negotiator is different.
Some have the lender/seller pay others have the buyers pay a portion.
It really does depend.
If you want to pursue this then I suggest that you contact the FBI's Florida real estate fraud team. (Yes, there is one.)
Sorry not to be upbeat, but wating 8 months should have sent off alarm bells.
I don't know if they listing agent can cancel your offer but I would ask her if the bank will pay for the fee or if the agent or agents are willing to split the fee 3 ways to help make the deal work.
Down Payment Assistance/Rehab (203k) Loan Specialist
Enterprise Mortgage Group, LLC
1850 Lee Road, Suite 140
Winter Park, FL 32789
These days most agents are using either a title company, attorney or a paid facilitator to complete the short sale for their sellers. Most agents do not have the staff or time to follow up on the negotiations by themselves.
I agree with previous agent in that all fees should be disclosed upfront before you enter into a contract for purchase. I would check with your agent. If your agent did not present the form to you then that agent may be liable and may agree to pay the fee or split it with you. After all you were told that it was sent to your agent. What happened to it.? Someone is liable. The selling agent should prove via email or fax copy that it was sent over to your agent. You may try and negotiate with your agent for payment of this fee, since you did not agree to it. That is one answer.
You may agree to pay it, that is one answer. The selling agent may agree to pay since they should have to prove they sent it over. That is another answer. Obviously you get the picture that someone will have to pay the fees for the facilitator. This area of Real Estate is not currently being regulated. It is all so new. I am sure with time rules and regulations will come into play with guidelines for these situations.
That being said, may I ask if you if you have an expiration date for your offer? Just as a note aside, all buyers of short sales should consider putting an expiration date for the third party approval. These kind of transactions could tie you up for many months and many things can change in those months. Typically the current standard is 45 days for third party approval and then when that point passes you and seller can agree to extend it along month by month or for as long as you wish to stay in the contract. That is a much better approach than to be obligated to a contract until the end of time and possibly lose your escrow money in process. My last short sale, we extended it two or three times until if finally closed.
If you run into any changes of circumstances (such as this facilitator cost) you can opt out at the expiration date. Just something to think about. I hope this helps. If you require further info or help I will leave my contact information for your convenience.
Regards and thanks for the questions
Realtor*Moving You in the Right Direction
Normally fees are negotiated and advised of before an offer is made. However, it is not uncommon for these fees to be picked up by the buyer since they are receiving a bargain from the get go. Can you cancel your offer? You can always cancel an offer; however, you may be at risk of losing your Escrow Deposit. You may confirm that with your Real Estate Agent.
Good Luck with your hunt!