Beware of the words "approved" short sale. Until your offer is signed by the bank nothing is approved and those words can be very misleading. They might have agreed to a price based on a BPO or an appraisal but until they sign an actual offer nothing is "approved."
In your case, it sounds like the lender may have approved a prior offer for the current asking price but the prior offer was withdrawn. Lenders don't pre-approve short sales. They'll only make a decision when there's an offer on the table. Thus, if the listing agent says, it's pre-approved, it really only means that the bank approved an prior offer, but escrow did not close for whatever reason.
I am not clear on whether you plan on making a full price offer and ask for a credit to make up for the fact that the property is overpriced (in your opinion) or are you planning on making an offer for less than the pre-approved sale price? In the end, it's really a matter of semantics. The lender cares about the bottom line. If your offer yields less net proceeds than what they have already approved, the prior approval is really irrelevant. Theoretically, any prior approval is not a guarantee that a subsequent offer for the same price will be approved by the bank, but it's a good indicator that they would. However, the bank is not obligated to approve the new offer.
I think you'd have a better chance at getting the bank to approve a short sale for a lower price than a short sale offer that asks for a credit at the close of escrow. That's just my opinion based on my experience with short sales. Good luck to you.
Let's be practical....the seller is in a tough financial situation and cannot afford the property. Because of this, the owner is asking the bank to accept less than is rightfully owed to them to settle the loan agreement.
What you are requesting is for one of the two parties involved, the seller or the bank, to pay you money at closing. Either party would have to agree to this stipulation........It is highly doubtful that either party would agree.
You can always ask.......but don't expect too much.
The "Eckler Team"