Home Buying in Jacksonville>Question Details

Mama, Home Buyer in Naples, FL

what if i bid on a short sale at list price, cash deal, it goes to short w contingency then to bankruptcy with contract, does that mean i am approved?

Asked by Mama, Naples, FL Fri Jun 28, 2013

Help the community by answering this question:


Your question is very confusing. going from a Short Sale to Bankruptcy? The seller or sellers would have to file BK for the property to be included in the Bankruptcy.
If that is the case before a Short Sale negotiator can work on the file it has to be removed from the BK either by the sellers or through a Lift of Stay. (Check with an Attorney regarding this.
But if the property is not under Ch13 or a Ch7 (Chapter 7's usually 3 months to discharge).

Even if the previous lender approved the Short Sale it is buyer specific. Meaning if your names not on the form the bank can come back higher lower etc.
Cash is a strong offer but often times depending on condition and BPO (Brokers Price Opinion) or Appraisal the bank has to determine what is the better offer.
0 votes Thank Flag Link Tue Jul 16, 2013
Great question....and GOOD LUCK dealing in "short sales". BOTTOM LINE.....the lender does WHAT they want....WHEN they want....and they DO NOT CARE about the buyer, the seller, the cash, the attorney....or ANYTHING. The lender can pull the home the DAY OF CLOSING.....so.....have your support professionals.....the real estate agents....the attorney....the title company DOUBLE and TRIPLE check EVERYTHING. You will not know where you stand until you close...give them the money and they accept the money...and they sign all paperwork.
Good Luck again......sometimes they work out FINE....so...there is HOPE...but NO GUARANTEE!

Donna Delegal
"The Real Estate Lady"
Oceanside Real Estate
(904) 732-PACK (904) 732-7225
0 votes Thank Flag Link Fri Jun 28, 2013
Unless the list price was approved originally by the shortsale lender, it is just a best guess on what they will accept, if the bank feels the price is too low they may make a counter offer. There are ways to escalate your offer over the banks head to try to force approval if your offer is fair or if they are taking more than 60 days to respond. Check with your Realtor the best course of action.
0 votes Thank Flag Link Fri Jun 28, 2013
I dislike all the bid talk, sounds like we are at an auction.

You made an offer and the seller accepted it and then the lender(s) need to decide if they will accept the offer or ask for more. Often, since they did not set the listed price, they want more than the list price. Cash is good, but it will not move mountains and banks are like big mountains. They move at their pace and are not forced to hurry. I am not sure about the part you mention saying "then it goes to bankruptcy with contract". I am not sure what that means. If the seller files bankruptcy it could stall the whole short sale deal. Read this:

0 votes Thank Flag Link Fri Jun 28, 2013
Not really. If you bid at the list price, which doesn't mean anything, that's just a good start. You still have to win the bid against others who may bid over the list price. Then, you'll have to wait until the short sale lender to approve or reject the winning bid. That process alone can take 4-8 months.
Web Reference: http://www.archershomes.com
0 votes Thank Flag Link Fri Jun 28, 2013
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