It is to bad that the Bank has listed it with someone that probably does not normally do business in the area instead of listing it with a local Broker, that would probably get the price that the building wants and the Bank needs.
Your lawyer should have explained to you how buying a foreclosure works and also how Co-Ops work. You say you got a loan approval, so that is not considered a cash offer, does the building require more cash in the deal than your offer was being financed for? Ask what the Building will accept and see if you can get the financing/cash needed to buy it.
If you are asking for your money back from anyone, it sounds to me like it should be from your lawyer.
Kathryn Lilly, Broker
Realty on the Greene, LLC
You said the real estate company and the bank tried to "fight" with the management company, so they did try to protect your interest.
Did the agent need to disclose others had been turned down?
Not sure - maybe there were additional reasons the board rejected your offer.
That's the problem when buying a coop - the boards have a lot of power.
This is just my opinion............maybe a NY agent will have a different response.
The real estate did nothing wrong. Co-op sales are subject to co-op board approval. This fact is disclosed to all buyers and even written into the legal contract of sale. Co-op can deny a buyer without even giving a reason and you can never be 100% certain as to whether or not you will be approved.
It is unfortunate and arguably unfair that the co-op denied you simply because the sales price was too low. In most cases the co-op does not even give the buyer a reason why they are denied, they simply deny them. By law the co-op does not ev en have to give a reason. If you try to get the co-op to put in writing why you were denied, you will find that they refuse to do so.
The real estate had nothing to do with that and you cannot put them at fault. Please bear in mind that I am not an attorney and cannot give legal advice, you should speak to the lawyer who represented you and voice your thoughts and concerns and go by what your attorney advises.
If you are looking to purchase another place or if I can be of further assistance, please contact me direct.
Mitchell S. Feldman
Associate Broker/ Director of Sales/ e-Pro Realtor
Fillmore Real Estate
Office: (718) 252-2000/ Cell: (917) 805-0783
Unfortunately in a co-op transaction the Management company and Co-op Board wield immense power. It is not entirely uncommon for a purchase application to be turned down. In fact, even celebrities (Madonna, Jay-Z, etc) have been turned down from buying in co-ops.
It sounds like the agent/broker in this transaction was representing the owner (bank), in which case their fiduciary responsibility is to the seller. When purchasing it is always wise to have a team representing your interest (buyer's agent, buyer's lawyer, mortgage lender/broker, etc).
Neither the real estate company nor the bank profited from this transaction. In fact you mentioned that they both tried hard ("fight") to push the deal through, which probably took a lot of effort and time on their part. The only party that seemed to have profited was your lawyer. Why not try to recoup the money from the law firm?
Unfortunately you may be out of the $1000. It is a very slim chance that you will recoup from the Law firm (unless you have a longstanding relationship and they appreciate your future business). It will also be very difficult to go after the real estate company or the bank, unless you have some serious evidence proving some gross negligence or deception or something. Most likely you will not win any sum in court. Maybe you can scare them into paying without going to court, but that will be a very slim chance (since both the bank and real estate company no doubt have good counsel).
If you are still interested in purchasing, you should assemble a team that represents your interest. If you need a real estate professional feel free to reach out to me.
250 Park Avenue South, New York, NY 10003
Phone 347.631.4330 | Fax 917-262-7371
Sales + Rentals. Knowledge + Guidance.
If they had known your offer didn't stand a chance of being approved, why would they waste any time on it????
That just wouldn't make sense, would it?
There was absolutely NOTHING in it for them to withhold information from you.
Now, the board has apparently let them know what number they would consider........so the new price reflects that.
Now the unit is on the market again with twice much price the before. I feel like the real estate company has been knowing issues and didn't tell me could be cheating.