Do all offers on an advertised "contingent/CAPA...available with limitations" property have to be considered by the bank if approved by the

Asked by Squirty, Tucson, AZ Wed May 4, 2011

seller?

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Ric Mills, Agent, Oro Valley, AZ
Fri May 6, 2011
As you are seeing,the Banks play by "their rules". Contingent means they have accepted an offer and the deal is probably going through unless the deal unravels for some reason. CAPA means there is a deal working with the Bnak and that is probably the only deal the Bank will work with until they make a decision. The Bank can accept or counter and then any other deal may come into play if the first offer drops out. There are no hard fast rules that the Banks play by. Just remember "there is nothing short about a short sale". Contact me if you need a Realtor that does a lot of Short Sales and need an experienced agent in your corner.
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John Everhart, Agent, Tucson, AZ
Wed May 4, 2011
You have received six responses so far- all different. Are you confused yet?

"CAPA" is an acronym for "Can Accept Purchase Contract". "Active Contingent" indicates that an offer has been accepted but that a contingency is involved.

Short sales are generally shown as "CAPA" once an offer has been accepted. In short sales a Short Sale Addendum is incorporated. This addendum states that a seller may choose to present multiple offers. However, most creditors (banks) cannot walk and chew gum. Banks will only review one offer at a time. So, once an offer is submitted on a short sale the seller generally awaits a response from the bank. This often takes months.

During the time between the presentation of the offer to the bank and the bank's response, subsequent offers are usually held as backup offers by the seller. It is unusual for the first short sale offer to be successfully negotiated. Once the deal falls through on the first offer, the seller will request "highest and best" offer from among the subsequent offers - usually as a multiple counter offer. Very often that "highest and best" second offer does culminate in a short sale's close of escrow.

Having fun yet?
Web Reference:  http://www.JohnEverhart.com
0 votes
We recently accepted an offer on the sale of our home from a pre-approved buyer in Arizona with no further addendum's pending.

It’s not a “short sale”. Please tell me where you’re getting that information?

Our home is still “actively” listed for sale noted as "Contingent/CAPA". We will absolutely continue to accept back up offer(s) in the event anything happens prior to close of escrow. The buyers have put down earnest money, the home inspection is completed (1 minor issue found and taken care of), and all of the initial paper work is done, including paper work for the title company. The closing date, time, and location are already set also.

We don’t even have “sale pending” hanging on our yard sign. In short, the home is not sold until the keys are handed over, so as a seller we don’t want offers to stop coming in, or hinder that in any way…
Flag Sun Feb 24, 2013
MaryAnn and…, , Tucson, AZ
Wed May 4, 2011
Squirty, give me a call so we can discuss your question. You can find my website when you click on my name on the right hand side. There's a page that explains Short Sales and REO properties, but if that doesn't help call me. My number is on the site. I would love to consult with you regarding your questions and possible options that you may have. Thanks!

http://MaryAnnandCisco.com
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Lizel Wieser, Agent, Tucson, AZ
Wed May 4, 2011
Technically all offers have to be submitted to the bank, however a lot of banks only accept one offer at a time in their system, thus if you not the first offer you will simply remain to be a backup offer up until the time that the first offer either is accepted or rejected by the bank. It is very important to know all the facts about a short sale and who you are dealing with before submitting an offer. We specialize in short sales and have a team of 3 full time realtors with over 20 years’ experience! Call us at 878-1621
Web Reference:  http://www.findthelion.com
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Mikhail Fras…, , Tucson, AZ
Wed May 4, 2011
I assume that you are talking about short sales. Sellers in general will accept any offer because they want out of the house even if the offer is unreasonable. The bank who owns the loan is not required to consider offers on the property. They do not have to grant a short sale and can choose to let it foreclose if the seller is in default. They may or may not consider offers depending on their agenda. Hope this helps!
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Vicki Holmes, Agent, Tucson, AZ
Wed May 4, 2011
No, usually just the CAPA properties need to have bank approval and are often short sales. Contingent properties are usually properties that are not short sales and are waiting to do home inspection and waiting to close escrow.
Good luck with your home search, please let me know if you have additional quesitons.
0 votes
We recently accepted an offer on the sale of our home from a preapproved buyer in Arizona with no further addendum's pending.

Our home is still “actively” listed noted as "Contingent/CAPA". We will absolutely continue to accept back up offer(s) in the event anything happens prior to close of escrow. The buyers have put down earnest money, the home inspection is completed (1 minor issue found and taken care of), and all of the initial paper work is done, including paper work for the title company. The closing date, time, and location are already set also.

No it’s not a “short sale”. Please tell me where you’re getting that information?
Flag Sun Feb 24, 2013
Spirit Messi…, Agent, Tucson, AZ
Wed May 4, 2011
I dont understand the question, if a REO (Real Estate Owned) property is already Active Contingent, most bank assest managers no longer look at any other offers as they are already committed to the accepted, executed purchase contract. Especially on a REO because once the bank accepts, takes usually a week for the bank to send the buyers the bank addendums and paperwork, and once all that is signed do they actuall sign the purchase contract, changing the status to Active Contingent. Active Capa is different, that is on a short sale and I would still take a client to look at an Active Capa cause they are still accepting offers, if you are ok with waiting up to 6 months on a short sale that is, most clients are not and with the amount of available inventory I can usually find something else for clients than waiting around for short sale(s) to be approved.

Are you pre-approved? If not, that should be your first step and your priority. Next, find a local agent or Realtor as all these questions can and should be answered by them. Best of luck.
Spirit
0 votes
Rob & Cather…, Agent, Tucson, AZ
Wed May 4, 2011
No. The Bank determines whether or not they will consider mutliple offers or one offer at a time.
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