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Silver Contributor
Bargain_Hunter
Posts: 440
Registered: ‎05-14-2009
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Do Banks Counter Offer on Short Sales?

 

In a regular sale, if a buyer submits an offer less than but close to what the seller is willing accept, the seller would usually counter offer. In short sales, I think the bank is often the party to convince. If the bank gets a short sale offer less than what they're willing to accept but close, do they use the same counter offer mechanism? Or do they just reject, and the whole process starts over? 

 

I ask this because the latter would change the dynamics of the bidding process significantly. If the bank can only reject (and maybe weeks or months later), then a buyer would want to start the offer at a higher level to not waste their time. Any thoughts? 

 

 

Regular Contributor
cdm
Posts: 139
Registered: ‎04-27-2009
0

Re: Do Banks Counter Offer on Short Sales?

They did counter - I think the house had a couple of offers, but none of the buyers accepted the bank's counter, so the house is still on the market at the price the bank asked for.
Contributor
Dirtfox
Posts: 32
Registered: ‎08-14-2008
0

Re: Do Banks Counter Offer on Short Sales?

In the (unsuccessful) short sale I went through, the bank responded with the price range they would be willing to accept when they rejected my offer. Sadly, that price was 25k higher than what I thought the house was worth, so the house is still on the market.
Silver Contributor
Bargain_Hunter
Posts: 440
Registered: ‎05-14-2009
0

Re: Do Banks Counter Offer on Short Sales?

 

And how long did it take them to respond? Is this not a counter (and not a rejection) if they were willing to accept your offer with the addition of 25K?

Contributor
Dirtfox
Posts: 32
Registered: ‎08-14-2008
0

Re: Do Banks Counter Offer on Short Sales?

I suppose I would think of it as a counter ("We will give you the house only if you raise your offer by at least 25k"), but it is a very interesting situation.

 

I submitted the offer in the first days of March, and was given the bank's price range the 30th of April. Which is, from what I've heard, a pretty good turn around.

Regular Contributor
bossanova
Posts: 62
Registered: ‎07-19-2009
0

Re: Do Banks Counter Offer on Short Sales?

they do counter, especially if the property or location is popular.

 

i noticed that short sales have become less of a bargain than in 2009.