Here are the facts of the deal to set everything straight (hopefully). By the way I really appreciate your help…

1. Offer was submitted to seller and seller signed and accepted offer.
2. Seller changed listing to pending and has not seen another offer since. I don’t know why but they seem to like us…
3. Listing agents has been working with the lender since mid July to get them to accept the short sale.
4. On Sept 2 the listing agent submitted our original July dated seller-accepted contract to escrow agent (still no formal acceptance from lender).
5. On Sept 4 bank tells listing agent that they will not pay for termite repairs. We told our agent that this is not acceptable. Listing agent is now trying to get the bank to pay.

So SDRealtor you believe that we should have either offered 5-10K less knowing that there might be repairs needed or at least write in a credit into the contract in case of repairs? I never thought that this would matter over termite repairs because I thought it was completely required and non-negotiable. I thought other repairs were negotiable such as fixing some plumbing or broken fixtures, but not this. Wish us luck.

Even if all does not go well there are some nice places that have now dropped 25-50K in listing price in Escondido since July when we kind of stopped looking. I’m not so worried if we lose the deal but it would be nice if they ponied up the 5K and we could close it.