The fact that your offer was never submitted to the lender is curious and indicates another offer was on the lenders desk to begin with. Most short sales are quite straightforward. The seller will accept the offer and that offer is then sent to the short sale lenfer for review. Do you have a copy of your original purchase agreement that was accepted by the seller? Additionally many agents include a short sale addendum so you should have that as well. I have never done a deal with Don but he is a seasoned guy. Many agents do employ short sale processors but NEVER do those processors charge more then 1% so ypu should demand answers. Better then what you have received