All I can say is that I am participating in numerous short sale listings right now and it is very complex. Not nearly as cut and dry as you would hope or think. The listing agent is representing the seller whose best interests are served by getting the transaction completed as quickly as possible with the least liability for them going forward. That does not always mean getting the highest possible offer.
On some listings I get offers that I know the property could never appraise for. If the lender approves that offer they have set unreasonable expectations for their investors. The property goes into escrow with a weaker buyer that wont be able to get a loan, the property does not appraise, we have to go back and start over with the lender and their investor. Nobody’s best interests have been served!
I always try to be fair to all buyers while bringing the lender a solid offer from a strong buyer at a price that the current market comps can support. Sometimes it is clear and sometimes it isnt. Sometimes the best buyer is brought by another agent and sometimes they come knocking on my door. Every single one of these transactions is grueling. They suck the life out of me…….
BTW, I often get lowball cash offers also. Cash buyers seem to think their cash is worth alot more than it actually is. I always tell them that all buyers are cash at closing, its just that the cash comes from someone else than the buyer(i.e. a lender). In the few cases that lowball offers have been the only offers submitted, the banks have refused them. i just havent seen short sale properties given away at prices well below market value. Maybe others have but I havent.
I think you are all getting fired up about much ado about nothing………
