[quote=bearishgurl]
sdr, we’ll have to “agree to disagree” here on this point. Unless a buyer has unlimited funds for a cash down payment and there is a wide range in the loan amt. they can qualify for, THEY’RE NOT GOING TO PAY over the appraisal amt. This is 90%+ of buyers, IMO. The property would have to be VERY well located and particularly unique in some way in order for a buyer to agree to pay over the appraisal amount, ESP. in this market. Appraisals are everything here. I would hardly equate all these vacant REO’s and “short-sale” listings to a “piece of artwork.” The lenders/underwater trustors are VERY LUCKY to get the albatross SOLD!!
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I have to agree w/both of you guys. On one hand, I see plenty of short sales actually close, so I know it happens. It’s possible. On the other hand, they do take a verrrry long time. I don’t know why the banks take 3 to 6 months to accept an offer. Do they have only one person handling all the short sales? Ridiculous. And certainly in 6 short months, the market can change and properties not appraise by then.
So, I agree, unless it’s some great property that someone is emotional over, then it could easily fall out. And I have seen plenty that have gone from contingent to active BOM.
I’m not sure if it’s more work for the agent, but it definitely is more time. Very different from a few short years ago when you can just open and close quick and get your easy money.
In my case, since the property is still listed, that makes me feel a little better that I pulled out. I’d still be interested in it, but not for what they are asking. Their strategy perplexes me. They have delayed it so much and they have a buyer willing to take it if they reduced to appraisal. Yet it continues to sit empty.
I have seen banks step up to the plate to replace the 8k credit. They are offering up to 8k in credits for “repairs.” They won’t reduce the price. God forbid. Bent on keeping prices “stable.”
