Okay, I know you're thinking, 'Is she blonde or something?' because I'm back with the same question!

I have a buyer who is THE perfect short sale buyer--living in a home that he won't sell until his next home closes and doesn't have to sell his current home to Close on his new purchase.

He has found a short sale property that has been on the market for TWO years! (That is rare here unless the property is over $1M) The neighbors told us that there had been multiple offers on the property but, the owners, who have moved out of state, don't understand why the banks won't take any of the offers.

In chatting with the agent, here's the scoop: 1st mortgage is with Countrywide, 2nd mortgage is with BOA. The agent proceeded to say that he's done more short sales than anyone in the STATE and that he's been interviewed by a major network regarding his REO and short sale business. He 'knows' the process, so he says. He's submitted each and every offer and is just waiting on a response--AS he continues to drop the price lower and lower (well below market value). **For the record, this agent is not in the top 35% of agents (that's as long as my list goes), nor could I find that he has done as many short sales as he said he has, NOR could I find any information on the network site that he said he had been interviewed!

I need to know if the 'rules' have changed regarding presenting multiple offers to BOA/CW? Are we not still presenting the ONE CONTRACT?

Thanks, in advance, for your advice!

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Debe I am blonde as well but for me I ONLY present one offer at a time to the bank as it is my understanding that any offers that come in after the first one are back up offers. I get calls all the time from Realtors that try to explain to me the short sale addendum and I am wrong not to submitt all offers. So far all of my sellers have been supportive of my advise in this area and we sign the back up addendum with any second offers. I have enjoyed having back up offers as they are great to have when a buyer walks. I just had that happen today. The closing was to be this coming Tuesday and the buyer got turned down by the bank. I am going to present the backup beginning of the week. yahoooo
Karen, the easiest way to fix this is to cross out line 5 one the short sale addendum and have the buyer and seller agree that the seller can only submit one offer for short sale approval. Remember the contract is between the buyer and the seller. It is my belief that, even with our short sale addendum, you could only legally submit mulitple offers IF and only IF the seller did not sign any of them because at this point you don't have a ratified contract. If the seller agrees and signs the offer, then you have a meeting of the minds and a ratified contract and the seller can NOT accept another offer unless it is a backup offer. Just my 2 cents worth!
Glad you finally joined our site Karen

Karen Key Smith said:
Debe I am blonde as well but for me I ONLY present one offer at a time to the bank as it is my understanding that any offers that come in after the first one are back up offers. I get calls all the time from Realtors that try to explain to me the short sale addendum and I am wrong not to submitt all offers. So far all of my sellers have been supportive of my advise in this area and we sign the back up addendum with any second offers. I have enjoyed having back up offers as they are great to have when a buyer walks. I just had that happen today. The closing was to be this coming Tuesday and the buyer got turned down by the bank. I am going to present the backup beginning of the week. yahoooo
I can not believe any one would consider submitting more than one offer!
Karen - Any diplomatic way to let an agent know that he's doing this wrong? His property has been on the market two years so, I would think that he would GET that he's doing this wrong. He swears he's got it under control. I think my buyers are whistling in the wind if you ask me!! LOL

Jeff Payne said:
Karen, the easiest way to fix this is to cross out line 5 one the short sale addendum and have the buyer and seller agree that the seller can only submit one offer for short sale approval. Remember the contract is between the buyer and the seller. It is my belief that, even with our short sale addendum, you could only legally submit mulitple offers IF and only IF the seller did not sign any of them because at this point you don't have a ratified contract. If the seller agrees and signs the offer, then you have a meeting of the minds and a ratified contract and the seller can NOT accept another offer unless it is a backup offer. Just my 2 cents worth!
Glad you finally joined our site Karen Karen Key Smith said:
Debe I am blonde as well but for me I ONLY present one offer at a time to the bank as it is my understanding that any offers that come in after the first one are back up offers. I get calls all the time from Realtors that try to explain to me the short sale addendum and I am wrong not to submitt all offers. So far all of my sellers have been supportive of my advise in this area and we sign the back up addendum with any second offers. I have enjoyed having back up offers as they are great to have when a buyer walks. I just had that happen today. The closing was to be this coming Tuesday and the buyer got turned down by the bank. I am going to present the backup beginning of the week. yahoooo
ME EITHER! Wasn't that included in his short sales 101 class??! I think I need to turn him on to Bryant & Wendy!!

Maya Thomas said:
I can not believe any one would consider submitting more than one offer!
Hi Debe,

Oh my Goodness! Realtors who do not know how to do short sales should refer them to those that do.

Your not a dumb blonde! We are so lucky in our area, since our MLS enforces Short Sale Compliance guidelines that state,once offers are received and ratified as primary ( or backups)the status must change to Under Contract . This keeps a Realtor from being able to use a distressed homeowers house as bait for filling up their pipeline of prospective buyers and helps keep other Buyers and Realtors from waisting alot of time on a home that already has offers.

I with Jeff, just send the guy the link to this site! Maybe he'll learn something. :-)

Good Luck with that one Debe..
Thanks, Peggy! I think my buyer is going to need it! We'll keep you posted on how it goes!

Peggy James said:
Hi Debe,

Oh my Goodness! Realtors who do not know how to do short sales should refer them to those that do.

Your not a dumb blonde! We are so lucky in our area, since our MLS enforces Short Sale Compliance guidelines that state,once offers are received and ratified as primary ( or backups)the status must change to Under Contract . This keeps a Realtor from being able to use a distressed homeowers house as bait for filling up their pipeline of prospective buyers and helps keep other Buyers and Realtors from waisting alot of time on a home that already has offers.

I with Jeff, just send the guy the link to this site! Maybe he'll learn something. :-)

Good Luck with that one Debe..
OH, f/u on the next converstion--I've been working with bank-owned properties for years! Hmmm...give you any clue as to how he's handling these offers?! I don't think that it's occurred to him that the SELLER is the owner and the SELLER is NOT the bank! ARRGH!

Maya Thomas said:
I can not believe any one would consider submitting more than one offer!
Debe,
I am a little slow on my response but this is how I reply to Realtors that tell me they are taking multiple offers. I tell them that it is my understanding based on our MLS guidelines and rules etc that there can only be one offer and all the rest back ups. If they tell me what the banks do I tell him that the bank is not bound my the same Realtor ethics as I am bound by. I guess it is like anything else in life. we can only be responsible for doing the right thing and if others do not want to do that.. there is little that we can do.
It is great that we have this forum of really bright Realtors to help us navigate these murky short sale waters. I am learning something every day.
Keep on keeping on... I had 3 short sales fall out this week so I am going to pick myself up by the boot straps and climb back on and find me some buyers.
blessings
karen


Debe Maxwell said:
Karen - Any diplomatic way to let an agent know that he's doing this wrong? His property has been on the market two years so, I would think that he would GET that he's doing this wrong. He swears he's got it under control. I think my buyers are whistling in the wind if you ask me!! LOL

Jeff Payne said:
Karen, the easiest way to fix this is to cross out line 5 one the short sale addendum and have the buyer and seller agree that the seller can only submit one offer for short sale approval. Remember the contract is between the buyer and the seller. It is my belief that, even with our short sale addendum, you could only legally submit mulitple offers IF and only IF the seller did not sign any of them because at this point you don't have a ratified contract. If the seller agrees and signs the offer, then you have a meeting of the minds and a ratified contract and the seller can NOT accept another offer unless it is a backup offer. Just my 2 cents worth!
Glad you finally joined our site Karen Karen Key Smith said:
Debe I am blonde as well but for me I ONLY present one offer at a time to the bank as it is my understanding that any offers that come in after the first one are back up offers. I get calls all the time from Realtors that try to explain to me the short sale addendum and I am wrong not to submitt all offers. So far all of my sellers have been supportive of my advise in this area and we sign the back up addendum with any second offers. I have enjoyed having back up offers as they are great to have when a buyer walks. I just had that happen today. The closing was to be this coming Tuesday and the buyer got turned down by the bank. I am going to present the backup beginning of the week. yahoooo
Karen--You know, I just entered a new short sale listing in MLS and wrote just THAT! It's because of the buyers that I've represented when the listing agents didn't know what they were doing sending all offers to the bank! I guess I should say just that to this guy now as well! Thanks so much!

Karen Key Smith said:
Debe,
I am a little slow on my response but this is how I reply to Realtors that tell me they are taking multiple offers. I tell them that it is my understanding based on our MLS guidelines and rules etc that there can only be one offer and all the rest back ups. If they tell me what the banks do I tell him that the bank is not bound my the same Realtor ethics as I am bound by. I guess it is like anything else in life. we can only be responsible for doing the right thing and if others do not want to do that.. there is little that we can do.
It is great that we have this forum of really bright Realtors to help us navigate these murky short sale waters. I am learning something every day.
Keep on keeping on... I had 3 short sales fall out this week so I am going to pick myself up by the boot straps and climb back on and find me some buyers.
blessings
karen


Debe Maxwell said:
Karen - Any diplomatic way to let an agent know that he's doing this wrong? His property has been on the market two years so, I would think that he would GET that he's doing this wrong. He swears he's got it under control. I think my buyers are whistling in the wind if you ask me!! LOL

Jeff Payne said:
Karen, the easiest way to fix this is to cross out line 5 one the short sale addendum and have the buyer and seller agree that the seller can only submit one offer for short sale approval. Remember the contract is between the buyer and the seller. It is my belief that, even with our short sale addendum, you could only legally submit mulitple offers IF and only IF the seller did not sign any of them because at this point you don't have a ratified contract. If the seller agrees and signs the offer, then you have a meeting of the minds and a ratified contract and the seller can NOT accept another offer unless it is a backup offer. Just my 2 cents worth!
Glad you finally joined our site Karen Karen Key Smith said:
Debe I am blonde as well but for me I ONLY present one offer at a time to the bank as it is my understanding that any offers that come in after the first one are back up offers. I get calls all the time from Realtors that try to explain to me the short sale addendum and I am wrong not to submitt all offers. So far all of my sellers have been supportive of my advise in this area and we sign the back up addendum with any second offers. I have enjoyed having back up offers as they are great to have when a buyer walks. I just had that happen today. The closing was to be this coming Tuesday and the buyer got turned down by the bank. I am going to present the backup beginning of the week. yahoooo

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