Hey guys, long time peruser first time poster here...
Heres my situation
I made an offer on a short sale on March 8. The listing price was at 270k, so I offered 290k. My realtor told me that my offer was considered the best (considering it was the highest and I got a preapproval from Bank of America).
May 8th, a 2nd BPO appraisal was done on the property (I'm not sure what happened with the 1st appraisal). From May 8th until now, the property has almost been put on foreclosure auction (I had the listing agent postpone it twice). The starting bid on the property was about 271k (not sure if this is vital information)
So today June 15th, my realtor informs me that the BPO came out to be 370k and the bank wants 350k for the house. I'm thinking, wow this appraisal is way too high, given that the 7 most recent sold comparables in the area average about 312k (not to mention the lot size of each comparable is 1200 sq ft, while the property I want is like 1060 sq ft)
I have a bunch of questions to ask, but I guess I'll start with these...
The listing agent already sent the list of comparables to the negotiator, is it possible that the negotiator will lower the price to something more towards market value? (I'm assuming the BPO done on the property was performed without factoring in the comparables and other things)
In the case that the negotiator doesn't budge on the appraisal, what range percentage do you think I could offer on the house so the bank would accept the offer on? (I'm wondering if offering 90% or so on the asking price would be sufficient).
How long does it take for a negotiator to send a reply? The listing agent sent the comparables to the negotiator this afternoon.