I have a HAFA short sale with Citi. They've had the file since March. They've had the purchase contract since June 15th. Yesterday I received verbal approval that the will approve the short sale if the seller signs the Request for Approval of Short Sale letter they just sent over. Therein lies the problem.

There is only 1 mortgage on the house. According to the terms of the letter they will allow closing costs, subordinate lien payments, real estate commissions, relo assistance ($3,000 HAFA payment) IF and only if, the seller agrees to make partial mortgage payments beginning November 1, 2012 of $1300 a month. Granted, this is less than their $2200 a month payment- however, they moved out last month and secured a rental home for $1300 a month. They don't have the extra $1300 a month to give to Citi. The $1300 a month has to be paid monthly "until the property is sold or this Agreement expires on February 10, 2013." 

The Request will be terminated if the seller does "not make the required payments under this Request."' Which means no sale. 

I've never seen this before. Has anyone else? Any suggestions to get around this?

Thanks!