Replies to This Discussion

Permalink Reply by Pacita C Dimacali on June 22, 2010 at 7:32am

I am in a similar situation.

We finally received approval from the bank....and buyer was ready to do inspections. But next door neighbor told them that previous owner (before my buyers) died at the property in 2003. That was enough to spook the buyer, and they backed out.

Received an all cash offer 3 days later. Went back to short sale lender who CLOSED the file, and re-opened upon receiving new offer. But we have to start all over again, including providing seller documents, financials, etc., as if nothing was provided before!

The previous approval was intended only for the previous buyer, and even though we have an ALL CASH offer, with additional funds to cover shortfall (on the previous agreement), it didn't matter. It's as if we're starting all over again. What's with these people?

Permalink Reply by Tricia La Motte on June 22, 2010 at 8:56am

Great question. I too am in a similar situation. I represent the buyer. The original buyer canceled just prior to closing. We are stepping in with the exact terms, and the listing agent can't seem to figure out how to substitute the buyer's names without starting the process over completely.
Thanks for all answers to these questions!

Permalink Reply by Laura Marshall on June 22, 2010 at 10:04am

I have had this happen a few times. You need to let the negotiator know and they will close the file. It takes a couple of days to show on equator. It is faster if you email the negotiator and call in. Once the file has been closed, you then must initiate the short sale again and upload everything agian...but with the new offer. Each of mine took a couple of weeks for the new approval. When the new approvals were issued, they gave the buyers a new closing date as well. It wasn't too bad. The seller did not have to upload documents again, and they used the same appraisal as before. I let the negotiators know that I had a new offer with the same net to them, and it moved pretty quickly. Good Luck.

Permalink Reply by Tricia La Motte on June 22, 2010 at 10:09am

Thanks, Laura!

Laura Marshall said:

I have had this happen a few times. You need to let the negotiator know and they will close the file. It takes a couple of days to show on equator. It is faster if you email the negotiator and call in. Once the file has been closed, you then must initiate the short sale again and upload everything agian...but with the new offer. Each of mine took a couple of weeks for the new approval. When the new approvals were issued, they gave the buyers a new closing date as well. It wasn't too bad. The seller did not have to upload documents again, and they used the same appraisal as before. I let the negotiators know that I had a new offer with the same net to them, and it moved pretty quickly. Good Luck.

Permalink Reply by Cynthia Deacon Daniels on June 22, 2010 at 4:12pm

Thanks Tricia,
I will start the process tomorrow morning and keep everyone up to date. I am still going to call the office of the president and ask him/them what he meant and how to effectively substitute the buyer and save one week doing so. At last weeks seminar he explained the process but I didn't take the notes fast enough. Will let you know what I learn.

Tricia La Motte said:

Thanks, Laura!

Laura Marshall said:

I have had this happen a few times. You need to let the negotiator know and they will close the file. It takes a couple of days to show on equator. It is faster if you email the negotiator and call in. Once the file has been closed, you then must initiate the short sale again and upload everything agian...but with the new offer. Each of mine took a couple of weeks for the new approval. When the new approvals were issued, they gave the buyers a new closing date as well. It wasn't too bad. The seller did not have to upload documents again, and they used the same appraisal as before. I let the negotiators know that I had a new offer with the same net to them, and it moved pretty quickly. Good Luck.

Permalink Reply by Elaine Kan on June 23, 2010 at 4:55am

Same thing happen to me in March. I called the president's office and dialed some extension and got a hold of a manager who handles the FHA short sales. He was so helpful and tried to get me the right contact to see if we can just substitue a buyer but however according to him, there was no way you could do it through Equator. We did have to re-start the process. The second time around for approval would have been faster but they had to re-appraise at some point because it expired after 90 days and there was a negotiator change in between. We are closing in a few days and the second time around took 2 months for the approval.