Replies to This Discussion

Permalink Reply by Steve Early on October 11, 2010 at 4:01pm

Hi Patrick:

Yes they can, but it is not likely it was Bank of America that has "raised" the price on you. I'm going to guess here, but I'm assuming that you went into Equator and made an offer (or a counter-offer) that was "accepted" in Equator. If this is correct, then here is what happened.

Your offer was accepted by Bank of America (the lender/servicer of the loan) because they felt it met the guidelines the investor gave them. The investor is probably Fannie Mae, Freddie Mac, or it could be an MI company or ... heaven knows who. The transaction that was "approved" by Bank of America was forwarded to the investor with a recommendation that they approve it. The investor looked at it and basically said, "No, we want more than that", and you got a message that your "accepted offer" needed to be increased in order to be accepted.

In a short sale, all terms and conditions are subject to third party approval, and while most people look at the LENDER (or servicer) as the "third party", the real third party is the investor. An offer is never really accepted until the investor agrees to accept it.

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Permalink Reply by Kimberley Kelly on October 12, 2010 at 3:08am

Nice reply Steve..

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Permalink Reply by Juan-Manuel Valera Jr on October 12, 2010 at 11:44pm

I agree with Steve's explanation of this. It has happended various times to me already!

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Permalink Reply by Elva Branson-Lee on October 14, 2010 at 3:44pm

They've done it to me once.

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Permalink Reply by Patrick McIntyre on October 27, 2010 at 4:16am

One month later the bank askes for 20K more.

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