now I am annoyed: SS update

[LoveTrains]

So we hammered out a deal with SS seller. We got the P&S to sign. I had my lawyer review it, and we asked for two changes.
Change 1: a little note in the contract on the clause about the inspection to please see short sale addendum for inspection timing.

change 2: clarify language that 5% deposit would be due AFTER we hear back from the bank that they accept offer.

Now seller doesn't like changes and wants $25K more for house.

We should walk, right? House is a good deal at the price we offered, but I don't think its worth $25K more.

[Noralie]

Can I buy a vowel? I can't solve your conversation.

[Balki.Bartokomous]

I'd walk. How long have you been HH?

[LoveTrains]

We have not been house hunting that long. Seriously only about a month, saw everything that is available in our target neighborhood, and liked this house the best. Plus liked the idea that we could get a "deal."

I am sure more stuff will come on the market, plus we don't actually really need to buy. I just thought since interest rates were really low, why not try if we could get a deal.

[noodleoo]

Yeah, no. $25K increase is nuts. I'd be pissed and walk away. Do you think he got a higher offer and is trying to get you to walk or match it so he can take it?

[hbomdiggity]

I'd walk. While I don't think there really is much negotiating in SS situations, is counter is ridiculous.

But a 5% deposit? That is prob significant $$ to let sit indefinitely so I can understand your intent. But seller wants you to show commitment. What about reducing deposit?

[LoveTrains]

I don't know if maybe he got a higher offer. I am going to ask our buyer's agent if that is what she thinks. We put down some earnest money, but the standard in our state when you sign a P&S is to put a 5% deposit into escrow. However, in a short sale in our state, generally the 5% is deposited after you hear back from the bank.

The language on the contract said "on or before acceptance from lien holder" and I wanted to change to "after acceptance from lien holder". then apparently he got spooked that I don't have any "skin in the game" and might not be a serious buyer.

[slug*bug]

Jun 22, 2012 14:08:19 GMT -5 LoveTrains said:

We have not been house hunting that long. Seriously only about a month, saw everything that is available in our target neighborhood, and liked this house the best. Plus liked the idea that we could get a "deal."

I am sure more stuff will come on the market, plus we don't actually really need to buy. I just thought since interest rates were really low, why not try if we could get a deal.

Given what you've said above, particularly, I'd walk in your situation.

There will always be another house, but the combo of the extra hassles w/a SS and a prickly seller to boot? Yeah. I'm a newbie to buying, so I wouldn't have patience for either of those things on top of the normal buying process.

[aspentosh]

Jun 22, 2012 14:44:24 GMT -5 slug*bug said:

Jun 22, 2012 14:08:19 GMT -5 LoveTrains said:

We have not been house hunting that long. Seriously only about a month, saw everything that is available in our target neighborhood, and liked this house the best. Plus liked the idea that we could get a "deal."

I am sure more stuff will come on the market, plus we don't actually really need to buy. I just thought since interest rates were really low, why not try if we could get a deal.

Given what you've said above, particularly, I'd walk in your situation.

There will always be another house, but the combo of the extra hassles w/a SS and a prickly seller to boot? Yeah. I'm a newbie to buying, so I wouldn't have patience for either of those things on top of the normal buying process.

:Y: Agreed. Sorry

[dr.girlfriend]

I guess I don't get short sales...I didn't realize the seller has that kind of clout. Won't the bank want to strangle him for blowing the deal when they are already agreeing to a SS?

Either way, though, I don't think your changes should result in a $25k price increase.

[slug*bug]

Jun 22, 2012 15:56:08 GMT -5 dr.girlfriend said:

I guess I don't get short sales...I didn't realize the seller has that kind of clout. Won't the bank want to strangle him for blowing the deal when they are already agreeing to a SS?

Well, it is more $$ for the bank, so...

[LoveTrains]

Ok we decided to offer $5K more but that is it. It's a small percentage, and frankly, we were prepared to offer this number if we had to negotiate the price with this bank anyway.

[Deleted]

I'd walk.