Many times when you are negotiating a short sale, the bank will either higher another agent for a BPO or they will higher an appraiser for a value on the home. The banks are typically looking for something within the 10% of the value.
The issue that I've been having on some of my short sales is that the company hired an agent who was not familiar with the area and gave an extremely high value. If I know the agent is not from the area, I will do my own market evaluation to give to the lender.
Also another helpful hint, if the home is in need of repair, have a contract go to the home and give you an estimate of repair. If the BPO is high but you feel they used good comps maybe they didn't asses the damage properly, having an estimate of repair is always helpful in showing the lender your value is correct.
Remember sometimes the agents who are doing these BPO's are not familiar with the area and/or they may not have experience in how much repairs may cost. All of these affect the value, therefore, supplying this information to the lender will help you negotiate the value.
Remember, the lender does not know anything about the home so the more information you give the negotiator the better chance you have in negotiating the price. Many times I supply the lender with photos of any damage, you'd be surprised how far that will go with a lender.
For more tips on negotiating a short sale, visit: www.Localshortsalepro.com
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