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Help me with some short sale questions!

If any of you guys have done a short sale I would like her hear what you have experienced.

I have 2 short sales I am working and wanted to know if the mortgage company has ever paid the closing cost and or a home warranty.

Just wanted to see. They told me that the offers were good but they would only pay so much on the closing and that they would not pay for any home warranty.

Let me here from you!

Carla Cullum

Keller Williams Flower Mound

Posted by Carla Cullum on 10/11/2007 05:07 PM

Comments (6)

6 Comments on Help me with some short sale questions!

OCT

2007

I have not heard of lenders paying for anything. Here in California the lenders are typically looking at what they can cut out such as reducing commissions to Listing or Selling agent ... but not paying any closing costs. I will keep tabs on this, because I would like to see what others are experiencing.

Over the past of years, Banks have taken advantage of such a great market. Time meant nothing to lenders as property was increasing in value so much that often times it would be sold for more than the original note.

Bids on HUD homes in our area were consistently greater than the asking price.

The cavalier attitude of banks and lenders will change soon, they will be more responsive, and more willing to make a deal work.

Good Luck Carla

We have had lenders pay 7% commissions and a portion of the buyers closing costs. It all boils down to negotiation abilities.

OCT

2007

The deals I have done, they have paid for absolutely nothing, but I think every situation is different. Depends on how short the sale is too, you could do some convincing. The ones I have done have been over $100K in the negative and lenders were not willing to give in on anything. I have reduced my commission to make some work also.

I have had lenders pay closing cost if the price was close to what was owed but they capped it at $1500. I have never had them pay for a home warranty.

OCT

2007

Thanks for the information. Yes that is what they told me that we cap on closing cost so the buyer would have to pay the difference!

Carla

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