I just finished reading http://activerain.com/blogsview/1677254/underpriced-short-sales-good-for-who-what-does-it-work-
After reading all the comments I thought it might be interesting to see the flip side because that is what happened to me. I was contacted by a person upside down in his home paid $650,000 in 2005, he also did in fact suffer a hardship, so I took the Short Sale listing my specialty and still 100% closer on all my SS!! But when I went to list the home and after I showed him the comps in the area he insisted on a list price of $375,000 which was about $100,000 over the CMA I had presented. His reasons where valid he said the builer was currently selling the same home for $375,000 yes I said but those are NEW HOMES!! And his next reason was because they had totally upgraded all counter tops, flooring, third car garage was a office and he had custom wood details in the upstairs bonus room. I took it with the agreement in two weeks we could drop the price accordingly if no offers came in. He agreed.
Well in this crazy market of course we did not get an offer and since he was not paying his mortgage the threatening collection phone calls began coming in and I told him I needed an offer to start the Short Sale Process and to reduce the list price!!! He relented to a price of $299,000 still 10-15K over the Comps! And I did indeed get an offer it came direct to me because the buyers had been frustrated trying to get their FHA offer accepted. I looked over their POF, Pre Approval Letter and sent in the offer. I also let them know that the offer may not appraise at this number! They were OK with that.
The offer was accepted by the first lien holder and I had written approval 60 days after submission. When I did speak with the negotiator I asked about the banks BPO? She said it was lower than this price I then told her my fear that the value may not come in for the buyers FHA loan and how long would it take to renegotiate the new price? She said a week or less. Great so now everyone is on board with the maybe a change in price. Sure enough the FHA appraisal came in at $285,000. I contacted the lender first and second with the appraisal and new HUD1 and had a response within 3 days!!
Unfortunately my buyers are under the gun to close this before the end of June for the FTHB tax credit. Long story short I could have saved maybe a week if I had insisted on listing at my number, sometimes it is not easy being a realtor* Then I could have gotten 20 offers and picked a cash or conventional offer which is what I would have done as LA. Then this wonderful family would not be purchasing such a great home for 3.5% down! Some things are just meant to be. Would I list high again, maybe.
Tere Rice Realtor*
DRE#01079287
Short Sale 100% Closer
Buyers And Sellers
Please Check out my website to search for homes! www.temecularanchandhomes.com
Real Deal Properties
28581 Old Town Front St. #200
Temecula, Ca. 92690
951-693-0093
fx 951-253-9261
web site www.temecularanchandhomes.com
Comments(0)