Short Sale Etiquette...

I would think it does give the buyers the advantage to put out multiple offers I personally don't see anything wrong with it, but once you get one accepted that you can live with its time to go into escrow and stop putting out offers.

During a short sale process you never know whats going to happen, and you don't know if that seller lowballed the asking price to just get activity. I don't feel there is anything wrong with buyers putting out multiple offers on properties as long as its properties they like and not just settling for.

Joe - the problem I see with buyers putting out multiple offers is that the seller has submitted the offer to the bank in hopes of getting a short sale approval.  Usually the seller at this point is not accepting other offers (or maybe just back ups).  So the sellers agent goes through the process of getting the offer approved by the bank which we all know can take some time.  Meanwhile the foreclosure clock is ticking away.  When the agent finally receives the approval and goes back to the buyers agent then the buyers agent says , nevermind my buyer wants something else.  At this point usually a whole bunch of time has been wasted by the selling agent and now it may be too late to get another offer approved by the bank before they foreclose.  I know as the sellers agent I make sure the buyers are serious buyers, their deposit goes to escrow when the SELLER accepts the offer , we don't wait until the bank says ok.  I also keep in touch with the buyers agent through out the process to make sure that the buyer is still intending to purchase the property.  That's my two cents.  I'm curious to see other responses.

I agree with what Jim is stating fully and do see a problem with putting in multiple offers.  As Jim stated: you are possibly delaying the process of transferring property from sellers to buyers for the sellers and they could possibly "lose" the house to foreclosure because after 3 months or however long it takes the buyers are walking since they have come to an agreement on another home and now the sellers have to start all over.  I think the practice is not in the best interest of the buyers either and as Jim suggested by requiring the buyers to put down a deposit will show their commitment to the short sale process. My buyers who just put in an offer on a short sale asked if they should put in more offers and I encouraged them NOT to.  It is very unlikely that two offers are accepted close to the same time but what if?