Well, if you read my last Blog, you know my feeling on short sales. That particular short sale I was discussing is now about ready to close. Needless to say, we have one last problem now. We started this deal so long ago that the purchase price of $55,000 was a steal. Now, with mortgage approval and seller's first and second bank approval, all we need is a favorable appraisal. However, appraisal is no guarantee in our Michigan market which is in a free fall. Chances are the appraisal will be too low and we will have to start negotiating with the banks again to agree to a lower price.
The first mortgage holder did two BPO's which came in at $40,000. The purchase price is $55,000. This is what happens when it takes six month's to close a short sale in Michigan. One head ache creates another. Solve one head ache and you are surely going to have another.
I have approximately 25 listings of which at least 20 of them are going to be short sales.
WHAT A LIFE!!!