Believe it or not, this short sale I have been commenting about is scheduled to close next week. The seller's bank did two BPO's that came in at $40,000.
Believe it or not, the buyer's bank did an appraisal and it came in at the $55,000 asking price. Figure that one out.
Now we go through the process of getting the packages Fed Ex'd down to the sellers, getting them all signed, and getting them back so we can have them at the closing by Friday.
My guess is that on Thursday the buyer's mortgage approval is going to be pulled because of the tightening credit market. I have had two deals in the last two month's that have been killed for that exact reason.
I have talked with two reators in the last three months that have started charging $295 to the seller on the front end for taking on a short sale. That sounds like a great idea to me. The last two homes I listed were both going to be short sales. After getting offers on these properties, both sellers decided to reject the offers and pull their homes from the market. So much time and effort for nothing. If I had charged these sellers a fee on the front end, either I would have lost the listing in the beginning ( and saved a lot of time and money), or they would have felt a bit more commited to follow through on the transaction.
What are your thoughts on charging on the front end?