Bogus Short Sales? (real estate, qualify, best, house)

[JCVA]

Has anyone else seen this phenomenom? A house with a subprime mortgage goes into the MLS as a Short Sale. The short sale is then withdrawn after a short period of time (sometimes as little as a day) without any sale being agreed to.

Is this some kind of gimmick intended to make it easier to qualify for a mortgage modification? I have seen this happen a couple of times and am wondering if anyone else is aware of the phenomenon. Many thanks

[evilnewbie]

I have never seen it... why don't you just call and ask them why it was pulled so early...

[dad2jules]

This would best be asked in the Real estate forum as they are the ones with access to the MLS and how it works and what it means.

[Elke Mariotti]

Originally Posted by JCVA

Has anyone else seen this phenomenom? A house with a subprime mortgage goes into the MLS as a Short Sale. The short sale is then withdrawn after a short period of time (sometimes as little as a day) without any sale being agreed to.

Is this some kind of gimmick intended to make it easier to qualify for a mortgage modification? I have seen this happen a couple of times and am wondering if anyone else is aware of the phenomenon. Many thanks

First of all, how do you know it's a sub-prime mortgage?

Secondly, yes it could happen... sometimes if the listing agent doesn't do his/her homework. For instance, if there is a 1st plus a 2nd mortgage with another lender, it can get difficult at best to bring a short sale to conclusion. These deals often end up as REOs.