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I showed my Dad the contract, and he asked where the counter-offer was. I was told it was all verbally done, my father buys lots of commercial real estate, so he knows the process pretty well, he said that's unusual, but that there must be something in writing, especially since it was a short-sale. It's especially unusual to him that the first offer was countered 3 days later, then the next took months to accept.
Oh, and comparing the process of buying commercial real estate to the process of buying residential real estate at short sale, is like saying that because I know all about ice, I can tell you everything you need to know about water and steam. They are all H2O, but they behave so differently that they might as well have nothing in common. Neither is better or worse than the others, but they are very different. Same with commercial vs residential short sale. They both involve property and paperwork, but that's pretty much where the similarity in process ends.
If you read the ops third post, you'll see he doesnt know if the offer was submitted to the seller, he's mad because it wasn't the bank countering his offer. He doesnt know the process, nor does his dad.
No, I know my first WAS NOT submitted, I know my "counter" was submitted. I use scare quotes, because it wasn't really a counter.
Gee, I'm sorry that I asked a question. Apparently this site is just a self-congratulating circle-jerk. I don't need this, get back to telling yourselves how much smarter than the general population you are.
Gee, I'm sorry that I asked a question. Apparently this site is just a self-congratulating circle-jerk. I don't need this, get back to telling yourselves how much smarter than the general population you are.
We're just trying to educate you, and you're not listening to all the different examples and advice people are giving you. You came here asking a question, but you seem to think you already know the answer. You point blank said that your offer was never submitted to the BANK, and this is probably correct as this is the proper procedure. You don't want to be happy with that, and that's your own issue, but a well-educated listing agent who does a lot of short sales isn't going to submit an offer to a bank, only a signed contract.
No, I know my first WAS NOT submitted, I know my "counter" was submitted. I use scare quotes, because it wasn't really a counter.
Oh, that's right, you had two agents "conspire" to get your offer raised, because they could each garner an extra $250 in commission. And then one of the culprits admitted it...
this whole mess is a crock. I've never understood exactly who any RA represents other than themselves and their own pocketbook...certainly never seems to be the buyer or the seller...'shady' is an understatement.
Koale
this whole mess is a crock. I've never understood exactly who any RA represents other than themselves and their own pocketbook...certainly never seems to be the buyer or the seller...'shady' is an understatement.
Koale
If the agent wanted to make a stack of cash for very little work, they would have listed the property at $69k instead of $119k and sold it to a friend/family member or "partner". They wouldn't have accepted bids from the public, it would have popped on the MLS for three minutes, and then been changed to "pending". That's how the corrupt agents do it in Phoenix, not by beating a first-time-buyer out of $200-$300 in commission.
Why would anyone bother with a "conspiracy" to gain a couple hundred bucks when there might be $50k on the table?
Gee, I'm sorry that I asked a question. Apparently this site is just a self-congratulating circle-jerk. I don't need this, get back to telling yourselves how much smarter than the general population you are.
Well, sorry you feel that way, but I posted some legitimate questions that I was curious about. I freely admit I don't understand the short-sale process, but it did sound strange. I do hope you get this resolved and let us know how it worked out.
More than likely there had been other lowball offers on the property which had been previously rejected and the Listing Agent knew any new lowballs were not going to fly.
With a ss home listed at $119,000 there is not a lot of $$$$ wiggle room as they tend to be listed very close to market comps. Commission is usually (in my market at least) a flat fee.
SS works like this, you offer, seller either accepts or counters. Buyer either accepts counter or reoffers. When seller accepts the re-offer it goes to the seller's bank for approval.
1) Buyer submits an offer to the seller.
2) Seller can accept, reject or counter just like a regular transaction. Good short sale agents want to prove to the bank that they tried their hardest to get the highest price so they counter offer on low offers. It isn't in the interest of the seller to submit offers that don't have a chance of getting accepted to the bank since that means off market time for the seller. We have to change the MLS status to under contract which essentially eliminates showings. And yes, my short sale sellers have countered offers before submitting to the bank.
3) Once the buyer and seller agree on a price, the offer is executed and submitted to the bank for approval.
This process can take anywhere from 30 days to 6+ months depending on the lender.
4) If the bank isn't willing to accept the terms of your offer, then the bank will let you know what terms they are willing to accept.
5) The buyer and seller can accept, reject, or attempt to counter those terms.
6) Once their is agreement from the buyer, seller, and bank on terms the contract moves forward like a regular real estate transaction with inspections and such.
It is normal to not have your offer submitted to the bank until accepted by the seller. It isn't normal for the buyer agent to lie about it. The buyer agent violated their fiduciary duty to you. You can file a complaint with the state real estate commission if you so choose. At this point there is nothing to sue over that I can see, as you haven't suffered any damages and there are no guarantees that the bank would have accepted your offer of $95k. Just because the house next door sold for $99k doesn't mean this bank will accept $95 for your house. Banks have different policies.
I'm not clear based on your statements what exactly happened, but Brandon is correct in how the process is. Your buyer agent clearly acted unethically, but the rest of the process sounds like it might be inline with how things work.
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Lol...
