Can a bank raise the asking price for a house even after an agreement of sale has been signed? short sale...?

Question

My wife and I are buying our first house. We found a great house, price was right, our offer was accepted. then we found it out that it's a short sale. It has been a nightmare ever since. We were supposed to settle on 7/3, it has been pushed back to some unknown date. Our lease is up at the end of July....HELP!!!

Answer 1

No, I don't believe soo..... I just bought a foreclosed home and they did the exact same thing to me... UGH!  Makes you want to scream.  Keep talking to your agent, the other company- anyone who will listen to get answers.  Also make sure the title is cleared!  That's what we are having problems with now- the title is all messed up.

Answer 2

Once BOTH sides have signed a contract, the sales price cannot be changed without both sides signing an addendum to the contract (not the offer, but the contract) agreeing to that new price. What sort of “acceptance” did you get to your offer?

Answer 3

Did they add a lein to the property?  Good Luck.

Talk to your agent!

Answer 4

The seller could accept your offer but the bank is above them.  They can counter the offer if they haven't approved the sale amount yet.  My short sale was supposed to close on 6/30..now, got pushed back to the end of this month and the bank did counter my offer after I signed the sales agreeement with the sellers for a lower price and after they did the appraisal.  I countered back and we met halfway.

You're right..TOTAL NIGHTMARE!

Answer 5

Yes, and happens often because it’s the nature of the short sale,

This should have been explained to you better by your agent, this why you are paying them 3%

This is the deal, since its a short sale the bank is in complete control of the situation, they are under no legal duty to take less then the loan amount period, its there choice to accept less, thus they are not bound by the sales agreement you have with the seller, also if you read the sales agreement I am sure it mentions acceptance only good upon approval of bank

So what happens is the seller and agent list the house for what they feel they can get, then once they have a sign agreement they submit it to the lender and it up to the lender either accept, reject, or offer a high asking price then the seller had originally listed

As I stated above all this should have been explain to you buy your agent that is what you are paying them for