Is it possible to make an offer on a short sale that is supposedly with the bank? And if so, is there a way for me to verify the validity of the information I received from a phone call by this wholesaler? Please Help.... Deal or No Deal? "Thanks~A~Million
My experience with short sales is that they are negotiated between the bank and a property owner that is in financial trouble. The terms of the short sale are directly related to the personal financial situation of the owner and the market value of the property. For a wholesaler to try and put a deal together seems it seems pretty questionable. Is the property currently publicly listed for sale? A bank won't typically approve a short sale until the property has been listed for a period of time and comps have been provided to the bank to justify the short sale. Essentially the owner can't afford it and they owe more than the house is worth so they can't sell it. A homeowner, while it is possible, would likely not deal directly with the bank on their own. They would most likely be working with a short sale specialist who is typically a RE agent or an attorney. (I'm in MA so there could be state specific laws for your area.)
If I understand your situation, there is a wholesaler that has a property under agreement and the property he is trying to buy is a short sale. He then wants you to take assignment of the P&S for a higher price. If the property has been approved for the short sale there is a reason it hasn't sold so you need to be sure that if you are buying it, you do your own research and determine the market value of the property. Short sales are a lengthy process so depending on how far along the original seller is in the process, it could be a long time for you as well.
Can you provide any more details?
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