Memphis, TN · Member since 2016 · 6 posts · 1 vote
I made an offer ($50K) on a house that has been on the market a week and was listed for $63K with $1K earnest money.
They countered back at 63K and $6300 in earnest money. They said that because this is a Reverse Mortgage take back that the house can not, by law, be sold for less than list price the first 6 months it is listed or until another appraisal has been completed. Any advice? Anyone heard of this?
Real Estate Agent · Niceville, FL · Member since 2016 · 8 posts · 3 votes
10y
Yes, had a buyer on one and it was a pain! Took longer than normal for any response, terms were non-negotiable and strings attached. Needed to be owner occupant and not sure why. Ugh, hope to never do another not to mention the person who died was younger so her heirs probably lost big $$.
Real Estate Professional · West Palm Beach, FL · Member since 2012 · 23k+ posts · 13k+ votes
10y
Yeah, it's not a "law" just a term of the FHA insurance covering the mtg. The property must be sold for at least 95% of an FHA appraisal in order for the lender to be reimbursed. Most times this will be the list price. Take it, or leave it.