Short sale lender ordering BPO

[Shella Sanders]

The lender on my current short sale in dallas said top of this week to get title to send the preliminary hud for the price I offered. So I was thinking it was a go. Plus last week the lender said typically what they do is run the borrowers credit first and if it is under 550k they will approve a settlement price and my seller told me her credit is under 500 so I was feeling positive about it going through. Then agent called my agent an said he was hired by the lender to give them a BPO an he will go to the house sometime this weekend. Is that normal procedure? Or do they sometimes get a BPO, sometimes inspection, sometimes appraisal? My sellers payoff today is 95k Principal owed is 60k I offered 60k. My agent has gotten high as 80k offered. Tax value of the house 90k ARV 140k It needs all of 20k in repair&updates: foundation, roof, HVAC, water heater, trim, cosmetics So does it mean the brokers opinion will be closer to 80k ?

[Ron S.]

Originally posted by @Account Closed:

@Shella Sanders The BPO will be one of the main factors the bank will consider when approving the short sale. The agent representing the bank will pull comps to determine the BPO.I recommend you meet the BPO agent and point out all the issues with the property. If the BPO comes in too high, the bank won't approve it. You should also present the bids from contractors if there are major issues with the property (foundation, roof issues, etc). If you see water in the property, try getting a mold test and give the mold letter to the BPO agent. 

 There is no agent representing the bank. The bank is not a party to the transaction between the buyer and the seller. They are in interested 3rd party but not part of the transaction.