{"id":3234,"date":"2008-06-14T12:14:24","date_gmt":"2008-06-14T19:14:24","guid":{"rendered":"http:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/?p=3234"},"modified":"2008-06-14T12:19:08","modified_gmt":"2008-06-14T19:19:08","slug":"short-sale-trouble-how-to-avoid-it","status":"publish","type":"post","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/3234\/short-sale-trouble-how-to-avoid-it\/","title":{"rendered":"Short Sale Trouble: How To Avoid It!"},"content":{"rendered":"

So,<\/p>\n

As the short sales go rumbling along in our various real estate markets, a question has arisen, and the answers are varied and contradictory. The question is: how do I, as the listing agent, handle a multiple offer situation on a short sale?<\/p>\n

Make no mistake, however you decide to handle it, people are going to be upset. It’s just like any multiple offer situation. There are winners, and losers. There are essentially two views of how to handle this scenario with short sales. We’ll assume for the sake of clarity, that these multiple offers come in, not all at once, but successively, over a period of a few weeks. If they all come in at once, it’s a no-brainer. Your seller chooses the highest and best offer, with the most likelihood of passing lender scrutiny. However, even if a bunch of offers come in, and you pick the best one, another one is probably going to come in after this initial flurry, and what are you going to do with that one? Suppose it’s higher than the highest and best you have in hand?<\/p>\n

\u00a0One group of agents will simply take the next offer that comes in, and submit it to the lender also. If any offers come in, each offer is simply passed along for the lender for consideration. Some agents will not even take the highest and best of the bunch of initial offers; they’ll just submit them all. As justification, they say that they are “serving the interests of their client”.<\/p>\n

I personally believe that not only is this operating unethically, I also believe it is damaging to the interests of your selling client. Let me explain:<\/p>\n

First, when your seller and a buyer sign a contract for purchase, it is LEGALLY BINDING. Just because there is a caviat that indicates the contract is subject to the ultimate purview of the lender does not make it any less valid as a contract. Remember in real estate school when your professors talked about “VOID vs VOIDABLE?” This contract, because it is subject to lender approval is voidable. And, it is not VOID Read more<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

So, As the short sales go rumbling along in our various real estate markets, a question has arisen, and the answers are varied and contradictory. The question is: how do I, as the listing agent, handle a multiple offer situation on a short sale? Make no mistake, however you decide to handle it, people are […]<\/p>\n","protected":false},"author":19,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_crdt_document":"","jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[24,7,2],"tags":[150,151,81,149],"class_list":{"0":"post-3234","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"hentry","6":"category-egoism-in-action","7":"category-enduring-interest","8":"category-general","9":"tag-arizona-foreclosure","10":"tag-arizona-foreclosure-law","11":"tag-arizona-foreclosure-statutes","12":"tag-arizona-short-sales","14":"no-featured-image"},"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"jetpack-related-posts":[{"id":2723,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/2723\/a-deficiency-judgement-in-arizona-not-likely\/","url_meta":{"origin":3234,"position":0},"title":"A Deficiency Judgement? In Arizona? Not Likely.","author":"Allen Butler","date":"March 8, 2008","format":false,"excerpt":"Hello again! Have\u00a0clients asking\u00a0you about short sales? I know I certainly do! In fact, it's become a big part of my business. In fact, I am conducting short sale negotiations for 3 different REALTORS, as well as 5 different clients. Unfortunately, a lot of questions have arisen lately about Arizona's\u2026","rel":"","context":"In "Ask the Broker"","block_context":{"text":"Ask the Broker","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/ask-the-broker\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":3060,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/3060\/arizona-short-sales-who-are-you-working-for\/","url_meta":{"origin":3234,"position":1},"title":"Arizona Short Sales: Who Are You Working For?","author":"Allen Butler","date":"May 5, 2008","format":false,"excerpt":"I, like some of you, have just received the AAR's May newsletter, in which Christopher A. Combs, AAR's\u00a0\"legal hotline\" counsel, provides a legal treatise on a contractual issue regarding short sales in Arizona.\u00a0 I direct your attention to Exhibit A\u00a0(page 11, dab-smack in the middle of the page).\u00a0 In this\u2026","rel":"","context":"In "General"","block_context":{"text":"General","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/general\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":100,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/100\/the-sky-is-always-falling-except-when-it-isnt\/","url_meta":{"origin":3234,"position":2},"title":"The sky is always falling — except when it isn’t…","author":"Greg Swann","date":"July 18, 2006","format":false,"excerpt":"Foreclosures are up in Arizona for the first six months of 2006, as compared with the last six months of 2005. The will be cause for sustained gloating at the Arizona Republic, so here is the real news, from the Business Journal of Phoenix, before it goes through the Spin\u2026","rel":"","context":"In "Real Estate"","block_context":{"text":"Real Estate","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/real-estate\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":5199,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/5199\/foreclosure-homes-are-sold-as-is-but-most-need-only-minor-restoration-to-bring-them-back-to-fully-livable-condition\/","url_meta":{"origin":3234,"position":3},"title":"Foreclosure homes are sold “as-is” — but most need only minor restoration to bring them back to fully-livable condition","author":"Greg Swann","date":"October 25, 2008","format":false,"excerpt":"This is my column for this week from the Arizona Republic (permanent link). \u00a0Foreclosure homes are sold \"as-is\" -- but most need only minor restoration to bring them back to fully-livable condition If we were to have a contest for the Valley's most-gutted home, judging might take a while. A\u2026","rel":"","context":"In "Investment"","block_context":{"text":"Investment","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/investment\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":4418,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/4418\/fannie-and-freddie-fall-to-foreclosure-but-still-lenders-lend\/","url_meta":{"origin":3234,"position":4},"title":"Fannie and Freddie fall to foreclosure, but, still, lenders lend","author":"Greg Swann","date":"September 14, 2008","format":false,"excerpt":"This is my column for this week from the Arizona Republic (permanent link). \u00a0Fannie and Freddie fall to foreclosure, but, still, lenders lend I write this column at the beginning of the week, and it appears at the end of the week. 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Instead of actual numbers we get all manner of obfuscation, scary anecdotes,\u2026","rel":"","context":"In "Marketing"","block_context":{"text":"Marketing","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/marketing\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"_links":{"self":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts\/3234","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/users\/19"}],"replies":[{"embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/comments?post=3234"}],"version-history":[{"count":0,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts\/3234\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/media?parent=3234"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/categories?post=3234"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/tags?post=3234"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}