real estate short sale bank counter offer question?

That is really the case, they are not interested in playing games, take it or leave it.

The bank bases it's counter offers on a "Broker Price Opinion" or BPO. The BPO probably came back $27K higher than your offer, but that doesn't mean the bank won't make the same counter to the other back-up offers; they will. The other offers may no longer be interested since so much time has passed so the bank takes a risk as well.

If you feel strongly about countering back at a lower price, ask your Realtor to pull the comparable sales (comps) that support your offer. Yes, you risk losing the house so take the time to weigh your options.

If you do accept the counter offer, you're not in danger of over-paying for the house because your lender will require an appraisal be done (which is much better than a BPO). If the appraisal comes in lower than the agreed price, you have grounds to negotiate the price back down again. If it's the same or higher, you can sleep well knowing that you did not overpay for the home.

Good luck!

If they truly do have back up offers in the property, you may lose out, especially if one of those offers is better than your 5k lower than their counter.

What you *feel* has no bearing on reality. If your comfort level tells you you can only do 5k lower, then bid that and hope for the best. Just don't be pissed if you don't take their offer and run with it.

Believe me, there are other short sales, foreclosures and regular properties on the market you can bid on.

Just give them your best counter offer back, and tell the agent its your best offer. then walk away if they don't accept it and start looking for other properties. It's a buyers market out there. good chance that even if they do accept another offer, that that deal will fall through and you'll have another shot at the place later on.

Never tell an agent anything you don't want the seller to know especially in terms of the price you are willing to pay. Stand your ground, there is always another house out there.

If your "walk away" price is $5k more than your original offer, counter with that and walk if they refuse it.

They may or may not have other offers on the table. The agent can't tell you that they do if he or she knows that to be a false statement, but they can't and won't tell you what the amount of those offers are. They could all be for less than your original offer.

Never fall so much in love with a house that you overpay for it. It will never love you back, I guarantee you that! That's especially true in a buyer's market!

If you like the house, then accept the bank's counter offer. If you don't like the house, then keep shopping. Why do you want to play nickel and dime pricing games? So, you offered $150,000, or whatever. Bank counters with $177,000. So, you're going to quibble because you believe the house is worth only $172,000, i.e. a difference of 3%? If you don't like the house enough to pay $177,000, then you probably don't like it enough to pay $172,000 either. So, just walk away and keep shopping.

First and foremost, FIRE THAT AGENT!!!!!! If they told you to accept the banks counter. They only have their commission in mind. Your agent should be able to provide detailed information based on previous comps as to what properties are selling for in that area and what the fire sale prices should be so that you can make a fair and reasonable offer. If their not find another agent to make the offer. Banks always take back up offers on foreclosed properties and most of the time don't accept any of them.