[lekpeh]

Hi,
The house I am purchasing is in short sale, and it was appraised for less than the asking price. My agent told me that because of what the home was appraised at, the bank is not going to fund more money than that, therefore my contract is null and void.
Do you think I will have to renegotiate, or the seller is just going to settle for what it is appraised for? I really don't understand a whole lot about short sale, and I don't know how it works.
We had scheduled a walk through for this Friday, and closing for next week.

[Fr_Chuck]

OK, on a short sale, this is when you are paying less than the loan is on the home. So it is the loan company that will have to agree to a new price. ( the actual seller is not getting any of the money it all goes to the loan) so you will have to make a new offer for the amount of the loan you can get and make that new offer to the seller ( who sends it to the loan company for their approval) A lot will depend on how behind the seller is and how less it is from the amount of the loan.