Video 97:  I had a email from an agent in Colorado the other day. We had a conversation back and forth on Skype and I couldn’t believe what he was telling me. GMAC was requiring the buyer in a short sale purchase to put down x amount of money as earnest money. Then once it got past the inspection period if the buyer backed out and the they lost their earnest money, the earnest money was to be given to GMAC.

GMAC is not a party in this contract. Banks you have to realize that you you do not own the house the homeowner owns the house. The contract is between the homeowner and the buyer. You can either approve or not approve the final number on the HUD but you are not a party to this contract.

Agents needs to start standing up to banks and telling them that. They have no right legally to step in and dictate the terms of a contract. It is not their house. They can approve or not approve if they choose to the short sale but they are not a party to the short sale contract and banks you need to back off because and agents you need to start standing up to banks because they are in the wrong here. The agents are in the right to stand up to them and tell them they are not a party to the contract.

Do they want to accept this short sale or not accept this short sale? That’s it! And if they don’t accept the short sale most likely it’s going to foreclosure and they are going to make off worse than they would if they’d accepted the short sale. So agents you need to do the right thing start standing up for your clients and start standing up against these banks. Would love to hear your thoughts, you can leave a comment or e-mail me Dean Ouellette.