What to do in this scenario
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Scenario:
I have an approval from both the 1st and 2nd lender. 1st is IndyMac and the 2nd is SLS.
IndyMac's final settlement approval to them is $6,400 higher than what we offered on our initial EST HUD-1 ($430,000 was our offer on the HUD. They came back with $436,400 approval). SLS's approval is $2,508 higher than what we offered on the initial HUD-1. ($10,000 was our offer. Approved at $12,508).
I spoke to my negotatior at SLS, the one who hold's the 2nd. He will NOT budge on the approval amount. I asked him if I can convince IndyMac to come middle grounds with what you're demanding verses what IndyMac is willing to give the 2nd, would he resubmit for Investor re-approval. His answer was "No. Even if I did, I can guarantee you that this particular investor will come back with even a higher a demand."
I left a message for the negotiator at IndyMac to see how much I could squeeze out of her. The difference between what IndyMac wants to give the 2nd verses what SLS is demanding is over $9,000.
Here's my question:
1) Even if the agent's and/or the buyer were willing to contribute towards the $9,400 or so difference to get everyone paid what they want, (so we can close and move on), IndyMac wouldn't approve because the approval specifically states that no more than $3,000 be paid to the 2nd and anything additional shall go to IndyMac, right?
2) If I can convince IndyMac to raise the payoff to the 2nd a little more, do you think it's worth taking the risk to resubmit to the 2nd with a lower payoff amount compared to what they've already approved on based on what my negotiator said?
I hope this all made sense. I'd be more than willing to clarify if anyone needs. Thanks!
P.S. For those of you on both this and the Short Sale Strategies forum, sorry for the double posting.
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