Real Estate Offer

Was it listed by a Realtor or by the homeowner? Either way sounds like they didn't know what they were doing. Both lenders have legal rights to the property and unless you can get them to agree to release the liens without the full payoff, you're not going to want to pay a dime.
What is the property actually worth? If you're getting it for a steal, don't expect the banks to agree. You can check my website blog for some basic guidelines regarding short sales. There are a lot of unanswered questions here but normally the 2nd mortgage will lose big in a foreclosure and should be willing to deal...

Hi,

Is the transaction done? Have you owned the property? If it is so, it is not your obligation to pay any farther. The previous home owner is accounted for the remaining payments to his lender. If you face any problem, consult with an attorney and fix the problem without any delay.

Thanks,
Larry

Hello Nefferkc,

I guess the lenders will always want to get back their money. And you will not get a clear title if they are not releasing the liens on the property.

Unfortunately they can, and do. I always get on my realtor friends for doing this. They should always put in the comments that this is subject to a short sale approval from the lender. My significant other is a realtor and has had 2, thats right, 2 seperate agreements fall through this month on short sales. The lenders agreed to a price, and then raised them once they got an offer. 2 of them in 1 month. It is counter productive for all people involved in the transaction. Both buyers said to stick it .... you know where.

I know this doesn't change anything for you but hope it helps.

Best of luck