Buyers Premium

Is charging the buyer a premium for a short sale transaction a trend now?

I ask because I saw this statement in a short sale listing today: "Sale subject to court approval, subject to buyer paid premium of $25,000. The premium is a non financeable charge and is due in cash or equivalent at closing"

The phrasing of this leads me to believe the $25K is going to the homeowner and not the lender(s). I have a hard time imagining how a lender will approve a short sale package knowing the defaulter is going to walk away with $25K.

More real estate tips at Program Realty Wix site

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s