Q. A potential short sale property has an FHA loan on it. We put together Lou's short sale packet less the BPO.

The bank tells us that HUD requires the property be listed through a realtor. They want a copy of the listing agreement and an estimated net sheet from the realtor.

Is this normal for an FHA loan? If the property must be listed through a realtor, then the realtor's fee will take a bite out of the purchase price. Comments please.

A. They only want to see that the seller tried to sell through a realtor before this buyer came along that wants a discount. It does not mean that the realtor will get a commission on your transaction.

We have a few realtors that we work with that will give us a listing agreement that we can include in the sghort sale package if it is required. This does not mean it was listed - the realtor just gives an agreement showing that it was listed.

Sometimes you just have to play the game.