bk and short sale

[belraedel]

we put an offer on a home. The sellers are delinquent on the property. They
filed for bankruptcy back on 7/12. They want to short sale us the home. They
accepted our offer but countered us with an addendum. In it, it states:
"cost if any to remove the property from BK petition in order to allow short
sale will be borne by the buyer"
"In order to affect a sale the buyer must petition at buyers cost to have the
property removed from the BK proceeding

What does this mean?? and do you have any idea what the cost of this will be?
we live in long beach, california.
Who am I petitioning too? Also does the bank have to agree to these terms as well? Help, we have to submit our counter offer tomorrow.....

[newbie2]

we put an offer on a home. The sellers are delinquent on the property. They
filed for bankruptcy back on 7/12. They want to short sale us the home. They
accepted our offer but countered us with an addendum. In it, it states:
"cost if any to remove the property from BK petition in order to allow short
sale will be borne by the buyer"
"In order to affect a sale the buyer must petition at buyers cost to have the
property removed from the BK proceeding

What does this mean?? and do you have any idea what the cost of this will be?
we live in long beach, california.
Who am I petitioning too? Also does the bank have to agree to these terms as well? Help, we have to submit our counter offer tomorrow.....

Don't submit the counter offer tomorrow (today). Take the addendum to an attorney to review and advise you. This is not a simple purchase, and unless you have an attorney representing YOU and not the seller you could get in very deep into something that could cost you a lot of money.

[catleg]

That sounds like a not-very-well thought out addendum.

The buyer of the house is not a party with an interest in the bankruptcy case, so you would not be able to petition for a lift of the stay.

Only the creditor (mortgage holder) can petition for a lift of the stay.

I really don't know what the process is, but probably approval is needed from the bankruptcy trustee for the sale to proceed.

I'm not even sure a lift of the stay is necessary if you actually do get approval from the bank and the bankruptcy trustee.

Somebody is going to have to pay for legal advice, it seems to me like the people selling you the house are getting crappy advice.