A brief history: made an offer on a short sale property 7/5, according to realtor representing the seller, ours is considered #1 of three offers. Updates to us have been via a website every friday,in addition to my realtor contacts with seller realtor. Latest update has "negotiator reviwing BPO, second lien company has ordered a BPO". Now, just yesterday, my realtor contacts me and says the realtor for the seller (short sale property) called him and told him they ( the bank) want a counter offer for $10,000 more. No problem with us. However, my realtor requested from the realtor paper work from the bank for counter offer so we can make the changes. A day later, no fax with the papers. So my realtor called the realtor back, and the realtor says to just change the amount on the first page of contract and fax it to them. Now, my concern is are we being set up for a bidding war? Is the rep for the seller going to take that inreased offer to the other two offers on the home and try to get more? Why wouldn't the bank contact us in some official way with a counter offer request?