IndyMac Mortgage Services Doesn't deal in good faith CA

I'll add a last couple notes to my re-rebuttal, since you seem to be ignorant of some basic facts which pertain here.

First, buying a short sale doesn't mean buying for less than market value, it means buying for less than what is "owed" to the lien holder on the property, in nearly every case this is because the borrower is "underwater" on their mortgage.  The very fact that they're in a position to have  a short sale could be interpreted as the lender having already failed in their "fiiduciary duty to their shareholders" in that it theoretically means they have loaned out more money than the collateral (the house) is worth, and they therefore couldn't recover full value even by foreclosing on the propoerty (not even factoring in that houses will usually dell for less at foreclosure auctions since they're sold "as-is" to buyers who are not allowed to look at anything but the exterior of the buildings).  If I was trying to get the property for less than it's worth, it would stand to reason that I would have been outbid since in a market that's as recovered as you think, there must have been someone else willing to pay "fair" value that would have exceeded my offer, but that didn't happen.

Second, for the lender, agreeing to a short sale is an alternative to foreclosure.  The "bad faith" by IndyMac lies in the fact that they agreed to accept my offer on the short sale (I'd post the paperwork to prove it, but it contains personal info about myself and the seller which it wouldn't be appropriate to make public) and entered into escrow on the deal, but proceeded into the foreclosure process by transferring service to Ocwen a full week before the end of the escrow period (this change in the servicer made it impossible to close the sale during the final week), and Ocwen was outright lying to the seller, first claiming that they'd approve an extension and later promising to produce paperwork enabling the sale to close.  Nobody involved was even informed of the foreclosure until the morning of the day on which Ocwen attempted to auction the property, failing to recieve a single bid meeting their minimum of 3% more than the price I had offered originally.

Finally, a major factor in the rise of sale prices in CA (at least in my area) over the last year has been severe lack of homes up for sale and relatively heavy activity by flippers who are once again creating artificial demand and jacking up prices for flipped houses by charging premium margins for often marginal improvemnents (most of the flipper houses I looked at were charging top $$$ for having "new appliances" because the flippers had put in bottom-of-the-line Fridigaire junk that'll need to be replaced again by unsuspecting buyers within the first year or two).  This lack of inventory has been exacerbated by banks holding back many REO properties in order to create artificial scarcity (I'd do the same in their position, but it's still a form of market manipulation).  Also, price trends since 2012 are interesting, but really have little or no bearing on my case since my offer was submitted in early August 2013, and accepted in late September 2013 with the sale set to close by early November.

Also, CA is a non-recourse state, the lien holder cannot pursue the homeowner for anything more after foreclosing the property.

According to the appraisal required by my lender, the value of the property is what I was offering for the short sale which was actually more than the original value of the loan which ultimately led to the foreclosure, but much less than IndyMac claimed was owed after having crsumably capitalized 2+ years worth of payments since the loan adjusted and went into default.

Also, Ocwen Financial has already attempted to auction the property, and failed to recieve a bid with the minimum bid set at merely 3% more than I had agreed to pay in the short sale.  If there's a ton of extra value in the property that I wasn't paying for, then why is it that nobody else was willing to pay a very small amount more?  That's not even getting into the fact that the house had been listed for nearly 2 months on the short sale before I made an offer (in a neighborhood where everything around it was getting multiple offers above asking within the first week of listing), and they recieved no higher or backup offers in the three months between my offer being made and the foreclosure.

If they had actually sold the place for more than I was offering, or had even received any bids other than mine, I'd actually agree with you.  However, if I were offering on the property now, knowing what I learned from the home inspection and termite report during the escrow, I would actually offer 2-3% less than I did.

 The Investors who own the mortgage on this forclosed home have a fiduciary duty to their stock holders to try to recover as much money from the house as possible. There was no bad faith here.

Year To Date Home price increases in California (average for the entire State) have increased 23.3 pct since 2012.  (see attached web page) http://www.zillow.com/local-info/CA-home-value/r_9/

To Sell Short to you, would not be in their best interests.  You wanted to get the house at the best, and lowest price possible, but the Bank wanted to sell the house for as much as possible.  I think if they hold off a little while longer, they will get FAR more money than they would have gotton from you.  PLUS, they can still go after the old homeowner to pay any balances due, that the sale of the house did not cover.

Go try to buy another house, but be prepared to pay Market Value Now.

The housing bubble has fixed it's self.  It took 5 years to do it, but It got done.

You can 'Google' this- INDYMAC BOYS GET SWEETHEART DEAL, and watch that video on the web for important information.