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Good Afternoon - Please note that your question has been directed to the right tax expert! Let me read the question again and respond accordingly!
For your question - yes, banks are permitted to donate property although it depends on the specific bank. They will want to avoid discussing which option will be best for them because they will be walking the very fine line of tax evasion when you discuss purchase price/gifted value. If they were going to sell cheaper at a short sale then gifting at a higher value would be overstating the value of the asset. Again, banking policies will differ between each specific bank.
If I were you, I would ask the bank if they would consider gifting the property. If they don't, then I would proceed with your low-ball offer.
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No problem at all! Glad I could help!