Sometimes negotiations aren't just between a buyer and a seller... sometimes a bank will be involved. They are when it comes to short sales and repairs on the home.

The bank requires paperwork from both parties, and even if it seems like little to no progress is being made they will require updated paperwork. The bank can be made aware of repairs, but they rarely reduce price or try to rectify a situation even if the buyer's lender requires it for safety reasons (for example, a broken railing).

There is nothing wrong with keeping an open line of communication as to what is happening with both sides. Without full cooperation from both the buyer and seller, and sometimes thinking together, making these deals happen would be impossible. 

Realistically, instead of working to position yourself for success in the transaction, it may be a good idea to position yourselves and/or each other for a successful transaction. We've closed on many short sales by simply looking at things with this perspective.