[ShortinPA]

Dublinwayne,

Here is a suggestion for your problem. Rewrite your hardship letter to request a "Short Sale". Do not ask for a settlement. In order to offer a settlement, you must pay at least 85%.

If you need to pay less than 85%, the request for a "Short Sale" will result in you being responsible for the difference. Put in your hardship letter what your offer is to BofA, and make sure it matches the amount on the Hud-1 you submit with your package.

This should result in an approval letter where they agree to the offer, but that they will "charge off the remaining debt as a collectable [sic] balance." After that, it will go to the "Recovery Department", where the discussion on what happens with the difference between your offer and the difference in what you owed will occur.

We are still waiting to hear from someone who has been through this what their experience has been after closing. I read that a couple of people should be in the "Recovery Department", and it would be great if they could give some insight into what their experiences are.

I think that you would be better off trying this, before going the foreclosure route. What happens there depends on what state you live in.

Hope that helps.

-ShortinPA