| Re: Short Sale - California
"1. No deficiency judgment will be collected because the home is our primary residence, we never refinanced our loans (2 loans both with B of A), and we live in CA and lucky for us, CA is a forgiveness state."
She is absolutely right in case where lender forecloses. With short sale all bets are off... so you have to be careful with what you sign..
"2. There will be a 1099c, but she said we will deal with that when the short sale closes escrow."
You'll definitely deal with it after short sale closes but it is good to ask questions and find out everything before...
3. Short Sale process will take about 6 - 10 months on average depending on the lender. Notice of default will appear on my credit report after my 1st missed payment. So my agent said to stop payments for June, July and August. Then we will meet in August to get ready to put the house on sale in September. We may be out in March, depending if all goes well.
NOD is filed aprox. 3 months after 1st missed payment. Don't see the need to miss almost 4 payments, unless that is what the lender requires... I would definitely confirm with your lender.
4) The bank will cover the costs and I do not need to hire a lawyer if I don't need to.
Bank often pays for attorneys.... why not hire someone to protect your rights. Realtors will not protect your rights... they are not attorneys. |