Would Chase take a settlement on a 1st Mortage?

[jjdreamer1]

We have a condo in Florida (uhg). We owe $275,000 on a 1st with Chase (it's a Chase owned loan too, no investor). We owe $133,000 on a 2nd with Citibank. We had a short sale offer in progress for $140,000. While Chase was working on the short sale package and doing their BPO's we lost the buyer. Right after the buyer walked Chase came back with a counter offer. Chase said they would accept $180,000 net and release the property and not pursue a deficiency. We then continued to work with Citibank on the 2nd and they have agreed to a settlement with or without a short sale.

Has anyone heard of a first mortage holder accepting a straight settlement without a short sale closing? If I had a rich uncle give me $180K, would they take it and walk away?

Any insight would be helpful, thanks.

[Evan Bedard]

Hi jjdreamer1,

Has anyone heard of a first mortage holder accepting a straight settlement without a short sale closing? If I had a rich uncle give me $180K, would they take it and walk away?

Any insight would be helpful, thanks

I have personally never seen a first mortgage get settled like that. But man if you have 180k I'm pretty sure they will be more than willing to work with you...

[jjdreamer1]

I wish I had $180K. I have some family members thinking about retiring down here and they may be willing to help or buy it outright. All the short sale transactions I have heard of require "arms length" between buyer and seller, so I was trying to come up with an alternative.