Need help with Downey Savings and American General for Short sale

[JillyJill]

I am hoping someone there can help me. I have a rental property and am trying to do a short sale with my lenders. My first loan is with Downey Savings. They will only allow $3000.00 to the second lender which is American General. American General says they must get $8000.00 in order to allow a short sale. I have a buyer for the home but can't get my two lenders to reach agreement.

Please help!

[Moe Bedard]

Well Downey Savings was purchased by Wachovia, who was then purchased by Wells Fargo this last week. Are you still dealing with Downey or Wachovia?

Getting the 2nd to agree to a short sale can be rough. Especially when dealing with the likes of American General.

I assume this $8,000 is to settle the 2nd? Well, this can be negotiated down because if the 1st forecloses, I am betting the 2nd will be wiped out due to your home being underwater.

You can possible agree to pay American General something and just wait till your buyer is 99% done with the transaction and then pay the 2nd the settlement money to close.