Short Sales Just Got Easier!
Finally! California decided to protect their residents from the banks. As of October 1st, 2010, homeowners who short sale their home will not be protected from any deficiency judgements on first liens. In the past, homeowners were only protected if they foreclosed, now, it has included short sales.
This bill would prohibit a deficiency judgment under a note secured by a first deed of trust or first mortgage for a dwelling of not more than 4 units in any case in which the (owner) sells the dwelling for less than the remaining amount of the indebtedness due at the time of sale with the written consent of the holder of the first deed of trust or first mortgage. The bill would provide that written consent of the holder of the first deed of trust or first mortgage to that sale shall obligate that holder to accept the sale proceeds as full payment and to fully discharge the remaining amount of the indebtedness on the first deed of trust or first mortgage.
This does not apply to Jr. Liens, your agent will have to negotiate a full release ahead of time so you are protected on both liens.
Danny Dimas ~CDPE. CRS. GRI
Short Sale & REO Pro
Alain Pinel Realtors