When we begin to counsel our clients about the short sale of their homes, one of the questions that we get asked frequently is “Is it possible to sell my home as a short sale and not have a deficiency judgement placed against me?” The answer is Yes! It has happened before in the past. However, that’s certainly not the norm.
Not too long ago, I was quoted in a Florida Weekly article regarding lenders pursuing borrowers for the deficiency judgment. Here is the actual article:
I have to interrupt for just a second to make a few corrections. The last two instances of the word “creditor(s)” should actually read “debtor(s)”. …the economic burden is on the debtor (not the creditor) and my Fort Myers title company doesn’t bargain on behalf of debtors. Also, “purse” should say “pursue.” The article continues:
In summary, if you’re not sure if you will be subject to future liability after a short sale, it would behoove you to work with a short sale specialist. I realize that you’re probably under a tremendous amount of stress and you’re probably exasperated from trying to negotiate with your lender. But if you’re facing foreclosure, I would suggest avoiding it because it’s absolutely devastating to your credit and as you just read in the article above, it doesn’t necessarily excuse you from future liability.
Download my free eBook 12 Things You Need to Know to Survive a Short Sale. If you have questions (and I’m sure you have plenty) about short selling your house, this eBook will answer many (if not all) of them. If you live in Florida and you’re ready to hire a short sale specialist, please give my Fort Myers title company a call at (239) 985-4142 or contact us online.
-Chris
