Jacksonville Florida Short Sales FAQ: Will the Bank Come After Me for the Difference?
This is a huge concern for sellers, wanting to sell their Jacksonville Florida home. After going through the short sale process, and finally making it to closing, will I have to deal with this later down the road? The answer lies in the short sale approval letter. If you see the following(may not be the exact words):
The investor of your loan agrees not to pursue a deficiency judgment for any unpaid amounts on the loan after tender of the net sale proceeds in accordance with this approval letter.
The above sentence is from an actual approval letter, and it means the lender will not come after you for the balance that was not covered by the sale of your home. It’s important to ask for this multiple times, but understand, the lender may not waive that right.
If they don’t have it in writing that they will waive it, then yes, you may be hearing from them in the near future. In Florida, they have up to 5 years to file the deficiency, 20 years to collect. You may not hear from them, even if they haven’t agreed to waive the deficiency judgment. For more information on defiency judgments written by a Florida attorney, Richard Zaretsky.
Speaking of attorneys, I am NOT one and I can not give you legal advice, so you should consult with an attorney for legal advice.
Got questions? Are you in a short sale and/or pre-foreclosure situation with your Jacksonville Home? Call me at 904-910-3516 or send me an email at pam@pamgraham.com.
Coming soon, more Jacksonville Florida Short Sales FAQ:
How long will a short sale take?
Will the bank come after me for the difference?
How will a short sale affect my credit?
I have no money, will I have to bring money to closing?
How will the closing costs get paid?
How long does it take for the bank to foreclose on my home?
What are the tax ramifications doing a short sale?
How does the bank determine how much they will accept?
Can a family member buy my home, then let me stay and rent it from them?
How do I hire the best real estate agent to get my short sale done?
