Comments on: Short-Sale Primer Part V http://thebutlerblog.wordpress.com/2008/02/22/short-sale-primer-part-v/ AZ Pre-Foreclosure, Default Servicing & Buyer Planning Tue, 20 Oct 2009 06:50:40 +0000 http://wordpress.com/ hourly 1 By: Heartburn Home Remedy http://thebutlerblog.wordpress.com/2008/02/22/short-sale-primer-part-v/#comment-309 Heartburn Home Remedy Wed, 15 Apr 2009 11:53:03 +0000 http://thebutlerblog.wordpress.com/?p=29#comment-309 I read your blog for a long time and must tell you that your articles always prove to be of a high value and quality for readers. I read your blog for a long time and must tell you that your articles always prove to be of a high value and quality for readers.

]]> By: Bob http://thebutlerblog.wordpress.com/2008/02/22/short-sale-primer-part-v/#comment-271 Bob Sun, 07 Sep 2008 23:33:36 +0000 http://thebutlerblog.wordpress.com/?p=29#comment-271 You have a ton of great info here Allen, but one over-generalization with regard to debt forgiveness. You wrote, "If the bank agrees to take less that you owe them on the sale of your primary residence, you will not have to pay taxes on the forgiven amount." That actually only applies to acquisition debt. Any refi debt that exceeds the original mortgage indebtness is not automatically forgiven under the 2007 law. Insolvency may apply though. You have a ton of great info here Allen, but one over-generalization with regard to debt forgiveness. You wrote,

“If the bank agrees to take less that you owe them on the sale of your primary residence, you will not have to pay taxes on the forgiven amount.”

That actually only applies to acquisition debt. Any refi debt that exceeds the original mortgage indebtness is not automatically forgiven under the 2007 law. Insolvency may apply though.

]]> By: Pat Thomas http://thebutlerblog.wordpress.com/2008/02/22/short-sale-primer-part-v/#comment-232 Pat Thomas Mon, 21 Apr 2008 02:31:52 +0000 http://thebutlerblog.wordpress.com/?p=29#comment-232 I have a question about short sales. My husband and I lived in house "A" for 3 years. We listed it for sale for 12 months and could not sell it. During the interim we had house "B"built (the reason why we wanted to sell house "A"). We decided to rent out house "A". However,the renter proved to be unreliable & we cannot pay both mortgages, so we decided to short sell house "A". The lenders accepted the short sale, except the 2nd lender (XYZ financial Institution) wrote in their letter of acceptance: "Please be advised that a short sale acceptance releases a property deed and enables the property to be sold. It does not relieve the members from the debt owed to XYZ financial institution. XYZ Financial institution will review all options available to assist with the repayment of any deficiency balance." My question is, can XYZ financial institution come back and put a lien on house "B" or try to get the money they think we owe them after the short sale has been completed? Thank you, I look forward to your response. Pat I have a question about short sales. My husband and I lived in house “A” for 3 years. We listed it for sale for 12 months and could not sell it. During the interim we had house “B”built (the reason why we wanted to sell house “A”). We decided to rent out house “A”. However,the renter proved to be unreliable & we cannot pay both mortgages, so we decided to short sell house “A”. The lenders accepted the short sale, except the 2nd lender (XYZ financial Institution) wrote in their letter of acceptance:

“Please be advised that a short sale acceptance releases a property deed and enables the property to be sold. It does not relieve the members from the debt owed to XYZ financial institution. XYZ Financial institution will review all options available to assist with the repayment of any deficiency balance.”

My question is, can XYZ financial institution come back and put a lien on house “B” or try to get the money they think we owe them after the short sale has been completed?

Thank you, I look forward to your response.

Pat

]]>