Posted on: 05th Jan, 2012 12:49 am
i went through a short sale in 2010. my first mortgage lender has released the lien and has also forgiven the balance amount. but the second mortgage lender got about 10% of principal from buyer to release lien and also stated in a letter that they are expecting that the remaining balance will be returned. after that i haven’t heard anything from them. i have no intention of reaching out to them either. what are the ohio laws for sol on short sale deficiency balance? at what point can i be sure i am free and clear of the old balance?
Hi Ohiogirlie,
In Ohio, the SOL for a written debt is 15 years. So, as far as I can understand, the second mortgage lender will be able to come after you for the debts for the next 15 years.
Take care.
In Ohio, the SOL for a written debt is 15 years. So, as far as I can understand, the second mortgage lender will be able to come after you for the debts for the next 15 years.
Take care.
Hello,
If your second lenders paperwork notes a deficiency judgment is obtainable, or waived by the lender, that should be enough for you to know if they can come after you. When you do a loan mod, short sale or deed in lieu, the approving paperwork will describe the outcome, whether deficiency is or is not going to be obtained. Look at your paperwork. Also it depends on if you are only talking about purchase money, and if you have a deed of trust loan, or a mortgage. On a deed of trust using purchase money, a deficiency is not allowed...
If your second lenders paperwork notes a deficiency judgment is obtainable, or waived by the lender, that should be enough for you to know if they can come after you. When you do a loan mod, short sale or deed in lieu, the approving paperwork will describe the outcome, whether deficiency is or is not going to be obtained. Look at your paperwork. Also it depends on if you are only talking about purchase money, and if you have a deed of trust loan, or a mortgage. On a deed of trust using purchase money, a deficiency is not allowed...
