Posted on: 31st Jul, 2009 08:22 pm
If I am able to short sell my property, what precautions I need to take so that the bank does not hold be responsible for the deficient amount
Also how much impoact will this have on my credit score
Also how much impoact will this have on my credit score
Hi Guest,
You can file a bankruptcy and if your bankruptcy filing is approved by the court, an automatic stay would be issued against all your creditors. After you get a discharge, it would depend upon the lender whether or not he would short sale the property. In case of a Chapter 13 bankruptcy, the lender would give you a repayment plan to pay off the debts. In chapter 7 bankruptcy, if you reaffirm the loan, you would become liable for the loan. If you do not reaffirm, you can surrender the property to the lender.
You can file a bankruptcy and if your bankruptcy filing is approved by the court, an automatic stay would be issued against all your creditors. After you get a discharge, it would depend upon the lender whether or not he would short sale the property. In case of a Chapter 13 bankruptcy, the lender would give you a repayment plan to pay off the debts. In chapter 7 bankruptcy, if you reaffirm the loan, you would become liable for the loan. If you do not reaffirm, you can surrender the property to the lender.
on my applic. for short sale, it states the short payoff amt is accepted as payment n full. i am with aurora loan and i don't know if i can depend on that statment. each time you call you get a different pwrson and a different answer! God help us all from these loan sharks!
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