Glad to hear you have consulted an attorney. Take his advice and do what he suggests.
If you need a recommendation for a Realtor to assist you with a Short Sale, your attorney may also be able to recommend a local Realtor.
All the best,
Alma Rose Kee, PA
Future Home Realty
I have been working on short sale for the past 7 years and had a great deal of success in assisting homeowners such as yourself during these stressful times, and have been in this industry for well over 20 years.. Each situation has different circumstances and adjustments need to be made. The guidance I can offer you is that of a realtor with a large knowledge base, but I am of course not allowed to provide you with legal advise, nor advise on how this may also impact you from a financial sense. Selling your home as a short sale does have possible financial and legal consequences depending on when you purchased the home, your other assets, did you do a refinance or pull out equity on the home at any time.
As to the bank taking one property to satisfy the debt on another that possibility is extremely limited. What can occur on the home you would have to short sale is that you may get the deficiency waiver, but have to sign a small promissory note at time of closing. Or you can get a full waiver with no consequence. The only way to know how your lender will act is by actually placing your home on the market at the current market price, find a qualified buyer and submit the paper work to the lender. Keep in mind that while you may make your payments to Bank of America (or other lender) there is actually an investor that owns the mortgage and each investor has different criteria and results.
By all means please feel free to give me a call and I can go over all of the possible scenarios with you so you have a better understanding of the process. Please also note once again that my guidance is just that, it is not meant in any way to be legal advise, for this you will want to maintain communication with your attorney.
Lila V. Lopez CRS, CDPE, e-Pro
RE/MAX Advance Realty
You want to ensure you get a reasonably priced offer on the property... too low and the bank will want to go ahead and foreclose, too high and no one will make an offer.
In almost all cases, you will be better off in the long term by doing the short sale rather than foreclosure or bankruptcy. The bank will hopefully completely forgive the difference between the existing mortgage and the sale price.
Keyes Real Estate