Alameh, Home Buyer in 90210

There is a property in foreclosure. It has 3 loans. Can the first loan accept the short sales and wipe out the other 2 loans?

Asked by Alameh, 90210 Sun Dec 13, 2009

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All three lien holders have to agree to the short sale because they are all going to want something out of the profit made. For more information like this regarding a short sale Click Here: http://www.vgrouphomes.com/atj/user/AdditionalGetAction.do?p…

To Start the short sale process click here: http://www.vgrouphomes.com/atj/user/AdditionalGetAction.do?p…

John & Sarena Villaescusa
Owner/Realtor/Broker
Keller Williams Realty
Cell: 562-818-2671
Email:johnv@kw.com
http://www.VGroupHomes.com
Web Reference: http://www.VGroupHomes.com
0 votes Thank Flag Link Mon Dec 14, 2009
Hello Alameh,

If a property has 3 loans, all lienholders have to approve the short sale.
It is highly doubtful that you will be able to get a short sale approved.
It is difficult to get the 2nd lienholder to approve the short sale, let alone a 3rd lienholder.
Most likely the 3rd lienholder will be left with nothing.
My advice is to find another property that has less loans on it preferably one.
It would then be more likely that the short sale be approved but it will take time. Usually up
to 3 months or longer. So you must be patient.

If you have any additional questions, feel free to email me at:
WestsdeBkr@aol.com or call me at 310 432-5787

Good luck,

Sandi Margolis
Keller Williams Realty, Beverly Hills

http://www.YourBeverlyHillsRealEstate.com
http://www.Facebook.com/SandiMargolis,
http://www.LinkedIn.com/SandiMargolis
0 votes Thank Flag Link Sun Dec 13, 2009
During the foreclosure process (Short Sale), all lien holders must accept the Short Sale resolution. If not, then only after the foreclosuse sale, if the foreclosuse lien holder is the senior lien holder, only then, all junior lien holders will be wiped-out.

Steve Oren - Certify Disterssed Property Expert
0 votes Thank Flag Link Sun Dec 13, 2009
Hi Alameh,

Unfortunately that is not the case - if their are multiple lenders in a short sale, all of them would have to approve the short sale and approve the amount they were to receive as forgiveness of the debt. When there are three lenders involved, unless there is enough proceeds from the sale to pay off both the first and the second loan, the lender on the third loan would likely not receive anything at all, so it is quite likely they may not approve the sale. The less lenders involved in a short sale, the less lenders required to approve it.

Hope this info helps - feel free to email me at john.barry@coldwellbanker.com if you have any questions.

Good luck!

John Barry
Coldwell Banker Residential Brokerage
Sherman Oaks, CA
Cell: 323-810-7976
Email: john.barry@coldwellbanker.com
facebook: http://www.facebook.com/RealtorJB
Twitter: http://twitter.com/RealtorJB
0 votes Thank Flag Link Sun Dec 13, 2009
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