helpme!, Home Seller in Chicago, IL

I have an offer for a short sale, but the bank says I have to pay 30,00 as promissory note, What can I do?

Asked by helpme!, Chicago, IL Thu May 24, 2012

I don't have the money, and if my next option is foreclosure I don't want to end with a debt to IRS! Please please I beg for professional help, mot of the lawyers in my area are just a scam! I have not paid my mortgage for several months, the forelosure process is on hold, thanks to an offer (short sale) but as i mentioned, they want me to pay them promissory note, is there a way I can avoid this, do I have rights to protect me, they gave me 2 days to answer!! HOW DO I NEGOTIATE?

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Debbie Maue, Agent, Chicago, IL
Mon May 28, 2012
helpme! Agreed below-I need more info. But, yes-you can "counter" the bank and keep the negotiations in motion. As well, the buyer may be able to make a cash contribution or come up in price to negate the need for this contribution. I've done a ton of short sales and worked with some of the most knowledgeable people. If you live in Illinois, it is a judicial state and you have 210 days from the reciept of the Notice of Default before the banks can do much. You will not be in debt to the IRS (unless you haven't paid your taxes?). The bank deficiency and the IRS are 2 different animals. Feel free to give me a call..
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Lynn Pineda, Agent, Coral Springs, FL
Mon May 28, 2012
It is so important that when selling your home as a Short Sale you hire a professional Realtor who has the knowledge and skill necessary to negotiate a Short Sale for you. Unfortunately, today any Realtor will take on a Short Sale just to get the listing .I'm amazed at the horror stories that I hear and it sounds like you might have gotten caught up in it but don't lose hope.

The situation you describe can be common in a Short Sale and you simply need somebody on your side to negotiate away this promissory note or at a minimum get it substantially reduced particularly if you're saying you have no money. As the others here have noted, hopefully they'll be able to direct you to an Attorney who specializes in Short Sales in your area to help you.

Best of luck to you.

Lynn Pineda
Realtor, CDPE
Short Sale Specialist
Keller Williams
0 votes
Damon Bottic…, Agent, Las Vegas, NV
Sat May 26, 2012
You should definitely speak with an attorney. Not sure how it is in Chicago, but in NV there are several good ones that will provide a consult from free to $200.
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Tony Guisto, Other Pro, mokenA, IL
Fri May 25, 2012
Give me a call and I can refer you to the best short sale attorney that I know.
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Robert Nowak, Agent, Chicago, IL
Thu May 24, 2012
Why would you attempt to negotiate this yourself when lenders will pay for the services of a Realtor & Attorney that specialize in short sales? I have personally negotiated short sales for over 6 years and use several attorneys that understand how to close short sales. Every short sale is different depending on the situation of the client, bank, and final investor involved in the deal. I simply don't know enough about your situation to give an opinion and cannot offer legal advice.

Robert Nowak
Real Estate Broker

0 votes
Bill J Delig…, Agent, Naperville, IL
Thu May 24, 2012
You need professional help. The banks want to protect their investment. You want to get out of it w/ no obligations. Get an attorney who has the experience and they may be able to lessen/eliminate your obligation.
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Jose Hernand…, Agent, Chicago, IL
Thu May 24, 2012
Sounds to me like you're doing the negotiations, what's your attorney and agent doing about this?

Short sales are very tricky and different in many ways, but someone with experience at least knows what to do and what could happen.

Feel free to contact me.

Jose Hernandez
Coldwell Banker
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Matt Laricy, Agent, Chicago, IL
Thu May 24, 2012
Talk to your attorney. You should be able to wipe most of this out. Has your attorney done short sales??? Thats who you should be leaning on. I have an attorney, that can wipe most of this note away at no cost to you. Give me an email if you want his information.
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John Gall, Agent, Chicago, IL
Thu May 24, 2012
There are many factors to consider. How much debt are they forgiving? How much time until judicial sale? Are the two notes or one note on the property? How much a month will the promissory note payment be?

I have no idea where you are in the short sale negotiating process. Your attorney or short sale real estate agent negotiating your short sale should be providing you with advice. These are legal matters and every single short sale has its own individual circumstances.

In my experience in selling short sales, you can typically counteroffer the Bank's proposal of signing a note, but again, that depends on your specific circumstances.

0 votes
Jennifer Bla…, Agent, Basking Ridge, NJ
Thu May 24, 2012
helpme! you need an attorney - it's very difficult to negotiate with the banks - it's also hard to get them to waive the deficiency; especially if you don't have someone experienced in your corner. Are you working with a realtor? Maybe he or she can help. Otherwise, please find an attorney, I am sure they aren't all scammers....
0 votes
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