Short Sale approval - WAMU and Chase

Submitted by rosemaryallison from CA - 01/13/2009 - 7:54pm

Washington Mutual provided a letter to my Seller accepting less than the full amount in order to affect a short pay sale - but is states in the body of the letter:
By accepting the above amount to release our interest in the property, it does not discharge you of the liability for the deficiency balance on the loan.  Please contact our Recovery Department to arrange an acceptable method for payment of the deficiency balance of $193,724.18.
The loan was NOT purchase money and she did a CASH OUT REFI so my attorney has advised that the lender would still have recourse if she allowed it be foreclosed on. I would appreciate your input - has anyone been able to negotiate out of the "pay back" clause? What would you suggest I say to the lender? Do you think she should go forward with the "short sale"?    

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Comments

Submitted by JGR7675 - 01/15/2009 - 1:41pm

This happened in a transaction where I represented the buyer. Bank of America issued what appeared to be a short sale approval letter, but was really a full recovery letter in disguise. The seller did not agree to the terms and said to go ahead and foreclose on the property  -- he would be filing for bankruptcy. It took quite a bit of negotiating, but the bank eventually did approve the short sale with the correct short sale verbage.

Submitted by megan - 02/07/2009 - 9:56am

Contact me if you would like to receive APPROVED short sale and REO listings.  I work for an asset management company that needs agents Nationwide.  Send an email with your contact info.
megan@exitnb.com

Submitted by jcubias - 02/08/2009 - 11:46am

I just sent you an e-mail with my contact information. Thanks!

Submitted by gabriela - 07/27/2009 - 8:12am

Megan,
 
are you still able to refer REO listings. I am extremely interested

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