John Watson for Santa Cruz Real Estate - (831)428-3296

Short Sale Deficiencies in Santa Cruz CA

short sale deficienciesGovernor Brown signed Senate Bill 458 yesterday which prohibits a short sale deficiency judgment whether a lender is a senior or a junior lienholder in a short sale. The previously signed bill enacted earlier this year protected the seller from first lienholders seeking  short sale deficiences in short sale transactions.  Any short sale consisting of one-to-four residential units closing after the signing of Senate Bill 458 will now prohibit the deficiency. 

Any short sale that closed before the signing of the bill on July 15th is subject to a possible deficiency judgment by junior lienholders. 

Short sale closings that occured prior to January 2011 could be subject to possible short sale deficiency by both the senior or junior lienholder.

What are your options if you are behind on your mortgage?

 

 

Comment balloon 1 commentJohn Watson • July 17 2011 07:36PM
Short Sale Deficiencies in Santa Cruz CA
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Governor Brown signed Senate Bill 458 yesterday which prohibits a short sale deficiency judgment whether a lender is a senior or a junior lienholder in a short sale. The previously signed bill enacted earlier this year protected the seller from… more