How long can the creditor pursue the seller on a deficiency balance?
Rob Russell2020-10-28T09:22:51+00:00In Washington, the statute of limitations to pursue payment for the balance due on a Note is three years from the date of sale. So,
Will the creditor pursue the seller for any unpaid balance due?
Rob Russell2020-10-28T09:21:51+00:00The creditor has every legal right to do so (unless waived). Will they? Who knows? We always suggest that a seller should assume the creditor
Is a seller ever obligated to pay the unpaid Note balance?
Rob Russell2020-10-28T09:20:51+00:00Yes. Again, assume the seller is obligated on the deficiency balance unless the creditor says otherwise in writing as part of the short sale approval.
How often will a creditor give a full release of the Note deficiency in a short sale?
Rob Russell2020-10-28T09:19:54+00:00In our experience, we get a full release on the Note balance better than 85% of the time. The reason that the percentage may be
How does a seller know if it is obligated on a deficiency balance of a Note?
Rob Russell2020-10-28T09:19:26+00:00If the creditor says that with the lien release the creditor also gives a note deficiency release, the buyer/borrower is no longer obligated on the
When the creditor releases its Lien, does it always release the balance due on the Note?
Rob Russell2020-10-28T09:18:45+00:00No. Just because the current creditor releases its lien against the home that does not necessarily mean it releases the borrower’s liability on the remaining
