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Wednesday, April 23, 2014

Moorpark Short Sales: Does Fannie Mae Pursue Deficiencies? Will I Be Issued A Deficieny Judgement?

The Stop Foreclosure Institute recently received a question from Steve. Here is his question. “We are doing a short sale with one of the largest nationwide banks. I told them I wouldn’t do the short sale unless they specifically changed their short sale approval letter to completely release me from the deficiency.

 The short sale negotiate told me that Fannie Mae would not allow them to release the deficiency. I read somewhere that Fannie Mae doesn’t pursue a homeowner after a short sale. I don’t know who to believe. What do you think? Steve.”

  Click here to discover how other sellers successfully did a short sale and avoided foreclosure.

  Here is the answer to Steve’s Question. Steve, in my opinion, you are being lied to by the people at the bank. Fannie Mae and Freddie Mac do not pursue deficiencies in most cases. They have said they may pursue a deficiency when the property is an investment property, or they determine that the owners are strategically defaulting.

They just write off the loss and move on. I don’t know how they determine if you are “strategically defaulting.” Unless you are one of those two, then the people at the bank are not telling you the truth.

 In fact, we recently sold a Fannie Mae short sale and the short sale approval letter gave the seller a complete release. In another situation, there is a large nationwide lender that has short sale approval letter that do not offer anyone a release. This lender has written their approval letters so that is leaves the collection rights with the loan owner after the short sale. The way the loan owner can pursue if they decide to do so. 

This lender is infamous for not changing the clause of their approval letter. We had a short sale with them. The loan was a Freddie Mac Loan. We were able to convince them to change the approval letter because we all knew the investor wouldn’t pursue the home seller for a deficiency. So, go back and tell the lender about your newfound knowledge. If they still won’t budge, then threaten to contact Fannie Mae direct.

Luckily, we have even more protection since we live in California. The Legislature in California passed
SB 584, The Anti Deficiency Law, for more information, CLICK HERE

Thinking about a short sale? I can help you short sale your property and get back on your feet. Send me an e-mail at

 I will contact you for a free consultation. When we talk, I will explain how the process works in detail and answer any questions you may have.

 Or, if you prefer, you can call me at 805-208-0823

 Discover how other sellers successfully completed a short sale and request a free consultation by clicking here.

 Thinking about a loan modification? Our Moorpark loan modification kit has the instructions you will need to get a loan modification approved with your bank. Click here to request a copy. 

Thanks for reading this,

 Chris B Johnson. 

Chris B Johnson is a Realtor with Prudential California Realty, Berkshire Hathaway Home Services
 Phone: 805-208-0823.
 Certified HAFA Specialist, Certified Short Sale Negotiator, Certified Distressed Property Expert
 View My homes for sale at

Chris B Johnson specializes in loan modification assistance and short sales in Ventura County California. Ventura County Loan Modification Help, Ventura County short sales. Ventura County Short Sale Realtor Moorpark CA Short Sales. Moorpark Realtor. Copyright 2012 SFI Marketing Institute, LLC. All Rights Reserved.

  Important Notice Chris B JohnsonPrudential California Realty, Berkshire Hathaway Home Services, and the Stop Foreclosure Institute are not affiliated in any way, shape, or form with the government. Our services have not been reviewed or endorse by the government or your lender. Most lenders willingly work with agents on short sales. Why? Because most short sales are beneficial to a lender. If you accept our offer to help you on a short sale, your lender may not agree to a short sale or to modify your loan. We do offer a loan modification kit. However, the likelihood of negotiating a modification is like everything else in life. It takes work and persistence to convince your lender to modify your loan. No matter what you or we do, your lender may not approve a loan modification. We do not recommend that you stop paying your mortgage, because this will cause damage to your credit and could cause you to lose your home. Because we know avoiding foreclosure is so important to any homeowner, we recommend that you speak with the appropriate legal or tax advisor before making any decision. This is not intended as legal, technical, or tax advice. Please speak with a licensed professional before making any decision. Information is deemed reliable but not guaranteed as of the date of writing. You have the option to reject a short sale or loan modification from your lender if it does not meet your approval. If you decide not to go thru with the short sale, then you do not have to pay us our fee. We normally make a real estate sales commission for helping you on a short sale.

 The views expressed here are Chris B Johnson's personal views and do not reflect the views of Prudential California Realty, Berkshire Hathaway Home Services. This information on Moorpark Short Sales: Does Fannie Mae Pursue Deficiencies? is provided as a courtesy to our viewers to help them make informed decisions.

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