Question: I have a home in Arizona [anti-deficiency state] that was purchased with an 80/20 loan. I have never refinanced the loans. We were in the process of negotiating a short sale, got approval from the first [with Country Wide] and they agreed to pay the 2nd [Citi] $3k, when we went back to Citi to get final approval we discovered that they charged off the 2nd and sold the loan to a subsidiary which has now turned it over to an attorney that claims they are going to file a deficiency judgement against me and collect the debt. They claim that since it was a second mortgage and it was charged off that they can do this. It was a second but it was a “purchase money” loan. Can they come after me for the deficiency?
Question: If a judgment has been passed and your sell date is February of 2009 can you still try to sell the property before the sell date? Or does the bank now officially own the property?
Answer: – Absolutely you can sell your home. You should have a statement from the lender showing you the full payoff amount. This will include all late fee, attorney fees, foreclosure fees, etc. As long as you payoff everything, you can sell. The only time you can’t sell is if you’re in bankruptcy.