Waiver of Deficiency Language
Original Price: $315,000
Sold Price $114,100
Saved Seller $200,900
“…Aurora Bank will: File a 1099-C Form with the IRS and send you a copy. ”
“American Coradius International LLC [which is a collection company for Citimortgage], is willing to accept $9,586 [paid by Aurora] to settle the above referenced account.”
We saved the Seller $200,900 in negative equity! Seller did not have to pay any money out of his pocket for Realtors’ commissions or to settle the debt with his mortgage lienholders. Seller also received a 1099-C and a Waiver of Deficiency. Buyer received $3,400 in closing costs. He retained our law firm, Van and Associates Law Firm and our real estate team, The Van Group at The Agency Real Estate Team, to assist him with the short sale.
In addition, Seller received $3,000 as relocation expense.
Original Price : $266,000
Sold Price: $112,000
Saved Seller: $163,000
We Saved the Seller $163,000 in negative equity! The seller did not have to pay any money for realtors’ fees, which were $6,720. Nationstar, the first mortgage, paid $3,145.00 to Citi Mortgage to settle the second mortgage. Seller paid $2,355 to settle the debt to the second mortgage. Furthermore, the seller did not have sign a promissory note to settle the short sale.
Original Price: $210,000
Short Sale Price: $58,000
Saved Seller: $152,000
“…Bank of America, N.A. waive their right to pursue collection of any deficiency following the completion of your short sale and your debt is considered settled. “
Upon receipt of sale proceeds, Citimortgage, Inc., will release its mortgage on the property, will not pursue the customer for the remainder of the debt and will report the mortgage as paid in full for less than the full balance” to all credit reporting agencies.
Sellers did not have to pay any money for Realtors’ fees, which were $3,480, or money to Bank of America. Bank of America also paid $2,929 to Citi to settle the second mortgage. The sellers did not have to pay anything or sign a promissory note to settle the first or second mortgage. Most importantly, sellers received a Waiver of Deficiency and therefore will not be collected in the future.
1st – Chase
2nd – Bank Of America
Original Price: $779,000
Sold Price: $290,000
Saved Seller: $489,000
“After we receive the settlement amount, we will settle your account and release the lien on the property.”
“Any deficiency will be waived and the appropriate 1099 will be sent. “
Sellers were current on their mortgages, therefore we minimized the effects to Sellers’ credit. Sellers also did not have to pay Realtors’ fees of $17,400. Sellers did not have to pay any money to their lienholders nor did they have to sign a promissory note. In fact, Chase, the first, paid Bank of America, the second, $6,000 to settle the second. Sellers retained both our law firm Van and Associates Law Firm and Sandy Van at The Agency to help them navigate through this short sale. This short sale took about a month and a half. Most importantly, Sellers received a Waiver of Deficiency on both loans. Sellers also received $3,000 for HAFA Relocation expenses.
Bank of America
Original Price: $195,000
“Nevada Hardest Hit Funds (NV HHF) has conditionally approved a distribution from the Principal Reduction Program to facilitate the Home Affordable Refinance Program… NV HHF has reserved funds in an amount not to exceed $50,000.”
Our client owed $195,000. The property is currently valued at $135,000. We were able to obtain a principal reduction of $50,000, so our client was able to basically break even with today’s fair market value.
1st – Bank Of America
Original Price: $847,000
Sold Price: $285,000
Saved Price: $462,000
“…Bank of America, N.A. waive their right to pursue collection of only deficiency following the completion of your short sale and your debt is considered settled.”
The Sellers did not have to pay any money for Realtors’ fees, which were $23,100, or money to Bank of America. The Seller also did not have to sign a promissory note or pay any money to short sell the property. Sellers also received $5,000 for HAFA Relocation expenses and incentive money. Sellers hired Realtor Sandy Van at The Agency, and our law firm, Van and Associates Law Firm, to help them navigate through the short sale process. Most importantly, the Sellers received a Waiver of Deficiency and therefore will not be collected upon in the future.
Original Price: $755,000
Sold Price: $410,000
Saved Price: $365,000
“Upon receipt of the agreed amount, Bank of America, N.A. and/or its investors will waive the remaining balance due on the above referenced loan and release the borrower from further obligation therein, and waive all rights to pursue further judgment or deficiency.
The Seller was current on their mortgage; therefore we minimized the effects to Seller’s credit. The Seller did not have to pay any money for realtors’ fees, which totaled to $24,600. Seller did not have to sign a promissory note to settle the debt to the mortgage company. Bank of America requested $40,000 to waive the deficiency. We got the Buyers to pay $25,000 and Seller was only out of pocket $15,000. Most importantly, the deficiency is waived, which means the Seller will not be collected upon in the future.