California Anti Recourse Bill For First AND Second Mortgages 580e
Sacramento Short Sale Specialist And Certified Short Sale Expert Forth Hoyt Reports: California's Newest Anti-Recourse law: Civil Code Of Procedure 580(e) extends protection from collections to ALL Mortgages, even junior liens, or "seconds". The newest California Short Sale Anti Recourse Legislation, introduced by Senate Majority Leader Ellen M. Corbett (D-San Leandro) . This bill would provide that a loan used to pay all or part of the purchase price of real property or an estate for years includes a subsequent loan, mortgage, or deed of trust that refinances or modifies the original loan... No matter if homes have been refinanced or not, all proceeds from short sales will be considered payment in full. The bill would prevent holders of second mortgages from pursuing...
California’s New Short Sale Recourse Law and California Anti Deficiency Law History
[caption id="attachment_4294" align="aligncenter" width="231"] The Original Anti Recourse Laws For First Mortgages Were Written During The Great Depression[/caption] Sacramento Short Sale Specialist, Expert Short Sale Negotiator and Multi-Certified Folsom Short Sale Agent Forth Hoyt reports: The history of California Short Sale Recourse Law, California anti deficiency law and mortgage debt relief law in California. Starting January 1, 2011: No Recourse on Short Sales that have been approved by a first mortgage holder. PERIOD! During the great depression, California had to deal with a huge percentage of homes going into foreclosure. Legislature in California was passed and laws were written to protect homeowners from recourse, after foreclosure. Back then, most mortgages were never refinanced (very short terms) and there weren't many short sales. So the...
Recourse After A Short Sale?
Short Sales Will be Effected By SB931 Can the bank come after you for the difference after a short sale? What are recourse rules in California? Sacramento Short Sales will surely increase and become more streamlined when SB931 goes into effect in January- why? Less to fight about! All First mortgages, whether owner occupied, refinanced, -whatever-, will automatically become non recourse for short sales in California. As a Sacramento Short Sale Specialist, and a certified short sale expert, I usually talk to several people each day who have questions about recourse, deficiency judgments, and the downfall or risk of a short sale. Please understand I am not a lawyer, I cannot give legal advice. But I have been present during many consultations...
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