Bank of America Gives a Full Release For a Las Vegas Short Sale


As previously reported in this blog, Bank of America (BAC) will sometimes completely release homeowners from all potential deficiency judgments and all claims resulting from a short sale, but usually only after extensive negotiation.

In February 2010, BAC provided a full release as follows:

Upon receipt of the agreed amount, BAC Home Loans Servicing, LP and/or its investors will waive the remaining balance due on the above referenced loan and release the borrower from further obligations therein, and waive all rights to pursue further judgment or deficiency. BAC Home Loans Servicing, LP will report the debt as “settled” and issue a 1099 for the remaining balance.

It took months of negotiation and a payment to BAC to obtain that release. Individual results may vary!

The bottom line in most short sale situations, is that the lender won’t get its money back from the homeowner- not now, not after foreclosure, not under a new federal bailout, not when the economy recovers, never.

Moreover, rejecting the short sale and instead foreclosing, will cost the lender tens of thousands of dollars; an expensive decision…even for a bank.

BAC knows all that since they have working for them the brightest, and most experienced deficiency judgment experts in the world. When push comes to shove, BAC knows its good business to take the short sale deal; they just want the homeowner to pay and work for it.

For more information on how we can be of service go to Las Vegas Law Firm Short Sale Services For Real Estate Agents and Homeowners

Published by Stout Law Firm

I have passed three bar exams

6 thoughts on “Bank of America Gives a Full Release For a Las Vegas Short Sale

  1. Having made use of a press release submission to promote many
    of my web sites I always ensure that I access the well-known news wires
    to circulate my press release. We have tried the
    free pr distribution web sites but you sincerely do get what one pays for.
    A press release is too influential a marketing tactic to skimp on.
    A paid for service like PR Buzz, SBWire,EmailWire et al not only yield your brand fantastic publicity
    but also powerful back-links and laser targeted traffic.
    That’s why I continually use a press release the moment my website goes online and let it work its magic!

  2. I saw that you mentioned it took a “payment” to BAC for them to waive the remaining balance. Can you tell me what percentage of the loss this particular person had to come up with to get BAC to agree to the deficiency waiver?

  3. I’m curious; what document is recorded to memoralize a lender’s agreement to waive a right to seek a defenciency judgment. Take the BOA waiver above, was anything recorded in the local land records to memoranize that agreement?

Leave a Reply