|
California Short Sale Law |
| Print |
|
California Short Sale Law
Short Sales are influenced by California Case law, California
anti-deficiency Statutes, California Association of Realtor contract
forms, California contract law, (approval letters, escrow instructions, negotiated releases) loan servicer (think lenders) duties to their investors, third party rules promulated by agencies like fannie mae
and freddie mac and third party insurer rules (many investors insured their loans behind the scene with AIG, MGIC and others).
Short Sale Case law
Not many cases discuss short sales at the moment.
Why, partially because short sale negotiations were not typically conducted by Realtors.
In the past bankruptcy lawyers would do the negotiating with the lender and then refer the listing out to Realtors as a straight sale.
The negotiation with the banks was fairly easy --- "either release the deficiency in writing, or the bankruptcy court will.
We expect to see more short sale case law in the near future.
California Anti Deficiency Statutes
The main ones are CCP 580 b , CCP 580 d and CCP 726 .
CCP stands for California Code of Civil Procedure
California Association of Realtor Forms
The important ones are the California Association of Realtors Short Sale Listing Addendum and CA Short Sale Addendum - Purchase and Sale Addendum .
We will be discussing these forms at length.
Short Sale Approvals and Releases
Bank of America Short Sale Approvals
Countrywide Short Sales
|
|
Last Updated ( Monday, 27 July 2009 )
|
