Ken Lawson's (kenlawsonjd) Blog

Recently we had a case where an agent reported that the homeowner of a home being sold as a short sale had just died.  What happens then?  Can the home still be sold in a short sale?     I receive a number of inquiries concerning the steps to take when the homeowner dies before the short sale tr...

In my 20 years of practicing law, I have seen a lot of lawsuits over some of the what sometimes seem to be the least likely situations.     I have written in the past on several cases some various situations in which real estate agents may be at risk from seller clients in short sale cases.     H...

A recent court case underscores a recommendation I have been making for agents involved in short sale cases.     The homeowners contracted with a real estate agent to sell their home.  With the drop in market values, the agent helped the homeowners understand that they could still sell their home...

Ready for change?  Here it comes...or is it?     Through these articles, or blog posts, I have been attempting to educate agents concerning the many, many issues of misinformation that have provided in short sale books, courses, and training seminars.  Since I really have more of a warm heart of...

  There was a recent press release from the U.S. Treasury that stated that the Treasury Department would soon finalize plans to increase incentives for "banks" to approve short sales.     The "banks" here includes both the servicing lenders and the secondary market investors, and it is usually (b...

I watch a lot of short sale real estate agents, investors, and other business people struggling to stay on top of all the many details in running a successful business.   Moving a short sale business from a start-up or even a stumbling position to an income-producing successful business is all ab...

A lot of people have been required to sign a promissory note as a condition to the lender approving a short sale.   The promissory notes are usually for a small to moderate percentage of the deficiency balance, paid over ten (10) years, with no interest.  The promissory note requirement is usual...

In the last article, we discussed the basis upon which lenders will seek a deficiency balance and how to predict it.   The question then comes to the issue of when a promissory note will be required as a condition of approval of the short sale. Since the debtor owes the entire deficiency, a promi...

Many homeowners and agents alike as what the odds are they will be required to pay a deficiency balance after a short sale.  Many bank release documents will not specificially state whether the short sale will be in full satisfaction of the debt.   We've noticed a gradual change from a willingnes...

I often find agents mistaken in their beliefs why short sales are not approved, or do not otherwise close. While I certainly applaud successful short sale agents, there is widespread misunderstanding and misinformation about this topic.   As an attorney who has not only sold real estate (well, f...