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Providing comprehensive listing information on each short sale property combined with user-friendly navigation features, HelpUshortSale is uniquely positioned to provide its users access to the largest database of both pending and bank-approved short sale properties available in the greater Orange County area.

Why Us

We believe that the best real estate agents are those that specialize in very particular types of properties in very local markets. So instead of trying to serve the many with a mediocre product, we decided to serve the few by being the biggest and the best within our particular property type and within our local market.

What we Do

In addition to providing our visitors with the most comprehensive database of pre-approved and pending short sale properties in the greater Los Angeles area, we also help cash-strapped homeowners navigate their way through the maze of requirements that will need to be satisfied before their lender will approve their home for a short sale.

The new exit strategy: short sale?

Non-Recourse Loans vs. Recourse Loans

What is the difference with a recourse loan vs. a non-recourse loan and how do I know which one I have?  A purchase loan is a non-recourse loan and a refinanced loan is a recourse loan.  The loan type will also be listed on your note!

If a homeowner purchases a home with one loan in California this is considered a non-recourse loan.  The bank has no recourse for the homeowner personally if the homeowner fails to make the monthly payment.  The bank is entitled to take the property back by foreclosure process but is not able to go after other assets.  The bank is also by law entitled to send a 1099A to a homeowner after a foreclosure.  The bank is also by law entitled to “hit” a person’s credit rating by listing “foreclosure” on the consumer’s credit reports and the score will drop 80 points.

If a homeowner refinances the property with a new loan this then becomes a recourse loan.  Often with a refinance there is an equity withdrawal sometimes called a “cash out” refinance.    A recourse loan means that the bank or lender now has recourse from the homeowner.  In the state of California the bank or lender typically foreclosure is by Deed of Trust or Non-Judicial foreclosure.  Therefore the ‘recourse’ isn’t typically pursued with a Non-Judicial Foreclosure for a lender in first position, even with a ‘recourse’ loan.  However, this may change as new laws come into effect, because of Congress and their infinite wisdom always put something together for the American Consumer as well as against the American Consumer.

What about lender in second position with a recourse loan?

Well this is an excellent question.  A lender in second position with a recourse loan has legal recourse to the debt owed on the loan.  Therefore, that bank may and probably will go after the homeowner to get the money.  A homeowner can try to ’settle’ the debt with the bank or lender and should try to ’settle’ the debt with the bank or lender or the first collection agency that the debt is sold to.  If the debt is $50k a good ‘negotiator’ should be able to settle that debt for cheap, say $2k.  My advice would be to get a release from the bank that relieves the homeowner from the full $50k in exchange for $2k.

The collection agency will probably file a lawsuit against the homeowner in order to get a judgment against them and then try to garnish wages or put a lien on the homeowner’s other assets such as a car or other real property in order to get paid. Now, let’s say the debt owed is much higher like $300k for a fancy Beverly Hills property.  Well this might be considered bankruptcy territory and I would highly suggest a homeowner view my free video for homeowners and investors who are threatened with foreclosure and have questions regarding recourse vs. non-recourse loans.