A San Jose short sale agent told a homeowner no one can force him out of his home.

A San Jose short sale agent is not an attorney and is not licensed to give legal advice. Any legal advice given by a San Jose short sale agent is bad advice unless perhaps the agent is an attorney licensed to practice in the State of California.

Let's look at the context in which the statement was made.

The seller is retiring in January 2014. That is approximately one year from now. Once the seller retires he will no longer be able to make the mortgage payment. The seller was inquiring about a short sale and wanted to get started right away. The seller has two loans on the property with two different lenders. If I were to list the home for sale now, given my track record, I would likely have approval in 90 days or less, most likely less, and we would close escrow in the May-June time frame.

The seller's intention is to stay in the property until he retires. I explained that even if he could, in other words the lenders do not disallow it, he would need to ensure the property was sold to an investor with a prior agreement that he will be able to rent back at the current rental market rate. No problem there. It would be easy to find an investor buyer who would be willing to rent the property back to the seller.

Here is the catch.The seller's intention is to stay in the property for ..... F R E E!

Add that to the fact that renting back to a seller does not constitute an arm's length transaction which all lenders require on short sales and this San Jose short sale agent thinks there is a problem.

The agent he previously spoke with told him "you can't be forced out of your home."

I am NOT an attorney. What follows is my opinion regarding the statement. IT'S JUST WRONG!

Why would a San Jose short sale agent make such a statement? I don't know the answer to that question so I will leave it to you to decide.

That said, my thoughts are the agent was not addressing the sellers needs. It seems to me the agent either did not know what the heck he was talking about and/or the agent simply wanted to take the listing so the agent's needs were met.

If the seller believed what the San Jose short sale agent told him and chose to hire the agent based upon that belief, I am reasonably certain that when it came time to close escrow the seller would be in for a rude awakening. While I am not an attorney, I do know that there are legal remedies to remove people from homes when they do not have a lawful right to be there.

A San Jose Short Sale Agent Said I Can't Be Forced Out of My Home, by Kathleen Daniels