You don't need to have your ear to the ground to hear the sharkish cry of "The Lawsuits are Coming" echoing throughout the real estate industry....is it time ....? It is another way that the industry has to improve their image by reducing the number of agents who are practicing outside their area of expertise ? OR....Is it unfair discrimination against realtors who try to "do the right thing" with short sales but have not been successful ?
The basis for the suits to come...in progress rallys around a variety of what may be called, "disclosure issues" or what others may term as "great expectations" by short sale sellers that may or may not be met in a closed transaction. These areas as we have heard them are:
- The entire deficiency was not relieved by one or more of the lenders involved
- The lender issued a 1099-S for the deficiency incurred by the short sale
- The agent offered legal or tax consultation .
- The agent practiced outside their area of education and expertise
- No other options were evaluated or proposed by the agent before doing a short sale
- No warning was given that the short sale would impact a seller(s)' credit score
Agents Beware...Sellers be warier....The Lawsuits are Coming....The Lawsuits are Coming !
Life is good in Maryland!
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