Legal Question in Real Estate Law in California

Re: short sale law

Do you mean "buy"? There is nothing prohibiting a relative from being the purchaser at a short sale, so long as the lending institution is informed of the fact. Indeed, informing it of who the buyer will be is less the issue than is not misinforming them.

Re: short sale law

Sure. Short sale means simply that lienholders (mortgagees) are willing to accept less than is owned on the loan to facilitate a sale and avoid a foreclosure or other arrangement such as renegotiation of the debt. It is purely dependent upon the willingness of the lenders.

Re: short sale law

Yes, but the bank may reject the offer if it feels there is any fraud involve. There are no specific criminal laws as to short sales because it is just an agreement by your lender to accept less than the loan and free you from your debt to it. So the lender can make up whatever rules it want for the short sale. You have no right to demand one.