Legal Question in Real Estate Law in Ohio

Is this legal? Can I sue?

After loosing my job I requested to put my house up for short sale. AMS the mortgage servicing company had approved me for a short sale, and helped me and my real estate agent with the negotiating sale price. I received a 325k cash offer on the house, but AMS came back after 4 months and said they never were going to approve us for a short sale. They foreclosed on my house 3 weeks later. AMS bought the house back through the sheriff sale for 275k. They sent a payoff amount to their law firm for 510, but my loan was originally for 457. I just found out that AMS hired my old real estate agent to sell the house. The house is being sold for 300k to the original buyers who made the cash offer of 325k. And, now AMS is coming after me for 235k as well.

Is this legal? Can they get a way with this obvious crime. This is like mafia real estate dealings.


Asked on 7/17/12, 8:20 pm

1 Answer from Attorneys
J. Norman Stark J. Norman Stark , Attorney, Architect

Dear Troubled: You had the right to be represented by experienced Counsel. I sincerely trust you did so. If not, you may now avail tyourself of the protection against a deficiency judgment - 1099 filing by thec creditor-bank-lender, by filing an IRS form 985 and obtain forgivemeness of the tax on the entire deficiency. You may also wish to consider protection in bankruptcy, Chapter 7.

I urge you to obtain and retain experienced Counsel to represent and advise you.

Good luck and God bless...

Sincerely, J. Norman Stark.

Read more
Answered on 7/18/12, 8:17 am


Related Questions & Answers

More Real Estate and Real Property questions and answers in Ohio