Does the State of Florida allow Deficiency Judgements in a Short Sale?
Yes. In Florida, the homeowner may be subject to a Deficiency Judgement in a Short Sale or Foreclosure. The advantage of a Short Sale over a Foreclosure is that the borrower will have an opportunity to negotiate the amount if any of this deficiency.HOWEVER – Under the HAFA guidelines, the participating lenders have agreed not to pursue a deficiency judgement. This is great news for distressed homesellers.
