This is a HOT TOPIC and wow there is a ton of Mis-information out there in regards to deficiency judgements, short sales and foreclosures in Maryland.

Maryland is a recourse state, so basically a homeowner OWES the money and the banks have the right to pursue a deficiency judgment whether a home goes to foreclosure or is short sold.  Many homeowners believe that if there house goes to foreclosure the homeowner is free of the obligations, NOT TRUE.  If you owe $300,000 on your home and it is sold at a trustee sale for $200,000 the lender has the right to pursue the homeowner for the $100,000 difference.  

Also, if a homeowner Short Sells his/her property for $200,000 and they owe $300,000 the lender has the right to do the same.   So with this being said why would a homeowner pursue a short sale?  We will save this for the next post.  For more information visit http://www.foreclosurelawfirms.com/topics.cfm/anti-deficiency-laws.html

I am not an attorney and this information should not be construed as legal advice, please consult an attorney to discuss specifics about deficiency judgements and how they may apply to your situation.

Are you experiencing financial difficulties and looking for advice on the options available to you?  Contact me today,  I am personally committed to helping 100 Maryland homeowners prevent foreclosure in 2010.