Yesterday my brain wondered this as I read Bryant Tutas’ Article on Active Rain:
In Nevada a lienholder has up to 6 years to file a deficiency if it was not waived or taken care of in the short sale process. The Stout Law Firm Ponders this in their article:
Now given the fact that short sales in the Las Vegas NV Area didn’t become “sexy” until 2007. This prompted the lil numbers girl in me to see how many short sale closings we have had in our MLS since 2007 and before 2007. It appears that our short sale field came alive around April 2003.
Short Sale Closings in the Las Vegas Area:
- 4/21/2003-12/31/2006: 1,192 Units Closed
- 1/1/2007-7/14/2011: 26,349 Units Closed
I think 2012 will be the pivotal year to see if the deficiencies will be filed. This would be 5 years after we started seeing large numbers short sales closed. This is perhaps after the former homeowners have gotten back on their feet and are no longer looking in the rear view mirror.
This is not intended to scare people but really open eyes to “how new” this is to all of us – yet it is all maturing. It is coming to roost and 2012 will be a very telling year on how lienholders and PMI companies will react to their statute of limitations.