1st and 2nd settlement verbiage???

[loser104]

Closing on a short sale (Michigan) in 2 weeks and just got my settlement letters from Green Tree (1st and 2nd). Want opinions on the wording, because they do NOT mention anything about not pursuing me for the deficiency, but.........I think it is implied from what they DO state. Here is a summary of the wording, it's EXACTLY the same for both the 1st and 2nd:

".......GREEN TREE WILL ACCEPT $XXXX.XX AS SETTLEMENT IN FULL ON THE ACCOUNT. UPON RECEIPT AND VERIFICATION OF GOOD FUNDS, GREEN TREE WILL RELEASE THE DEED OF TRUST/MORTGAGE AND THE NOTE WILL BE SETTLED IN FULL. WE WILL REPORT YOUR ACCOUNT AS SETTLED IN FULL FOR LESS THAN THE FULL BALANCE AND ARE REQUIRED BY LAW TO REPORT THE AMOUNT OF THE DEBT THAT IS FORGIVEN TO THE IRS."

So, does this sound ok. Was hoping for some different wording, but I think these letters are alright, and that I should be happy with them. Are they leaving anything out that MAY leave the door open for future legal action???

[pcn]

What about the taxes on the amount reported to the IRS? Will you be liable, or insolvent so it doenst apply?

[Brazzy]

The taxes will have to be taken care of from the sale proceeds otherwise the sale wont go through. The fact that it says that the account will be considered settled in full is a good sign. That pretty much means they wont pursue a deficiency balance. If it was just said the lien on the property would be released and nothing else I would be worried for you. Saying settled in full mean in regards to the lien and the account is a good thing. Double check with them AND an attorney. I cant see the whole thing, but as far as I can see its good to go.