Our bank will not allow us to short sale or D-I-L our rental home because we do not qualify under FHA guidelines. Our Realtor says it is better for them to foreclose because they will be reimbursed by the FED because our FHA had PMI insurance on it.
So my question is who will seek a deficiency against us? I assume it won't be the bank because they will get reimbursed. How successful are lawyers in negotiating deficiency judgments against homeowners? Thanks!