Legal Question in Real Estate Law in California

Re: short refinance worries 2

Labels don't mean as much as the true nature of the deal. Analyze your proposed deal by its express terms, paragraph by paragraph, not by the large-print title at the top. If it calls for you to pay the shortfall sooner or later, you remain liable for it; if not, then you're probably not liable - but teven then I'd look for language saying that this is a novation, or that the existing not is canceled, or something of that nature. What the heck, maybe you should get a lawyer to read it....there are a lot of newfangled instruments being created in the aftermath of the mortgage mess, and some are not well-conceived nor borrower friendly. I'd certainly not take the lender's word for what the document does or does not accomplish for you - the person you're dealing with probably isn't a lawyer and almost certainly is not the author of this document.