Category: Foreclosures

Dispelling Five Misconceptions Your Clients Likely Have About Foreclosure

We are all aware that homes can be sold at various points during the foreclosure process. As a realtor, you might step into the process when a property remains unsold after the foreclosure process is concluded. One big difference is that the bank or financial institution selling the home will ultimately pay you the commission.  Your client, however, will likely have many questions about how exactly the foreclosure process develops. As a result, this article reviews some of the biggest misconcep[...]

The Evidence Foreclosure Defense

The housing crisis brought it a lot of foreclosure filings. These foreclosure findings revealed and continue to reveal a lot of misconduct and mistakes on the lending side. A lot of the misconduct related to the systemization of the processing and servicing of the loans where the emphasis was on more loans and higher value loans. This emphasis caused many lenders and servicers to overlook important details like reviewing paperwork to ensure its accuracy or completing all the necessary paperwork [...]

Florida Foreclosures : The Good News

This week’s blog will highlight some positive news stories regarding Florida foreclosures and real estate. The Market is Recovering Overall, Florida’s housing market continues on its trends towards recovery. It is still a slow process and some victories are small ones, like Florida no longer holding the largest inventory of homes in the foreclosure process (it was surpassed by New York), there is reason to be optimistic as reports show a consistent movement towards recovery. For example, [...]

Deficiency Judgment: You May Owe More than Your Home

If you’re like most people, when you hear the word foreclosure you think of the loss of a home.  But when a foreclosure action is instituted against borrowers who own an underwater home, there’s also a risk that the borrower’s could lose their home and be subject to a judgment against them for money owed in addition to turning over the home.  This is called a deficiency judgment. Deficiency Judgment In past Florida foreclosure blogs, we’ve briefly discussed deficiency judgments but it[...]

Oral Arguments Commence Regarding Foreclosure Statute of Limitations in Florida

Foreclosure Statute of Limitations in Florida Oral arguments in a case we’ve been following for over a year, Bartram v. US Bank, regarding the foreclosure statute of limitations in Florida, were heard by the Florida Supreme Court last week.  The core issue the Court is evaluating is whether the five year foreclosure statute of limitations in Florida bars claims by a lender where the lender institutes a legal proceeding, purports to accelerate the mortgage in the proceeding, the proceeding [...]

Florida Foreclosures Highlighted in New Report

It’s no secret that Florida was hit hard by the foreclosure crisis and has faced a long, slow recovery.  The good news is Florida is recovering.  More news stories focus on the improvement in Florida’s foreclosure rates and the decreases in the number of zombie foreclosures (those properties in the foreclosure process that aren’t yet under the care of a lender and thus, are unkempt, blighting neighborhoods) is sharply declining.  However, the recovery process remains ongoing and a new r[...]

Reverse Mortgage Foreclosure Gets Reversed by Florida Court

Reverse Mortgages, also called “home equity conversion mortgages” or “HECMs” allow older homeowners to obtain monthly payments from a lender based on the equity in their home.  The homeowners don’t have to pay any payments on this loan until they move or pass away.  Reverse mortgages are heavily promoted and utilized in Florida.  In late July, Florida’s Third District Court of Appeal (“Third DCA”) in Smith v. Reverse Mortgage Solutions, Inc., issued an opinion that helps prote[...]

Negative Ruling for Paragraph 22 Defense

The so-called “Paragraph 22” defense to foreclosure has been the subject of prior blogs and we have yet another update on the defense out of Florida’s 2nd District Court of Appeal (“DCA”).  As a refresher, the defense is rooted in Paragraph 22 of the standard mortgage agreement, which provides a number of requirements that lenders must comply with before filing for foreclosure.  In short, homeowners have successfully argued for dismissal of cases where lenders didn’t comply with al[...]

How do Foreclosure Proceedings in Florida Work?

The foreclosure crisis that began in 2008 and is slowly subsiding has been a hot topic for years now, particularly, here in Florida where the number of foreclosures continues to beat the national averages.  Yet, the average understanding is that when you don’t pay you mortgage, the bank comes and takes your home.  And while at a very broad level, this is true, the process is a lot more complicated and open to alternative outcomes.   The Home Financing The foreclosure process actually be[...]

Supreme Court Disappoints Lien Stripping Homeowners

At the beginning of this term, there was hope that the United States Supreme Court would issue an opinion in Bank of America v. Caulkett that would provide homeowners with the opportunity for lien stripping second mortgages  during bankruptcy.  Earlier this month, the Court issued its ruling and opinion and those hopes were crushed.  Lien Stripping Background The Court’s decision addressed two consolidated bankruptcy cases with substantially the same facts.  In each case, the bankruptcy de[...]