Over 1 million homes could be lost to foreclosure this year
A recent Associated Press article is reporting that:
“More than 1 million American households are likely to lose their homes to foreclosure this year, as lenders work their way through a huge backlog of borrowers who have fallen behind on their loans.”
And that:
“Nearly 528,000 homes were taken over by lenders in the first six months of the year. If foreclosures continue at that rate, the yearly number would eclipse the more than 900,000 homes repossessed in 2009….”
Also visit our Foreclosure category to learn more about foreclosure.
As always, The Foreclosure Defense Law Firm of VAUGHN & WEBER, PLLC is here to assist you. We are conveniently located in the heart of Nassau County, Long Island, at 217 Willis Avenue in Mineola, NY. Contact us at (516) 858-2620 to arrange a consultation with a foreclosure defense attorney.
Will I lose my home or car if I file for chapter 7 bankruptcy?
Usually not.
In most cases you will not lose your home or car during your bankruptcy case as long as you can exempt the equity, if any exists, in your home or car. In New York, a person is currently allowed a fifty thousand dollar ($50,000.00) homestead exemption and a twenty-four hundred dollar ($2,400.00) motor vehicle exemption. If the property is exempt it may not be taken by the trustee.
However, bankruptcy does not automatically make a valid lien, mortgage or other security interest go away. Therefore, if you don’t make your payments on that debt, the creditor may be able to take and sell your home or car, during or after the bankruptcy case. Technically, a creditor can repossess your car even if your payments are current. The law requires you to redeem, surrender or reaffirm the vehicle (your bankruptcy attorney should advise you about this issue).
As always, The Long Island Bankruptcy Law Firm of VAUGHN & WEBER, PLLC is here to assist you. We are conveniently located in the heart of Nassau County, Long Island, at 217 Willis Avenue in Mineola, NY 11501. Contact us at (516) 858-2620 to arrange a consultation with a bankruptcy Attorney.
Please visit our Bankruptcy category to learn more about filing bankruptcy.
Remember: The law often changes, and each case is different. The above is meant to give you general information, and not to give you specific legal advice.
Forensic Loan Audits
Forensic Loan Audits
A Forensic Loan Auditor, purportedly, reviews your mortgage loan documents to determine whether your mortgage lender violated any state or federal mortgage lending laws when they funded your loan.
We always wondered if these outfits were really helping homeowners. We couldn’t quite figure out how just finding problems with the loan documents, and not actually using that information to defend the foreclosure, was helping homeowners.
Well, the Federal Trade Commission (FTC) has a released a consumer alert, Forensic Mortgage Loan Audit Scams: A New Twist on Foreclosure Rescue Fraud, which states that these mortgage audits are “the latest foreclosure rescue scam to exploit financially strapped homeowners…” The alert goes on to state the following:
In exchange for an upfront fee of several hundred dollars, so-called forensic loan auditors, mortgage loan auditors, or foreclosure prevention auditors backed by forensic attorneys offer to review your mortgage loan documents to determine whether your lender complied with state and federal mortgage lending laws. The “auditors” say you can use the audit report to avoid foreclosure, accelerate the loan modification process, reduce your loan principal, or even cancel your loan.
Nothing could be further from the truth. According to the FTC and its law enforcement partners:
- there is no evidence that forensic loan audits will help you get a loan modification or any other foreclosure relief, even if they’re conducted by a licensed, legitimate and trained auditor, mortgage professional or lawyer.
- some federal laws allow you to sue your lender based on errors in your loan documents. But even if you sue and win, your lender is not required to modify your loan simply to make your payments more affordable.
- if you cancel your loan, you will lose your home and you will have to return the money you borrowed to your lender.
It is our standard practice, as foreclosure defense attorneys, to review ALL documents relating to the purchase and possible foreclosure of your home for potential defenses. We often find ourselves, due to no fault of our own, reviewing and drafting hundreds of pages in a short period of time. This is very labor intensive work, but we take pride in stopping unnecessary foreclosures and providing our clients with an opportunity to remain in their home.
As always, The Foreclosure Defense Law Firm of Vaughn, Weber & Prakope, PLLC is here to assist you. We are conveniently located in the heart of Nassau County, Long Island, NY. Contact us at (516) 858-2620 to arrange a consultation with a foreclosure defense attorney.
Please visit our Foreclosure category to learn more about foreclosure issues.
90 Day Pre-Foreclosure Notice
I just received a 90 day pre-foreclosure notice; what does this mean?
NY foreclosure law now requires that a 90-day pre-foreclosure notice be sent to many homeowners facing foreclosure. The 90-day notice requirement must be sent to homeowners, at risk of foreclosure, who own and occupy a 1-4 family dwelling as their principal residence.
The notice has to be in 14 point type and sent at least ninety (90) days before a lender, an assignee or a mortgage loan servicer commences legal action against the borrower. The 90 day foreclosure notice shall include the following:
“YOU COULD LOSE YOUR HOME. PLEASE READ THE FOLLOWING
NOTICE CAREFULLY”
“As of ___, your home loan is ___ days in default. Under New York
State Law, we are required to send you this notice to inform you that
you are at risk of losing your home. You can cure this default by making
the payment of _____ dollars by ____.
If you are experiencing financial difficulty, you should know that
there are several options available to you that may help you keep your
home. Attached to this notice is a list of government approved housing
counseling agencies in your area which provide free or very low-cost
counseling. You should consider contacting one of these agencies
immediately. These agencies specialize in helping homeowners who are
facing financial difficulty. Housing counselors can help you assess your
financial condition and work with us to explore the possibility of
modifying your loan, establishing an easier payment plan for you, or
even working out a period of loan forbearance. If you wish, you may also
contact us directly at __________ and ask to discuss possible options.
While we cannot assure that a mutually agreeable resolution is
possible, we encourage you to take immediate steps to try to achieve a
resolution. The longer you wait, the fewer options you may have.
If this matter is not resolved within 90 days from the date this
notice was mailed, we may commence legal action against you (or sooner
if you cease to live in the dwelling as your primary residence.)
If you need further information, please call the New York State
Banking Department’s toll-free helpline at 1-877-BANK-NYS
(1-877-226-5697) or visit the Department’s website at
http://www.banking.state.ny.us”
Ideally, the 90 day pre -foreclosure notice is sent prior to the start of the foreclosure action and allows a homeowner to work with their lender to prevent the foreclosure of their home. If you have received a 90 day foreclosure notice, you should consider calling a foreclosure defense attorney to discuss your options.
Long Island Foreclosure Attorneys
As always, the Law Firm of Vaughn, Weber & Prakope, PLLC is here to assist you. We are conveniently located in the heart of Nassau County, Long Island, NY. Contact us at (516) 858-2620 to arrange a consultation with a foreclosure defense attorney.
Please visit our Foreclosure category to learn more about foreclosure issues.
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