Rejected Renters to Get a Free Credit Report

On July 16, 2010, in Landlord-Tenant, by Robbie L. Vaughn, Esq.

Wall Street Reform Bill: Free credit report for rejected renters

The Dodd-Frank financial regulatory reform bill which passed through Congress and is headed for President Obama’s desk, contains a provision which will require that rejected renters be provided with a free copy of their credit report.

The Wall Street Journal reports that there is a provision in the bill that “would give prospective renters access to a free copy of the credit score that a landlord or broker used to evaluate their application.”

The article quotes a source as saying “that by forcing landlords to give out these credit scores, they would be deterred from using discriminatory factors like race or age in their decisions of whether or not to rent to particular applicants.”

Click here to read the entire article.

Visit our Landlord-Tenant category to learn more about Landlord-Tenant issues.

As always, The Long Island Landlord-Tenant 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  Landlord-Tenant attorney.

$1 Billion to Help Unemployed Homeowners Facing Foreclosure

On July 16, 2010, in Foreclosure, by Robbie L. Vaughn, Esq.

Wall Street Reform Bill: $1 billion fund to help unemployed homeowners avoid foreclosure

The Dodd-Frank financial regulatory reform bill which passed through Congress and is headed for President Obama’s desk, contains a provision that is likely to help some unemployed homeowners avoid foreclosure.

The Washington Independent reports that there is a provision in the bill to set up “the Emergency Homeowners’ Relief Fund…a $1 billion fund to help unemployed workers stay in their homes.” According to the article the fund should be in place by October 1, 2010 and “will offer qualified unemployed homeowners low-interest loans up to $50,000 to help them keep up with their mortgage payments and remain in their homes.”

The article also reminds us that “On July 1, the Treasury Department started up the Home Affordable Unemployment Program. Through the program, banks and lenders will let unemployed homeowners stop paying their mortgages for set periods of time while they look for work, or will reduce payments to less than 31 percent of the homeowner’s gross monthly income for a set amount of time. (That means that if the homeowner’s income is zero, the payment will be zero. If he or she is taking severance or receiving unemployment insurance, it will be about a third of that.)”

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, NYContact us at (516) 858-2620 to arrange a consultation with a foreclosure defense attorney.

Forensic Mortgage Loan Audits

On July 5, 2010, in Foreclosure, by Robbie L. Vaughn, Esq.

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.

Click here to read the entire Consumer Alert: Forensic Mortgage Loan Audit Scams: A New Twist on Foreclosure Rescue Fraud.

Buying A Home

On May 28, 2010, in Foreclosure, Real Estate, by Robbie L. Vaughn, Esq.

The Home Buying Process

Buying a home can be exciting and joyous. However, the home buying process can get a bit confusing at times. We often act as the buyer’s attorney during real estate transactions. In an effort to answer some of their questions, we provide our real estate clients with the following overview of a real estate purchase . We hope that you find it useful as well:

BUYING A HOME (an overview):*

1.   The Buyer usually contacts a Real Estate Broker to help locate a property he/she would like to purchase.

Real Estate Broker–  Any duly licensed or authorized person, firm, or corporation who for a fee or commission lists for sale, sells, or exchanges real property.

2.  The Broker helps the buyer find a home.**

3. The Broker usually conducts a Comparative Market Analysis to help determine the value of the home.

Comparative market analysis– An estimate of the value of a property based on an analysis of sales of properties with similar characteristics.

4.  The Buyer usually makes an offer by submitting a real estate binder.

Real Estate Binder–   An agreement intended to evidence a modest payment toward the purchase of real estate as evidence of good faith on the part of the purchaser and acceptance by the seller. (A real estate document generally used in residential transactions).

5.   Seller accepts or rejects the offer.

6.   Assuming the offer is accepted, the buyer then hires an engineer/home inspector.***

7. Once both parties have agreed to move forward, the seller’s real estate attorney drafts and sends a proposed contract to buyer’s real estate attorney.

8. Contract terms are negotiated by the real estate attorneys.

9. Buyer meets with his lawyer for the “contract signing.”

10. Buyer’s  real estate attorney collects the down payment check, which is made out to the seller’s real estate lawyer “as attorney,” to be held in escrow, by the seller’s attorney, until the closing.

11. The signed contract and Down payment are forwarded to the Seller’s attorney.

12.   Buyer receives a copy of the fully executed contract, signed by all parties. This is then used to obtain a loan  (Commitment Letter) if necessary.

Commitment Letter– A promise by a lender to make a loan with specific terms for a specified period.

13. Buyer’s attorney orders a title examination & survey.

14.   Once all issues are resolved and the lender gives a clearance to close, a real estate closing is set.

Real estate closing– The transfer of the real estate title from seller to buyer according to the sales contract. All parties, as well as a title closer and bank attorney, arrive to conclude the transaction.  The buyer receives the title and keys to the real estate and the seller receives the balance of the purchase price.

**The Broker will likely request/require you to obtain a mortgage pre-approval before they begin showing you homes.

***The inspection can be done after step 12 if the parties agree. This is usually accomplished by placing an “inspection contingency” clause in the contract.

As always, the Law Firm of Vaughn, Weber & Prakope, PLLC is here to assist you.    Contact us at (516) 858-2620 to arrange a consultation with a Real Estate Lawyer.

*The above is merely an overview of a real estate transaction. Additional and/or different steps may be required during a particular transaction. This is not legal advice. ++All rights reserved.

Please visit our Real Estate category to Learn more about real estate.

The information you obtain at this site is not, nor is it intended to be, legal advice. You should consult an attorney for individual advice regarding your own situation. This website is Attorney Advertising. It does not form an attorney-client relationship. We are a debt relief agency and a law firm that helps people file for bankruptcy relief under the U.S. Bankruptcy Code – Title 11. Prior results do not guarantee a similar outcome. Proudly assisting residents of Long Island, Nassau county, Suffolk county, New York City, Queens, Brooklyn, Bronx, Staten Island, Manhattan