Category Archives: Foreclosures

Texas Foreclosure. How long will I have to wait?

Recently on our legal forum a user asked, “I lost my job about six months ago, and I have not been able to find a new one. I live in Texas, and I have owned my home for five years. I am wondering what will happen if I miss too many house payments? How long will it take for the bank to complete a Texas foreclose, and what steps will they have to take?”

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A Couple of Ways You Might Play the Foreclosure Game

English: Foreclosure signs, Mortgage crisis,

English: Foreclosure signs, Mortgage crisis, (Photo credit: Wikipedia)

When you have to default on your mortgage, foreclosure is really a serious matter and not a game, but if it happens through no fault of your own, here are a couple of ways you might play the foreclosure game. Continue reading

Housing Market tightens in 2012

Movoto Real Estate reports that the housing market inventory throughout the United States decreased substantially in 2012, with the number of houses for sale in the housing market declining 27% from December 2011 to December 2012.

The decrease in available homes in the housing market will undoubtedly be great news for homeowners who have seen the value of their homes decrease for the last several years. Now with fewer available homes in the housing market for sale, existing home owners, who are faced with less competition, may be able to sell their homes for higher profits.

There has also been a decrease in foreclosure rates. Lower foreclosure rates coupled with appreciating home values will help the thousands of homeowners who previously had a mortgage that was under water. Experts contend the housing market for 2013 could see more of the same.

Foreclosure

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Recent Foreclosures Provide Insight to State of Bankruptcy

English: Sign of the times - Foreclosure

English: Sign of the times – Foreclosure (Photo credit: Wikipedia)

There has never been any doubt as to the correlation in the economy to foreclosure rates and bankruptcies.The recent rate of foreclosures provides us with a clearer insight to the state of bankruptcy in our economy. Continue reading

Negotiating a Deed in Lieu of Foreclosure After Bankruptcy

English: Sign of the times - Foreclosure

English: Sign of the times – Foreclosure (Photo credit: Wikipedia)

The same problems and questions often arise on bankruptcy forum websites about negotiating a deed in lieu of a foreclosure, especially after filing for bankruptcy protection. Continue reading

FHA to Soon Loosen Mortgage Guidelines

"Ask us about FHA loans to Remodel for Ve...

“Ask us about FHA loans to Remodel for Veterans” – NARA – 514242 (Photo credit: Wikipedia)

According to several recent news articles, the Federal Housing Authority (FHA) is due to loosen some very important mortgage guidelines for potential homeowners. The FHA is currently thinking of relaxing its guidelines for the standard waiting period of getting FHA insured loans for certain types of negative credit events. These events include filing for bankruptcy protection, having a mortgage foreclosure, and being forced into making a short sale on your home. Continue reading

Foreclosure and the Scams that Accompany It

English: Foreclosure Sign, Mortgage Crisis

English: Foreclosure Sign, Mortgage Crisis (Photo credit: Wikipedia)

If it is not enough that the foreclosure crisis has wreaked havoc on our national economy, scam artists are coming by the droves to take advantage of the ripe conditions for their work. So, here is a quick look at foreclosure and the scams that accompany it.

Foreclosures are a matter of public record in every state of the Union. Scam artists pretty well know when someone has defaulted on their mortgage loan. As a result, the scam artists are quick to prey on the weakest and most in need of help. They often portray themselves as someone who can lend a helping hand at a time those in financial trouble need it the most.

Here are a few things you might want to check out before investing in this kind of help relating to foreclosures:

  • Beware of Companies who will negotiate loan modifications for a fee. There are legitimate government sponsored loan modification programs, but none require a third party to help you negotiate the best deal for a modification to your mortgage contract to stay out of foreclosure. If you have defaulted on your mortgage loan, don’t be afraid to contact your mortgage service provider and tell them your predicament. They will put you in touch with a government backed modification program well before the foreclosure process is completed.

  • Beware of Companies who promise to negotiate with your mortgage company once you have defaulted on your loan. Some of these companies promise to get you fully reinstated with your mortgage lender for an upfront fee, no matter how many payments you have missed. Many of these scam artists call themselves foreclosure mediators or foreclosure counselors, but whatever they call themselves, there is really no such thing. Mortgage contracts are secured loans, and unless back payments are made in full, the mortgage lender is not likely to partially forgive a loan. To do so may void the entire contract, and the mortgage lender has the full force of the secured loan to protect. They have legal considerations a third party cannot intervene in, and to protect their security, they must follow the laws of the foreclosure process.

  • Beware of Companies who promise to buy your home through a secondary contract and without formally closing. Commonly called equity stripping, scam artists will promise to pay off your mortgage loan through a secondary contract to your primary mortgage agreement. They might even ask you to deed over the property to them, and some homeowners do, thinking the signing of the phony deed relieves them of ownership responsibility. The scam artists will rent the house out while the primary mortgage lender forecloses on the property, holding a legitimate lien on the title. Of course, you still owe the original loan the scam artist never paid. Closing at a title company is what protects both the homeowner and mortgage lender against such scams.

As irrational and stupid as it may seem, thousands of people are annually exposed to these types of scams, and many fall for them. Foreclosure is a legal process that often requires knowledge of the law, so when in doubt, it might be best to consult with a lawyer.

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