A recent NY Post article gives several key reasons why homeowners should fight back against a bank foreclosing on their home. The article details several problems with the foreclosure actions being brought by mortgage lenders and their attorneys. I have personally observed several of the shortcomings, to say the least, mentioned in the article. I am currently defending home foreclosures where several of the deficiencies stated in the article are present. If you have been served with a foreclosure notice or a summons and complaint, you should consult with a reputable foreclosure defense attorney as soon as possible.
Robbie L. Vaughn, Esq. Long Island, NY Attorney & R.E. BrokerReal Estate | Foreclosure Defense | Bankruptcy | Landlord-Tenant Matters631-780-4758 (Phone) 70 West Main St. East Islip, NY 11730
One good reason to have a newly constructed home inspected for defects:
New York law provides every purchaser of certain newly constructed homes with a statutory home warranty (the "Housing merchant implied warranty"). However, the warranty only covers certain latent (hidden) defects (see future post for actual warranty coverage).
The Warranty statute states that:
"Unless the contract or agreement by its terms clearly evidences adifferent intention of the seller, a housing merchant implied warrantydoes not extend to....any patent defect which an examination ought in the circumstancesto have revealed, when the buyer before taking title or acceptingconstruction as complete has examined the home as fully as the buyerdesired, or has refused to examine the home."
In other words, the statutory warranty does not cover patent (obvious) defects that the purchaser should have discovered before the closing. Therefore, it is best to discover all patent defects before the closing. This will give the purchaser and his/her real estate attorney more leverage to negotiate an agreement with the seller regarding the repairs.
Robbie L. Vaughn, Esq. 631-780-4758 (Phone) Long Island, NY Attorney Real Estate | Foreclosure Defense | Bankruptcy | Landlord-Tenant Matters70 West Main St. East Islip, NY 11730 http://www.Rlvaughnlaw.comWe are a debt relief agency and a law office that helps people file for bankruptcy relief under the United States Bankruptcy Code. This is not legal advice.
Modification: The bank agrees to change one or more terms of the mortgage. Possible changes include: reducing the interest rate; extending the term of the mortgage; and adding the arrears to the unpaid principal balance of your loan.
Communicate
Gather records relating to your home:
Consider talking to a lawyer:
That's the title of a recent NY Times article:
http://www.nytimes.com/2010/01/10/magazine/10FOB-wwln-t.html?hp
There has been plenty of recent debate over the issue of homeowners walking away and allowing their homes to go into foreclosure. I am not opposed to advising a client to walk away. Actually, I would probably advise them to remain in their home until after the foreclosure sale. However, I would not give such advice without gathering all of the facts, examining all of their options, researching the potential consequences, and discussing the same in detail with them.
Again, before following advice to allow your home to go into foreclosure you should carefully consider all of your options, the potential benefits, and the potential consequences of such a decision.
Also read about avoiding foreclosure and foreclosure scams at:http://rlvaughnlaw.com/AvoidingForeclosure.aspx
All the best,
Robbie L. Vaughn, Esq. (Robbie Vaughn)
Long Island Real Estate Attorney, Foreclosure Defense and Bankruptcy Lawyer
www.Rlvaughnlaw.com
We are a debt relief agency and a law office that helps people file for bankruptcy relief under the United States Bankruptcy Code.
Disclaimer: No Attorney-Client relationship is formed until we have a signed agreement. This is not legal advice. Please verify any and all information provided to you.
GOVERNOR PATERSON SIGNS COMPREHENSIVE FORECLOSURE LEGISLATION INTO LAWStrengthens Protections for Homeowners, Tenants and Neighborhoods
“This legislation, introduced at Governor Paterson’s request, expands the reforms achieved in last year’s law in several ways to protect homeowners, tenants and neighborhoods. The law will:
Written by Robbie L. Vaughn, Long Island Attorney & Real Estate Broker.
Probably.
If you are facing foreclosure you have likely missed a few mortgage payments. Chapter 13 Bankruptcy DOES allow you to make up your missed payments over time, 3-5 years, via a monthly payment plan. A portion of your arrearage is paid along with your current monthly mortgage payment as part of your chapter 13 plan.
Also, the "automatic stay" may delay the foreclosure long enough for a homeowner to complete a sale or loan modification.
Automatic stay- An injunction that goes into effect automatically, with some exceptions, when a debtor files for bankruptcy. It, in most cases, automatically stops most lawsuits, foreclosures, garnishments, and collection activities against the debtor.
Additionally, you may also be able to "Strip-off" a totally unsecured 2nd/3rd mortgage on your primary residence. This would allow the 2nd/3rd
mortgage to be treated as any other unsecured creditor. Thus, it would be dischargeable upon the completion of the Chapter 13 plan.
Dischargeable debt- Debt that can be eliminated by filing bankruptcy (credit card debt, medical bills, etc.).
Call Robbie L. Vaughn at 631-277-4907 for help with your Real Estate and Bankruptcy needs.
www.Bayviewestatesrealty.com
Disclaimer: No Attorney-Client, or Broker-Client relationship is formed until we have a signed agreement. This is not legal advice. Please verify any and all information provided to you.
Written by Robbie L. Vaughn, Long Island Attorney and Real Estate Broker.
Probably not.
If you are facing foreclosure you have likely missed a few mortgage payments. Chapter 7 does not allow you to make up your missed payments over time (like Chapter 13).
However, the "automatic stay" may delay the foreclosure long enough for a homeowner to complete a sale or loan modification. Automatic stay- An injunction that goes into effect automatically, with some exceptions, when a debtor files for bankruptcy. It, in most cases, automatically stops most lawsuits, foreclosures, garnishments, and collection activities against the debtor.Generally, Chapter 7 bankruptcy is a better option for homeowners who are current on their mortgage, or at least not in foreclosure, but may be struggling due to other "dischargeable debt".Dischargeable debt- Debt that can be eliminated by filing bankruptcy (credit card debt, medical bills, etc.).
Robbie L. Vaughn, Esq. (Robbie Vaughn)Rlvaughnlaw.comBayviewestatesrealty.com
Long Island Real Estate & Bankruptcy Attorney Long Island Real Estate Broker
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Disclaimer:
No Attorney-Client, or Broker-Client relationship is formed until we have a signed agreement. This is not legal advice. Please verify any and all information provided to you.
Some options for those facing foreclosure:
1. Do something:
-Call the lender and try to arrange a loan modification, Refinance, short sale, or Deed-in-Lieu of foreclosure.
-Loan Modification- A Loan Modification is a permanent/temporary change in one or more of the terms of your mortgage loan. Ideally, this will result in a payment you can afford. (You can do this yourself).
-See http://makinghomeaffordable.gov/eligibility.html
-Short sale- A sale of a house for less money than is owed to the lender. Ideally, the lender agrees to accept the proceeds of a short sale and forgives the rest of what is owed. (You will likely need the help of a R.E. Broker & a R.E. Attorney).
-Deed-in-lieu of Foreclosure- (May only be available after a failed Short Sale attempt). Ideally, the lender accepts ownership of the property in place of the money owed on the mortgage. (You will likely need the help of a R.E. Attorney).
Consult with an attorney regarding:
-Foreclosure Defenses- Such as a Lack of standing, TILA violations, RESPA violations etc.
-Bankruptcy- Such as Chapter 13- which is a type of “reorganization” used by individuals to pay all or a portion of their debts over a period of years using their current income. The most important thing about a chapter 13 case is that it may allow you to keep your home if you can make the payments which the bankruptcy law requires to be made to your creditors.
-Deficiency Judgments- Generally, a judgment for the amount a homeowner owes the lender after a house is foreclosed upon and sold by the creditor for less than the actual amount still owed.
2. Do nothing: -Walk away OR
-Stay in your home until you get evicted.
-Pay or go calculator: http://www.payorgo.com/