Foreclosure – Page 5 – Miami Real Estate Attorney Blog

Florida Foreclosure Filings are Down While Real Estate Prices Continue to Decrease

According to the latest reports, both home values and foreclosure filings are down. While many think that a drop in foreclosures is a sign that economic times are improving, the figures are a bit misleading.

The decline in foreclosures seen in Florida and throughout the nation most likely has to do with the allegations concerning robo-signing and document fraud. Late last year many banks suspended their foreclosures after allegations of robo signing, fraud, documentation errors, issues with process servers, problems servicing loan modifications, and other similar issues, prompted many lenders to slow down the foreclosure process which in turn has slowed down the housing recovery.

Because of these allegations, many lenders are carefully reviewing their procedures and inspecting documents. Other factors that led to the drop include the short month of February and bad weather.

In Miami-Dade County, filings were down 8 percent from January and 66 percent from February 2010. As for home prices in South Florida, they fell 14.5 percent since January of last year. National figures show that home values fell 7.3 percent.

Experts believe that depreciation rates will begin to stabilize and foresee a reduction in the depreciation rates in the spring numbers ahead of an eventual bottom nationally later this year.

What does all of is mean? Its tough to tell. The drop in values means the housing market recession is not over. It also means that it would be imprudent to expect another month in which the foreclosure rates drop. After the banks finish reviewing their practices, we may begin to see a surge in foreclosure rates. Also, these reviews may continue for the foreseeable future. This is certainly true in light of the fact that very recently HSBC indefinitely suspended foreclosures to conduct a review of their practices.

On the other hand, it also means that buyers have many wonderful investment opportunities available to them. Indeed, buyers continue to find bargains by purchasing foreclosed homes in record numbers. Given the historically low interest rates, coupled with the low prices for many properties, especially foreclosed properties, the timing may never be better to purchase a new a property. Our firm can certainly assist you in your real estate needs should you be interested in purchasing property.

We are certainly in difficult times. Not only can a foreclosure be daunting, it can break an individual’s spirit. However, there are solutions, and alternatives, to foreclosures. At Alvarez & Barbara, we understand all of our client’s individual needs and pride ourselves in providing high quality service. If you’re facing a foreclosure, don’t let it bring you down. Call us today so we can show you that the saying “every problem has a solution” is an undeniable truth.

HSBC has Indefinitely Suspended Foreclosures

The robo-signing fiasco continues. Late last year many banks suspended their foreclosures after allegations of robo signing, fraud, documentation errors, issues with process servers, problems servicing loan modifications, and other similar issues, prompted many lenders to slow down the foreclosure process which in turn has slowed down the housing recovery.

After suspending foreclosures, the banks and their attorneys reviewed their policies and procedures to ensure that any fraud was put to a stop. Most banks have resumed their foreclosures, but HSBC is the latest bank to suspend its foreclosures.

The Palm Beach Post is reporting that HSBC has indefinitely suspended foreclosures because of problems with how the cases are being handled. The suspension came in response to federal inquiries regarding its foreclosures and “certain deficiencies” in how HSBC processed, prepared and signed affidavits along with other documents supporting foreclosure actions. The bank is also evaluating the law firms handling their cases.

In a report released by HSBC, the bank stated it is reviewing foreclosures where judgment has not yet been entered. The bank states it will correct deficient documentation and re-file affidavits where necessary.

While unfortunate that HSBC needed to be scrutinized by the federal government before suspending foreclosures, they should be applauded for taking the necessary steps to prevent fraud and correct already fraudulently filed documents. On the downside, this suspension may have the effect of creating the illusion of less foreclosures. It will also assuredly slow down our economic recovery. However, ensuring that the bank is properly repossessing properties should be the most important concern.

Fraud is widespread in foreclosure cases. It appears to be a systemic problem. Despite this fact, its not easy to spot. It takes an experienced foreclosure defense attorney to spot fraud. But spotting the fraud is not even half the battle. The challenging part is attacking the fraud and establishing the appropriate strategy.

Navigating these waters can be difficult, but we are experienced in handling foreclosure matters. People often think that foreclosure defense basically entails delaying the “inevitable” – a foreclosure. However, many alternatives exist. At Alvarez & Barbara, we don’t buy time to delay the inevitable. We buy to time to find a solution that suits each individual client.
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EXTENDED BODY:
Consider Your Options. Contact Us Today.

We have been successful in defending many foreclosure cases when given an opportunity to develop a plan to properly defend the foreclosure.

If you are on the brink of foreclosure, need a real estate attorney, or just need to assess your legal rights, please contact our office today.

Call us today toll free at 1-866-518-2913 or at 305-263-7700.

Florida’s Investigation on Foreclosure Frauds Widens to Include another Foreclosure Mill

We recently discussed how Marc Ben-Ezra of the foreclosure mill Ben-Ezra & Katz was found in contempt of court for failing to appear in front of a judge in Miami-Dade County after being ordered to do so. Now, it has become the eighth foreclosure mill to be investigated by the Florida Attorney General.

The Florida Bar is also conducting an investigation into Ben-Ezra and his law partner, Marvin Katz. Although the Bar wouldn’t state how long they have been investigating the two, they are being investigated on one complaint each involving foreclosure fraud.

Florida’s Attorney General’s Office states that Ben-Ezra and Katz’ firm fabricated or misleading documents were presented in court before judges. Some of these documents include assignment of mortgages and affidavits which have been later proven to be legally insufficient. It is also accusing the firm of violating Florida’s deceptive and unfair trade practices laws.

The firms that are currently being investigated by the Attorney General claim that the office does not have the authority to investigate or regulate lawyers. They argue that only the Florida Bar has the ability to regulate the profession. A Palm Beach County judge has already agreed with the foreclosure mill Shapiro & Fishman that only the Florida Bar can regulate lawyers.

No matter who has the power to regulate attorneys, the fact remains that serious issues have arisen as a result of alleged wrongdoing by all of these firms. As attorneys, we are held to a higher standard of conduct, and rightfully so.

Although the State of Florida is conducting these investigations, wrongdoing by lenders’ attorney will almost assuredly continue. Unfortunately, its not safe to assume the foreclosure mills have corrected their ways. At Alvarez & Barbara, whenever a foreclosure complaint comes into our office, we not only examine it for legal sufficiency, but for any evidence of fraud.

This evidence of fraud is not easy to find and is only visible to an experienced attorney. We have that experience. Not only do we defend our clients in foreclosure, but our primary goal is to find a solution that is tailored to our clients individual needs by exploring the many alternatives that may exist.
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EXTENDED BODY:
Consider Your Options. Contact Us Today.

We have been successful in defending many foreclosure cases when given an opportunity to develop a plan to properly defend the foreclosure.

Our Miami foreclosure defense lawyers have assisted many homeowners in buying enough time to reach the solution that is right for them. There are many alternatives to foreclosure, and often times it just takes proper planning to properly navigate against the potential pitfalls. Help is often available to those who seek it.

If you are on the brink of foreclosure, need a real estate attorney, or just need to assess your legal rights, please contact our office today.

Call us today toll free at 1-866-518-2913 or at 305-263-7700.

Florida Ranks 2nd in the Nation for Mortgage Delinquencies

Both Nevada and Florida continue to lead the nation in mortgage delinquencies. According to recent news reports, Florida’s mortgage delinquency rate is at 14.5% and is only surpassed by Nevada at 14.76%. The delinquency rate is often seen as a precursor to foreclosure. And both Florida and Nevada are among the nation’s leaders in foreclosure filings.

Indeed, 21,671 Florida properties fell into foreclosure in January. The reason that number is down is because of the impact from the recent robo-signing allegations, and other issues related to foreclosures in Florida.

For instance, allegations of robo signing, fraud, documentation errors, issues with process servers, problems servicing loan modifications, and other similar issues, have prompted many lenders to slow down the foreclosure process which in turn has slowed down the housing recovery. Florida’s Attorney General eventually announced an investigation into these alleged practices.

Consider Your Options. Contact Us Today.

We have been successful in defending many foreclosure cases when given an opportunity to develop a plan to properly defend the foreclosure.

If you are on the brink of foreclosure, need a real estate attorney, or just need to assess your legal rights, please contact our office today.

Call us today toll free at 1-866-518-2913 or at 305-263-7700.

Miami Judge Finds Lawyer in Contempt for filing a Foreclosure “Sham Pleading”

Beginning in 2007, we saw the beginning of the real estate market crash and the ensuing flood of foreclosure cases. Since that time foreclosure defense attorneys have repeatedly told judges and the media about the fraudulent practices of many foreclosure mills. Towards the end of 2010, these practices finally came to light.

You would think that the foreclosure mills would finally get the picture after Stern’s fall. But, that is not the case. Fraudulent practices continue to come to light and the Courts are finally using their power to reprimand lawyers who commit fraud.

Marc Ben-Ezra, head of the foreclosure mill Ben-Ezra & Katz, certainly did not learn a lesson from the Stern fiasco. Last week a Miami-Dade County Circuit judge found Ben-Ezra in contempt for filing “sham pleadings” and for “wasting the court’s time”. At a previous hearing, the judge ordered Ben-Ezra to come to court and respond to allegations that his firm had filed fraudulent documents. However, he failed to show up.

Apart from being found in contempt, Fannie Mae finally got fed up with the “document execution” issues at Ben-Ezra’s firm and terminated its relationship with the firm. Now, all these cases are going to be handled by other firms. Unfortunately, this pull-out resulted in the firm laying off nearly half of its 568 employees. Its looking like his firm is facing the same fate as Stern’s office.

We have been successful in defending many foreclosure cases when given an opportunity to develop a plan to properly defend the foreclosure.

If you are on the brink of foreclosure, need a real estate attorney, or just need to assess your legal rights, please contact our office today.

Call us today toll free at 1-866-518-2913 or at 305-263-7700.

Defaults are on the Rise for those who Qualified for Loan Modifications

The race to modify home loans may be quickening, but so too is the pace of those who are re-defaulting on their home loans even after their loans are modified.

Recent statistics show that 1 in 5 U.S. homeowners whose loans were modified under HAMP were at least 60 days late in their payments a year after their mortgages were modified. On the other hand, the number of active, permanent modifications reached 521,630 as of December 31st under HAMP. But that number is still far lower than the originally intended 3 to 4 million homeowners it was supposed to help.

The pace of defaults also continues to pick up steam. A record 2.87 million properties received notices of default, auction or repossession in 2010. More troublesome yet is that 15.8% of all permanent modifications were at least 90 days late in making timely payments.

Consider Your Options. Contact Us Today.

We have been successful in defending many foreclosure cases when given an opportunity to develop a plan to properly defend the foreclosure.

If you are on the brink of foreclosure, need a real estate attorney, or just need to assess your legal rights, please contact our office today.

Call us today toll free at 1-866-518-2913 or at 305-263-7700.

Florida’s Supreme Court Asked to Hear Foreclosure Fraud Case

It seems that David Stern’s problems keep adding up as more allegations of fraud are brought against his firm. His firm has been accused time and time again of falsifying documents that must be filed with foreclosure lawsuits. Now, one of Stern’s files may make it all the way to the Florida Supreme Court. This case reminds us of the recent Massachusetts Supreme Court decision throwing out a case in which the bank could not prove its ownership of a mortgage after it was securitized.

We’ve discussed multiple times how many mortgages over the past few years were assigned to other banks. In order for an assignment to be valid, the banks must record the assignment in a County’s land records. Without recording such an assignment, there’s no possible way of identifying with certainty the true holder of a mortgage and the accompanying note.

Whenever this proof does not exist, a Court should not allow a lender to foreclose on a property. This is why many foreclosure cases are being voluntarily dismissed throughout Florida – lenders simply don’t have the proof that they own a mortgage.

Unfortunately, it seems David Stern’s law firm may have falsified its “proof” of an assignment in a case that is headed to the Florida Supreme Court. At first, the foreclosure complaint was filed without the assignment attached. Later, Stern’s office filed an amended complaint which attached an unrecorded assignment that was dated right before the original pleading was filed. The bank eventually dropped the case, but later re-filed with different documents.

However, this is not the first time this happens. As a matter of fact, it is a regular occurrence. Nevertheless, only an experienced attorney will catch these small details which may be proof of fraud.

We have been successful in defending many foreclosure cases when given an opportunity to develop a plan to properly defend the foreclosure.

If you are on the brink of foreclosure, need a real estate attorney, or just need to assess your legal rights, please contact our office today.

Call us today toll free at 1-866-518-2913 or at 305-263-7700.

Miami’s Foreclosure Defense Attorneys Continue to Push for Alternatives to Foreclosure to Help the Many Struggling South Florida Homeowners Facing Foreclosure

Today’s current real estate market, and ongoing foreclosure crises, presents all sorts of issues that must be properly navigated. There are many factors contributing to Florida’s nation leading delinquency rates. They include a weak job market, weak economic recovery, and a major drop in home prices. Consequently, Florida’s housing market remains unsettled in large part due to the continued foreclosure crises.

However, Florida homeowners who are struggling to make their mortgage payments may be able to get money from a billion-dollar fund run by the State. According to the Palm Beach Post, thousands of delinquent homeowners may be eligible to receive up to a year and a half worth of mortgage payments. Applications for this program called Hardest Hit will be available next month.

This will be the first time the billion dollar fund will be available statewide. Lee County homeowners were able to apply for the program while the State tested it.

The highest amount a person can receive is $35,000. Hardest Hit is aimed at unemployed homeowners or those who are working but don’t make enough money to pay their mortgage. The money can be used to make loan payments for up to 18 months and to bring delinquent loans current.

The State of Florida believes the program can help about 20,000 people. This is certainly a modest amount of help considering that about 19 percent of Florida borrowers are either in foreclosure or 90 days past due.

In the event a homeowner who accepts funds from this program sells his home within five years or falls back into foreclosure, they will have to return the money to Florida. However, paying back the State takes second place to paying off the bank and other liens on the property.

Since Florida started testing back in October, most major lenders have cooperated. This includes major banks such as Bank of America, Wells Fargo, Chase, and Citimortgage. Fannie Mae and Freddie Mac have also provided directions to servicers regarding the State’s program.

Those who didn’t qualify for funding during the pilot program were denied because many had more than one property or owed more than $400,000 on their loan.
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EXTENDED BODY:
Consider Your Options. Contact Us Today.

We have been successful in defending many foreclosure cases when given an opportunity to develop a plan to properly defend the foreclosure.

If you are on the brink of foreclosure, need a real estate attorney, or just need to assess your legal rights, please contact our office today.

Call us today toll free at 1-866-518-2913 or at 305-263-7700.

Homes Being Repossessed in South Florida due to Foreclosures Spiked Up in 2010

South Florida bank repossessions significantly increased in 2010 with an almost 80 percent increase over 2009. In total, banks took back 54,000 properties in Miami-Dade, Broward, and Palm Beach counties.

Miami-Dade County had the most activity with 23,000 repossessions taking place. However, this should not be too surprising since Miami-Dade County also has the largest population amongst the three counties.

Broward County follows in second with a total of 20,400 repossessions. Palm Beach ranked third with 11,000 repossessions.

As a result, 2010 takes the prize and wins the distinction of producing the most repossessions since the real estate crash started in 2007. It was nearly double that of 2009 when lenders repossessed 30,400 homes. 2008 had 26,650 repossessions, and in 2007 there were 10,100. This figures certainly show us how the real estate market has progressively worsened.

The high 2010 figures are the result of a lengthy foreclosure process that began back in 2008. It is possible that the strong absorption of new condos may be laying down a foundation for a stronger rental market going forward.

Its expected that the annual rise in repossessions will not hold in 2011. Foreclosure filings, the first step to repossessing a home, were down in 41 percent in 2010. The drop, however, may be in light of all the “robo signing” allegations, and on going investigation launched by Florida’s Attorney General regarding certain law firms and other issues pertaining to process servers and service of process.

We have been successful in defending many foreclosure cases when given an opportunity to develop a plan to properly defend the foreclosure.

If you are on the brink of foreclosure, need a real estate attorney, or just need to assess your legal rights, please contact our office today.

Call us today toll free at 1-866-518-2913 or at 305-263-7700.

Banks are Giving Up and Dropping Many Foreclosures in Southwest Florida

In recent weeks many banks have dismissed hundreds of foreclosure lawsuits in Southwest Florida. They are doing this instead of facing lenders at trial.

However, what should we understand this to mean? Does it meant banks are just taking a break before refiling with stronger evidence? Or, does it mean that they are giving up for good?

The foreclosure defense bar has long accused foreclosure firms of never actually reading lawsuits that were filed. Also, many mortgages which ended up being securitized were never actually legally transferred by entities such as MERS leading to significant problems in proving ownership.

The Clerk of Court for Lee County believes that the banks will come back and refile. However, this will certainly be costly because of the large filing fees incurred in these cases. For example, in order to file suit against a homeowner living in a $250,000 home, a bank would have to pay $1,900.00 in filing fees. The Clerk of Court is currently unable to estimate how many cases have actually been dismissed.

This past Tuesday alone, banks filed eight voluntary dismissals. An attorney based in Southwest Florida has reported that he saw 50 consecutive foreclosure suits voluntarily dismissed.

The banks may not be able to re-litigate many of these files because a lot of mortgages were bundled in mortgage-backed securities. Many mistakes were made in this process, which makes it extremely difficult for a bank to prove ownership of a mortgage. Nonetheless, there are still a small amount of cases where the bank is still the original holder of the mortgage.

The Jacksonville area is also seeing the same activity. Its believed the dismissals may be caused by a significant Massachusetts Supreme Court ruling which invalidated two foreclosures because a bank couldn’t prove ownership of a mortgage after it had been improperly placed into a mortgage-backed trust.

This creates opportunities for many struggling homeowners to potentially get back on their feet, or otherwise chart a course of action that is best for them. Our Miami foreclosure defense lawyers have assisted many homeowners in buying enough time to reach the solution that is right for them. There are many alternatives to foreclosure, and often times it just takes proper planning to properly navigate against the potential pitfalls. Help is often available to those who seek it.
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EXTENDED BODY:
Consider Your Options. Contact Us Today.

We have been successful in defending many foreclosure cases when given an opportunity to develop a plan to properly defend the foreclosure.

If you are on the brink of foreclosure, need a real estate attorney, or just need to assess your legal rights, please contact our office today.

Call us today toll free at 1-866-518-2913 or at 305-263-7700.