Housing Recovery – Page 6 – Miami Real Estate Attorney Blog

“Robo Signers” Taint Foreclosures in Miami and Beyond Further Highlighting the Need to Consult with a Miami Foreclosure Defense Lawyer

This is what some of the nation’s largest banks said to their newly hired “foreclosure experts”: Hurry up and sign those legal papers and don’t even bother to look at them. Sign them as fast as possible and don’t ever stop signing. Just sign sign and sign some more.

That was the mandate handed down by many of the major banks when they started hiring hair stylists, floor workers, assembly line workers, and others with no formal training in real estate or mortgages and labeled them “foreclosure experts.” Their job? To sign as many “papers” as possible, and in the fastest amount of time, in an effort to speed through foreclosures. These new found “foreclosure experts” were asked to complete their job in times faster than world class sprinter Usain Bolt takes to break world records.

This practice has become known as “robo signing” and has called into doubt thousands of foreclosures nationwide, including right here in South Florida.

Struggling homeowners should contact our office to meet with one of our Miami foreclosure defense attorneys today. As the revelations of improper “robo signing” continues to increase, those who are in danger of losing their home to a foreclosure should examine the situation, with the aid of one of our attorneys, in greater detail. The problems the banks are presently experiencing as a result of the “robo signing” allegations arise in large part as a result of foreclosure defense attorneys bringing to light the systematic fraud routinely committed by the banks, their employees, and their law firms.

In an effort to rush through thousands of home foreclosures since 2007, financial institutions and their mortgage servicing departments hired hair stylists, Walmart floor workers and people who had worked on assembly lines and installed them in “foreclosure expert” jobs with no formal training.

The current “robo signing” crises is likely to prolong the housing depression for at least another few years. The allegations are opening the entire chain of foreclosure proceedings to legal challenge. Some foreclosures could be overturned. Others could be deemed illegal. All the more reason to consult with a foreclosure defense attorney today to assess your legal rights.

Though some have chalked up the foreclosure debacle to an overblown case of paperwork bungling, the underlying legal issues are far more serious. Yes, swearing that you’ve reviewed documents you’ve never seen is a legal offense, and one that should not be taken lightly. But at the center of the foreclosure scandal looms something much larger: the question of who actually owns the loans and who has the right to foreclose upon them. The paperwork issues being raised as a result of the “robo signers” has the potential to blight not just the titles of foreclosed properties but also those belonging to homeowners who have never missed a mortgage payment.
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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 toll free at 1-866-518-2913 or at 305-263-7700.

The Ongoing Mortgage Meltdown Presents Unique Opportunities for Foreclosure Defense Attorneys in Miami to Assist Distressed Homeowners to Fight to Save Their Home

Revelations of continuous fraud by the banks, and their law firms, have resulted in the launching of numerous investigations, and calls for a foreclosure moratorium. Indeed, many banks, including some of the nation’s largest, like Bank of America, have temporarily halted foreclosures in Florida.

This foreclosure crises, and mess, only continues to deepen in South Florida. The New York Times reported that Old Republic National Title has decided that it will not issue title insurance to property foreclosed upon by GMAC. Meanwhile, Florida’s Attorney General continues to investigate three prominent South Florida law firms to determine if those firms engaged in unfair and deceptive actions in their handling of thousands of foreclosures.

The issue associated with Old Republic is particularly troublesome for many potential home buyers and the real estate market as a whole. After the bank gains repossession of a property in a foreclosure the defaulting borrower is often evicted from the home. After which the foreclosed home is put on the market and ultimately sold. These sales account for approximately 1/3 of all homes currently sold in South Florida.

However, when when foreclosures are done with faulty documentation, such as in instances where “robo signing” practices were employed, it could potentially leave the new owners of the house vulnerable to claims. Title insurance protects the buyer against defects, errors or omissions in the chain of title. Old Republic said in the memorandum that its agents were already reporting written cancellations of contracts involving both Chase and GMAC due to problems stemming from the wide spread practice of “robo signing.”

All of this is occurring at a time when the economic recovery is tenuous at best. In August, Miami Dade County’s unemployment rate jumped to 14.4% from 13.3% in July. And until unemployment, and the economy as a whole, recovers, the local real estate market will remain in a state of high uncertainty.
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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 toll free at 1-866-518-2913 or at 305-263-7700.

Miami Foreclosures Are Put On Hold Due To Admitted File Mishandling By Many Major Banks, including Bank of America, JP Morgan Chase and GMAC

In the past week, Bank of America, JP Morgan, and GMAC have all announced that they were suspending tens of thousands of foreclosures across the country due to apparent improper handling of documents. This could be the start of a new wave of problems for the banks here in Florida.

These colossal blunders by the banks illustrates the need to have an experienced Miami foreclosure defense lawyer on your side. The bank’s ongoing mishandling of these foreclosures files just further illustrates why having proper legal representation is so important.

Foreclosures have evolved into a massive industry for both the banks, and a few select group of law firms representing the banks. And that cozy relationship has resulted in Florida’s Attorney General launching an investigation on this industry due to an increasingly large volume of mistakes in many foreclosure cases. Indeed, just recently an individual’s home was foreclosed on despite the fact that his home did not have a mortgage, and in another instance a local South Florida Judge blasted the bank’s foreclosure lawyer for failing to follow appropriate procedure in a foreclosure case.

More than 3 million foreclosures are expected to take place this year across the country, with Florida leading the way. However, some estimate that at least 80% of all foreclosures have some type of documentation problem with the file, which may result in the need to have the foreclosure re-filed.

The reason behind the documentation problems stems from the heavy, and growing, load of foreclosures. Many banks, including Bank of America, JP Morgan, and GMAC, employed people who processed the paperwork as quickly as possible in order to comply with many local rules and procedure. This practice has become known as “robo signing.” However, this practice is improper, and many banks have halted the march towards foreclosures because of the fact that “robo signing” is improper.
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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.

Home Repossessions Set a Record in August as the Foreclosure Crises in Miami, and Nationally, Rages On with no End in Sight

August was a rough month for many American families. Lenders took back more homes in August than in any other month since the start of the mortgage crisis, according to the USA Today. Although properties entering foreclosure have decreased, home repossessions are increasing. In total, lenders repossessed 95,364 properties in August. This denotes a 3% increase from July and 25% from August 2009.

The Miami lawyers at Alvarez & Barbara, LLP, are on your side. We are experienced trial attorneys who will help you understand your rights and options under Florida and federal foreclosure laws.

The increase in repossessions can be attributed to banks trying to clear out their load of bad loans with the prospect of eventually putting the foreclosed properties on the market. However, they can’t afford to just put all the properties on the marked. Lenders are concerned that if they dump all these properties onto the market, the housing market could stumble once again. This may explain why less than one-third of bank-owned properties are on the market.

There is a silver lining to this dark cloud though. Since lenders don’t want to put these homes on the market, they have slowed the foreclosure process. This means borrowers who are in default can stay longer in their homes. To put things in perspective, the number of initial default notices sent in August 2010 is 30% less as compared to August 2009. Moreover, the rate of initial default notices being sent out has fallen on an annual basis over the last seven months.

Apart from the foreclosure, many borrowers are attempting to modify their loans hoping to prevent foreclosure. But this remedy hasn’t worked perfectly. Many homeowners don’t qualify and others simply fall back into default. The loan modification process can be long and tedious because of the amount of back and forth communications a borrower must have with their lender.

Others face a different problem. A man in Winter Garden, Florida was one financial information packet away from a permanent loan modification after going back and forth with his bank for more than a year. However, the modification never went through because his loan was transferred to another entity. Now, he must pay up his arrearage or face foreclosure.

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.

The Ongoing Foreclosure Crisis is Impacting the Pool of Applicants Applying for Mortgages Today and Making it Harder for Many to Qualify for Mortgages in Miami

The mortgage crisis has thrown an enormous amount of homes on the market. The supply of homes certainly surpasses the demand at the moment. As a result, home prices continue to drop throughout South Florida even though some areas are experiencing a rise in the sale of existing homes and condos. In this depressed market, interests rates are low. However, few Americans are able to take advantage of these historically low interest rates.

The ongoing foreclosure crisis has made lenders behave more conservatively. Consequently, people are finding it difficult to qualify for a mortgage. Even those with relatively good credit scores are having a hard time qualifying for a mortgage.

According to news reports, an analysis of more than 25,000 loan quotes and purchase quotes shows that about one-third of Americans are unlikely to qualify for a mortgage because of their credit scores.

For example, someone with a credit score below 620 who requested quotes on a 30-year, fixed-rate mortgage were unlikely to receive even one quote, even if they were able to make a down payment of 15 percent to 20 percent. On the other hand, mortgage borrowers with excellent credit scores (720 or higher) were able to get the lowest interest rates, which was usually around 4.3 percent for a 30-year, fixed rate mortgage.

On the bright side, borrowers with credit scores between 620 to 719 can save a substantial amount in interest by improving their credit scores. For each 20-point credit score increase, the average low APR drops 0.12 percent. Over time this may represent a good amount of savings. For instance, on a $300,000 home with a 20 percent down payment, this decline equates to a savings of $6,400 over the life of a 30-year loan.

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.

Florida Ranks 2nd in the Nation for Foreclosures While Banks Carefully Manage the Real Estate Inventory

Although Florida foreclosure activity has decreased, year-over-year, for the fifth straight month in August, the foreclosure rate in Florida still remained one of the highest in the country. Seventeen percent (17%) of all foreclosures in the United States are right here in the Sunshine State. This ranks Florida second among all the states for foreclosures.

Specifically, 1 in every 155 Florida homes were in receipt of a foreclosure filing in August. That is 2.5 times the national average. That equals to 56,877 properties receiving a foreclosure filing in August. That is up 10% from July, but down 9% for the same time last year.

Recent figures, however, demonstrates that default notices are being sent out less frequently. In August, banks sent out 46% less default notices as compared with the amount of default notices that were sent out in August of 2009. However, and as compared with July of this year, August saw an increase of 2% in default notices being sent out.

As reported in the USA Today, it is becoming apparent that the housing supply being accumulated by banks by way of repossessions after foreclosures are filed is being carefully managed on both ends by lenders and servicers. Simply stated, on the front end, delinquent loans are falling into foreclosure at a slower rate. On the back end, the backed-up inventory of properties already in foreclosure are moving to bank ownership at a steady pace. This is most like being done to prevent a further drop in home prices.

Consider Your Options. Contact Us.

For a free consultation with a Miami lawyer familiar with the local real estate market, contact Alvarez & Barbara, LLP, today. We represent clients in Miami, Homestead, Hialeah, Coral Gables, and throughout South Florida.

Light at the End of the Tunnel – South Florida’s Foreclosure Crises May be Improving, but Foreclosures Continue to Mount

It appears that the South Florida real estate market may have entered a new phase. According to news reports, banks are repossessing foreclosed homes at a faster rate, but fewer homes are falling into delinquency.

In August, the rate of bank repossessions increased 96.7 percent compared to the same time last year. Meanwhile, foreclosure filings have dropped 52 percent. This means that additional inventory is still going up for sale, which means there is still downward pressure on prices and home values. Moreover, some areas are actually seeing prices rise for the first time in years. Specifically, the Brickell real estate market is seeing slight increases in values currently.

The Miami lawyers at Alvarez & Barbara, LLP, are on your side. We are experienced trial attorneys who will help you understand your rights and options under Florida and federal foreclosure laws. Contact our law firm today for a free consultation and case evaluation.

This mixture of good and bad news makes it difficult to determine exactly what state the current real estate market is actually in. It could possibly mean that the first stage of the foreclosure crises has reached a peak. Year after year, foreclosure activity across South Florida has declined. Nevertheless, the foreclosure problem is still in the way of any substantial region wide recovery. South Florida is currently experiencing one foreclosure filing for every 111 homes, the fifth highest ratio in the country.

Many experts believe that we are hovering somewhere near the bottom. We only hope that this is true as many don’t expect the overall market to bottom out for another three years.
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Consider Your Options. Contact Us.

For a free consultation with a Miami lawyer familiar with deeds in lieu of foreclosure, contact Alvarez & Barbara, LLP, today. We represent clients in Miami, Homestead, Hialeah, Coral Gables, and throughout South Florida.

Miami Foreclosure News: More People are Falling Behind on their Mortgage Payments as Personal Bankruptcy Filings Increase BASENAME: miami_foreclosure_news_more_pe

The number of people falling behind on their mortgages for the first time is on the rise, according to CNNMoney.com. Additionally, personal bankruptcies are on the rise in Miami Dade County.

Specifically, 3.51% of borrowers were 30 days late in their own payments in the second quarter, up from 3.31% at the end of last year. The shift is a stark reversal from the steady decline in short-term delinquencies during 2009. Moreover, personal bankruptcy filings rose 74%, year over year, to 1,788 cases opened, and 5% over July. Bankruptcy filings are at the highest levels since Congress overhauled the bankruptcy laws in 2005.

These grim statistics serve as a sad reminder of our reeling economy. And the high rate of delinquencies and bankruptcies leave many experts wondering whether a new round of foreclosures is on the horizon.

Alvarez & Barbara, LLP, is a team of experienced and aggressive foreclosure defense attorneys. We use the legal system to help people save their homes — and we can stand up for you.

Many people wait too long before getting legal help. They delay in the hope that they can turn their financial situation around. If you are behind on your mortgage payments or are having trouble making your monthly payments, you need to take action now. The sooner you call us, the quicker we can start working to save your home. Get help today to assert your rights in these difficult times.
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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.

Miami Foreclosure Defense Lawyers Review the Numbers Behind the Foreclosures

Double dip? Some are saying it is a foregone conclusion. Others are saying it won’t happen at all. But this much is certain. The foreclosure crises here in South Florida continues to pick up steam with no end in sight anytime soon.

South Florida has been one of the hardest hit regions in the country with respect to foreclosures. As reported in the South Florida Business Journal, the numbers are rather staggering.

For instance, more than 100,000 properties have been repossessed in the Tri-County area since the real estate market began to collapse in late 2007. That breaks out to an average of 2,300 repossessions a month. Moreover, the 100,000 mark was hit earlier this month, when 317 properties were repossessed in the tri-county area.

To understand these numbers in greater context, lenders have repossessed an average of 75 properties per day since January of 2007. Approximately 40% of all South Florida properties have been repossessed, by the banks, as a result of a foreclosure filing.

And it does not seem to be getting better. Consider a recent USA Today article discussing how 1 in 10 American households with a mortgage was at risk of foreclosure this year. About 9.9% of homeowners had missed at least one mortgage payment as of June 30th.

In a worrisome sign, the number of homeowners starting to experience problems with their mortgage rose after trending downward last year. The number of Americans missing payments and falling into foreclosure has followed the upward trend in unemployment, which has shown no sign of easing anytime soon.
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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.

Florida Real Estate Sales Plummet to Record Lows in July Sparking Concern of a “Double Dip”

Fewer single-family homes were sold in July as compared with July of last year, as reported by the South Florida Business Journal. Specifically, statewide sales of single family homes fell by 14% in July, to 13,589 from 15,762 just a year ago.

According to the USA Today, home sales plunged to record lows as buyer demand eroded after the expiration of a federal homebuyer tax credit. Sales on existing homes tumbled nationally 27.2% in July.

Existing home sales also fell in South Florida, with Fort Lauderdale taking the biggest hit. Fort Lauderdale saw a 21% downturn, with just 720 homes sold in July, compared with 907 sales in July of 2009.

Real estate sales are at the lowest level since the total existing home sales series launched in 1999, and single-family home sales are at the lowest level since May 1995. These numbers are particularly troublesome given that mortgage rates have been at historical lows for some time now.

As we have previously posted, there are many factors that are driving today’s unstable real estate market. But one of the most crucial factors is the continued instability in the job market. Until the economy as a whole improves, our real estate market will remain volatile.

Part of the volatility that is currently being experienced in the real estate market can also be attributed to the expiration of the federal home buyer tax credit. However, the drop in real estate sales – for whatever reason – is still a troublesome sign to our housing recovery.

Another possible explanation for the current volatility in the housing market is that we are beginning to experience a standoff between both buyers and sellers. Many sellers are reluctant to lower their prices. And buyers are hesitating because they think home prices have not bottomed out. This standoff will no doubt fuel further instability in our housing market.
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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.