Posts Tagged ‘Loan Modification’
Friday, April 13th, 2012
RealtyTrac’s numbers from last month show dramatic year-over-year increases in both new foreclosure filings (85%) and repossessions (39%) in Palm Beach, Broward, and Miami-Dade counties, compared to March 2011.
In Florida overall, new foreclosure cases were up 58 percent. Nationally however, new filings dropped 12 percent from last year, however they rose 7 percent from February.
Since the sunshine state has one of the largest foreclosure backlogs in the country, it really shouldn’t surprise you that the numbers skew so heavily against Florida.
The settlement has emboldened banks to become more aggressive in seeking to foreclosure, and the numbers certainly back that up.
Edward DeMarco Not Ready For Principal Reduction
More back and forth this week from Edward DeMarco, who despite announcing that principal reduction could save Fannie Mae and Freddie Mac 1.7 billion dollars, seems unwilling to venture far from his previous stance on loan modifications.
He said in a speech this week that a new analysis does show writing down the value of some underwater mortgages does have the potential to lower foreclosure rate and save both GSEs substantial money, but he’s still downplaying the significance of principal reduction.
While he has eased up on his previous refusals to even entertain the idea of modifications, he still seems fixated on the risk of strategic default, which he feels could wipeout any potential savings.
(more…)
Tags: Bank of America, bank of america sues, banking, dances, demarco, Edward DeMarco, fannie mae, foreclosure, foreclosures, Freddie Mac, Loan Modification, mortgage, principal reduction, real property law, reduction, sue
Posted in Bank Of America, Edward DeMarco, Florida foreclosures, Friday RoundUp | 1 Comment »
Tuesday, February 21st, 2012
If there was anything positive that came out of the prolonged discussions between the states and the banks on the mortgage servicing settlement, it was that banks were reluctant to go full steam ahead in the foreclosure process while talks were ongoing.
But even before the settlement was announced, we saw signs that pointed to more foreclosures in 2012.
According to RealtyTrac, there were 24,783 foreclosure filings in the state of Florida in January, a 14% percent rise from January 2011, the first year-over-year increase in over a year.
Now that the settlement has been agreed to, the training wheels are off.
It’s petal to the metal folks. One thing that the settlement does for the banks is provide them a blueprint for how to proceed in the foreclosure process without getting their fingers stuck in the cookie jar.
Which means borrowers will once again have to defend themselves just as rigorously as they did pre-robosigning.
I’ve been asked if the settlement changes my advice to homeowners, to which I reply, ABSOLUTELY NOT!
You must continue to stand your ground. If you are in foreclosure or about to enter foreclosure, I will say what I have always said, you must fight the banks and force them to kick you out of your home.
The settlement may have changed the rules for the banks, but it shouldn’t change the rules for you, the homeowner. The banks will not transform into wonderful and charitable companies just because the settlement might penalize them.
Make no mistake about it, they will continue to come at you and come at your hard.
(more…)
Tags: banking, economics, foreclosure, foreclosure process, foreclosures, homeowners, Loan Modification, loss mitigation, mortgage, mortgage services, mortgage settlement, mortgages, Oppenheim Law, personal finance, Real Estate, real property law, realty trac, robosigning, Roy Oppenheim, settlement, short sale, stand your ground, subprime mortgage crisis
Posted in Bank Fraud, Foreclosure Defense, Mortgage Settlement, Principal Reduction, Robosigning, Roy Oppenheim, Underwater Mortgage | 1 Comment »
Friday, February 17th, 2012
AGs Weeks From Filing Foreclosure Settlement Documents
Yesterday we expressed concern because we have yet to see the formal documents behind last week’s landmark $25 billion settlement, and it seems few people actually have.
HousingWire reports, through an unnamed source, that federal prosecutors plan to file them in court by the end of the month.
But of course herein lies the problem: We’ve heard how much money each individual state is getting, Florida alone is set to receive about $8.4 billion alone, but until the documents are filed, but until all I’s are dotted and all T’s crossed, those numbers are always subject to change!
While Rich Andreano, a banking lawyer quoted in the article says he doesn’t expect any drastic changes to the numbers, we still need to see them for ourselves!
And will we really see these documents filed this month? How many deadlines associated with the settlement have come and gone without a hint of activity?
Will we see any additional surprises, like additional immunity for the banks? Let’s hope not.
Shaun Donovan, HUD Chief, Hopes Fannie Mae and Freddie Mac Will Write Down Mortgages
The problem with this headline is glaring. Donovan HOPES Fannie and Freddie will write down mortgages. Not he demands, not he insists, he hopes. Well I hope for world peace, doesn’t mean it will happen now does it?
Donovan told the Huffington Post that he thinks the people behind the two GSE’s will finally come on board the principal reduction train once they see the effects from last week’s settlement on the housing market. Donovan called their reluctance to engage in principal reduction, “quasi-religious”, which is the problem in a nutshell.
(more…)
Tags: dual tracking, housing wire, Huffington Post, Loan Modification, robosigning, shaun donovan
Posted in Bank Fraud, Fannie Mae, Florida foreclosures, Freddie Mac, Friday RoundUp, Mortgage Settlement | No Comments »
Tuesday, August 9th, 2011
From Urban Legend to Reality: Ocwen Offers Serious Principal Reduction
Meaningful principal reduction used to be an urban legend compounded by scamsters.
And until recently, Florida homeowners were probably more likely to spot Bigfoot than find a lender willing to forgive a significant portion of their residential first mortgage through a loan modification. But earlier this month, Ocwen Financial Corp. became one of the first private companies to initiate principal reduction without the prodding of a government agency.
Through the program called Shared Appreciation Modification (SAM), Ocwen is writing down qualified loans to 95% of the underlying property’s market value. The amount written down is forgiven in one-third increments over three years as long as the homeowner remains current. When the house is later sold or refinanced, the borrower will be required to share 25% of the appreciated value with the investor.
“Like all modifications, SAMs help homeowners avoid foreclosure. But they also restore equity,” said Ocwen CEO Ronald Faris. “That’s a significant benefit to the customer and, we believe, the economy and housing market. Psychologically, it’s important too. Our analytics tell us that an underwater mortgage is one-and-a-half to two-times more likely to default than one with at least some positive equity.”
Ocwen said 79% of the borrowers have accepted the offer with a re-default rate of 2.6%. Ocwen said it has regulatory clearance to push the program into 33 states. Since the start of the mortgage crisis, Ocwen has saved over 200,000 homes from foreclosure and produced 25 times as many modifications per loan serviced as the servicing industry overall, the company claims.
(more…)
Tags: Loan Modification, Ocwen Financial Corp, principal reduction, Shared Appreciation Modification (SAM
Posted in Florida Law News, Loan Modification, Oppenheim Law | 4 Comments »
Wednesday, June 8th, 2011
Nearly 40% of homeowners who took out a second mortgage are underwater on their loans, but the news surrounding second mortgages isn’t all doom and gloom for Floridians, says Florida foreclosure defense attorney Roy Oppenheim.
Second mortgages refer to any loan taken out on a property that is subordinate to the first mortgage, and include home-equity loans or lines of credit.
According to data from CoreLogic and The New York Times, homeowners with a second mortgage are two times more likely to be underwater on their property. CoreLogic’s data also shows that homeowners with second mortgages are facing deeper levels of negative equity in their homes – $83,000 compared with $52,000 – than borrowers without second mortgages.
The bright side is that Oppenheim Law is seeing massive principal reduction on second mortgages through loan modifications, according to Oppenheim. It’s becoming common for the Florida foreclosure defense law firm to negotiate up to 80% in principal reductions of second mortgages, a far greater percentage than first mortgages.
A vast majority of first mortgages were cut up, bundled and sold to investors as mortgage backed securities, the process that played such an enormous role in the Florida real estate crisis. On the other hand, nearly three-quarters of second mortgages are still held by the banks that made the original loans.
The good news for Florida homeowners is that these banks are beginning to treat second mortgages similarly to consumer credit card debt, accepting minimal “pay offs” to settle up with homeowners.
Homeowners who are willing to negotiate a “short payoff” can have tremendous success reducing their second mortgage principal by 50% to 80% and then paying off the remaining balance in cash. Banks are even starting to solicit Florida homeowners with second mortgages to make initial offers for 40% to 50% reductions, which Oppenheim Law is then able to negotiate to as much as 80%.
(more…)
Tags: CoreLogic, Florida Foreclosure Defense, Florida Foreclosure Defense Attorney, Florida short sale, Loan Modification, Oppenheim Law, Roy Oppenheim, second mortgages, short sale, south florida real estate, The New York Times, underwater homeowners
Posted in Florida foreclosures, Florida Law News, Florida real estate, Florida short sales, Foreclosure Defense, International News, Roy Oppenheim, Short Sales, strategic default, The New York Times | 2 Comments »
Friday, January 21st, 2011
It’s still a buyer’s market. That’s the conclusion of consumers in a new Gallup poll that reveals 67 percent of Americans feel now is a “good time” to buy a house. That hasn’t changed much since April 2009.
So despite harder-to-come-by financing and the possibility of a housing double-dip, it seems historically low interest rates and bargain basement home prices are winning over public opinion. Interest rates may or may not rise, but the bargain basement prices are likely to continue as home foreclosures are reaching record highs.
Foreclosure headlines are telling. South Florida filings dropped 41 percent in 2010 due to the foreclosure freeze. And some are asking if foreclosure lawyers’ misdeeds are being ignored in Florida. Despite the freeze and other legal questions, though, Florida still ranks second in the number of foreclosures in 2010.
And the worst may be yet to come. News reports are citing studies that show real estate short sales are set to increase in 2011 as banks attempt to dispose of defaulting loans without foreclosing. And many may get caught flat-footed in the South Florida foreclosure wave.
As you read all of these headlines, keep in mind that if it’s a buyer’s market, that also means it’s a seller’s market. And with all the foreclosures hitting the market, it’s a good time for a buyer to seek a short sale purchase. Oppenheim Law’s sister company Weston Title & Escrow has been very successful closing short sale deals and guiding clients through the process of both buying and selling short sales.
(more…)
Tags: Florida still ranks second, foreclosure, Foreclosure Defense, Foreclosure freeze, foreclosures, How to stop a foreclosure, Loan Modification, Monthly foreclosure workshop, Oppenheim Law, Roy Oppenheim, Short Sales, South Florida Foreclosure wave, Title Insurance Company, Weston Title
Posted in Florida foreclosures, Florida Law News, Florida real estate, Florida short sales, Foreclosure Defense, Foreclosure Fraud, Loan Modification, Real Estate Closings, Roy Oppenheim, Short Sales, strategic default, Sun Sentinel, Weston Title & Escrow | 3 Comments »
Tuesday, January 18th, 2011
Today, Weston Title and Oppenheim Law completed one of the largest short sales with JP Morgan Chase. The original note was approximately $6 million, but the bank approved a payoff for almost half that amount. The bank agreed to the haircut in exchange for receiving the $3 million in proceeds.
Further, the bank waived the deficiency judgment demonstrating what Roy Oppenheim has been stating for the past several weeks, “The banks are eager to deal and get the economy back on track.”
In fact, rumor has it that the JP Morgan Chase CEO, Jamie Dimon, had to sign-off on this deal.
As Oppenheim said two weeks ago in the Sun Sentinel, “The result will be more short sales, loan modifications and ‘meaningful mediations’ that will help stabilize housing prices that have been falling steadily since 2006.
For more on Foreclosures, catch the replay of last week’s Oppenheim Law monthly Foreclosure Defense workshop on Oppenheim Law TV for the next few days!
Tags: Florida foreclosures, Foreclosure Defense, Foreclosure Defense Workshop, Jamie Dimon JP Morgan Chase, largest short sale with JP Morgan Chase, Loan Modification, Oppenheim Law, Oppenheim Law TV, Roy Oppenheim, Short Sales, Sun Sentinel
Posted in Florida foreclosures, Florida Law News, Florida real estate, Florida short sales, Foreclosure Defense, Foreclosure Workshop, Loan Modification, Roy Oppenheim, Sun Sentinel | 1 Comment »
Foreclosures, repos up from last year in South Florida
