Florida Foreclosure Attorney Blog | Daytona Beach Real Estate Lawyer

Florida reclaims top spot in nation's foreclosure rates

On behalf of The Law Office of Jeffrey A. Klein posted in Foreclosure on Wednesday, June 19, 2013.

While headlines throughout the nation are touting improved housing markets, many areas in Florida are still battling high foreclosure rates. In fact, a recent report from RealtyTrac indicated that the state reclaimed the position as having the highest foreclosure rate in the country in May after being surpassed by Nevada the month before.

RealtyTrac reported that one out of every 302 properties in Florida was in some stage of foreclosure during the month of May. The South Florida region had the highest foreclosure rate among the state's metro areas, with one in 209 homes in some stage of repossession.

Wells Fargo, Bank of America reprimanded by Florida AG

On behalf of The Law Office of Jeffrey A. Klein posted in Foreclosure on Wednesday, June 12, 2013.

Earlier last year, the federal government, 49 state attorneys general and the nation's five largest mortgage lenders reached a $25 billion settlement over allegations that the mortgage industry was ripe with foreclosure fraud. As part of the National Mortgage Settlement, Wells Fargo, Bank of American and three other lending giants agreed to make it easier for mortgage customers to reach loan modifications and avoid foreclosure after it became apparent that homeowners were not being treated fairly.

Just over a year after the settlement, both Wells Fargo and Bank of America are being blasted by Florida Attorney General Pam Bondi for not keeping up with their end of the bargain. Last week, Bondi chastised Bank of America for numerous customer complaints and for failing to work with the attorney general's staff on the issues. Wells Fargo was slammed this week for also failing to properly communicate with customers who were trying to get loan modifications and ignoring Bondi's staff when they tried to intervene.

Florida homeowners to receive mortgage settlement checks

On behalf of The Law Office of Jeffrey A. Klein posted in Foreclosure on Wednesday, June 5, 2013.

Following last year's National Mortgage Settlement between state attorneys general and the nation's five largest banks, homeowners who had their homes repossessed between 2008 and 2011 were told that they were going to receive cash compensation. On Tuesday, it was announced that more than 72,000 will receive reparation checks this month worth $1,480.

Qualifying homeowners were notified last year about the foreclosure compensation offer, and at one point it was believed each of the borrowers would receive just $840 in compensation because of the high number of homeowners who qualified. However, fewer homeowners than expected applied for the compensation, raising it up to $1,480 a piece.

Florida man faces foreclosure after making loan payments early

On behalf of The Law Office of Jeffrey A. Klein posted in Foreclosure on Thursday, May 30, 2013.

A Florida man says his mortgage lender began foreclosing on the home he shares with his wife and three children after he received a loan modification even though he was making payments on time and early. The man is an immigrant from Haiti who says he has worked his whole life to be able to afford a home in Orlando for his family.

Reportedly, the man received an offer from Wells Fargo last year for a loan modification and he was told that if he made four payments during a trial period the modification would become permanent. Not only did the man make the payments on time, he made them early and for more than what was owed.

Foreclosure activity ramps up in Florida while slowing elsewhere

On behalf of The Law Office of Jeffrey A. Klein posted in Foreclosure on Thursday, May 23, 2013.

Foreclosure activity in the United States reached a six-year low in April, according to the real estate data firm RealtyTrac. The firm announced that in April, foreclosure activity hit the lowest level it has been in the country for 74 months; however, come states are now seeing an uptick and foreclosure activity so the lull might not last.

During the month of April, RealtyTrac reported that one out of every 905 homes in the United States received a foreclosure filing, which was the lowest ratio since the beginning of the foreclosure crisis in February 2007. The ratio is also down 23 percent from April 2012, RealtyTrac reported.

Fast-track foreclosure bill still facing opposition

On behalf of The Law Office of Jeffrey A. Klein posted in Foreclosure on Thursday, May 16, 2013.

Even though the bill to fast-track the foreclosure process in the state of Florida jumped two major hurdles by clearing the House and the Senate, opponents are not willing to give up their fight just yet. Calls and emails against HB 87 are reportedly pouring into the governor’s office, and rumor has it that a veto could happen.

However, there is also support being voiced for the bill as well. By Tuesday of this week, close to 400 people had contacted the governor's office in support of the bill, while 226 had said they opposed the bill. By the same time, a petition on moveon.org in favor of a veto had gathered more than 1,000 signatures.

Florida state Legislature passes foreclosure speed-up bill

On behalf of The Law Office of Jeffrey A. Klein posted in Foreclosure on Thursday, May 9, 2013.

On Friday, the Florida state Legislature passed a controversial bill aimed at speeding up the state's foreclosure process. The bill had stalled in previous legislative sessions after concerns were voiced over foreclosure fraud and throwing people out of their homes during difficult economic times. However, those pushing for the bill argued that the state's real estate market is in a vulnerable place and the high number of foreclosure cases could be very detrimental to its recovery.

Ultimately, the fast-tracked foreclosure bill was approved by the House earlier last week and was passed by the Senate on Friday by a 26-13 vote. State lawmakers as well as residents voiced frustration over the number of foreclosures the state is facing -- 352,890 at last count -- as well as the average processing time it currently takes for a foreclosure case to make it through the court system.

Is it possible to get another mortgage after a short sale?

On behalf of The Law Office of Jeffrey A. Klein posted in Foreclosure on Wednesday, May 1, 2013.

In most cases, the answer to this question is yes. Contrary to what many people think, it is possible to apply for another mortgage in as little as two years after a short sale, which is one of the reasons short sales are considered a better alternative to foreclosure in many situations. Following a foreclosure, borrowers have to wait a full seven years before qualifying for another mortgage.

Of course, the waiting period after a short sale depends on what type of loan the borrower wants to qualify for and how large the down payment is going to be. For a conventional home loan, there is a two-year wait period after a short sale for borrowers who put down 20 percent. The wait time increases to four years with a 10 percent down payment and seven years with a down payment of less than 10 percent.

The appeal of Deeds in Lieu of Foreclosure

On behalf of The Law Office of Jeffrey A. Klein posted in Foreclosures on Wednesday, April 24, 2013.

Recently, Forbes featured an interesting article on Deeds in Lieu of Foreclosure, one of the several alternatives to foreclosure that are now available to struggling homeowners. Essentially, a Deed in Lieu of Foreclosure permits the homeowner to walk away from an underwater mortgage by allowing the lender to take possession of the property without going through the foreclosure process.

The upside of a Deed in Lieu of Foreclosure is that the homeowner avoids adding a credit-ruining foreclosure on their record, but the downside is that the homeowner loses the property. While short sales are still the most common way of taking a property off the hands of a distressed borrower, Deeds in Lieu of Foreclosure are becoming increasingly common, Forbes reported.

Florida Bar files formal complaint against David Stern

On behalf of The Law Office of Jeffrey A. Klein posted in Foreclosures on Friday, April 19, 2013.

It appears that foreclosure tyrant David Stern, the man behind the infamous foreclosure mill law firm, The Law Offices of David J. Stern, P.A., could soon be facing his fate. This week, the Florida Bar filed an official complaint against the Broward County attorney with the state supreme court.

The complaint asserts that Stern's law firm was responsible for robo-signing hundreds of thousands of foreclosure lawsuits in the state of Florida, which contributed to the housing market collapse. More specifically, Stern is accused of failing to manage his employees, who missed countless foreclosure hearings and filed error-ridden documents with the courts.

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