Articles Posted in Lien Stripping

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avoid foreclosure sign.jpgIn many cases the answer to this question is yes. Often times homeowners find themselves “underwater” in the home and are afraid that if they surrender their home in satisfaction of their first mortgage their second mortgage lender will pursue a deficiency against them or they will file a form 1099(c) creating tax liabilities for the amount of the second mortgage.

One of the most effective ways a Jacksonville Foreclosure Lawyer has found to prevent that from happening is for a homeowner to file a chapter 13 bankruptcy surrendering the house in full satisfaction of the first and second mortgage before the house if foreclosed on. By doing this, the homeowner prevents the holder of a second mortgage company from filing a deficiency claims because the house has not yet been sold and the funds dispersed. This method is especially effective for those homeowners who have little other debt and are looking to protect assets.

If you are facing a Florida Foreclosure Lawsuit and are considering your foreclosure alternatives, contact a Jacksonville Bankruptcy Lawyer today for a review of your case and explore what alternatives may be available to you.

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WashingtonDC.jpgLast week, Washington, D.C. Mayor Adrian M. Fenty signed into law an emergency act aimed at slowing the dramatic rate at which homes in the District of Columbia are being foreclosed upon. The Act, titled “Saving DC Homes From Foreclosure Emergency Act of 2010” puts into place several key processes that lenders and homeowners must complete before a foreclosing on a home and proceeding to a foreclosure sale.

One such process the Act creates is a mandatory foreclosure mediation program, much like the one created in Florida, whereby lenders and homeowners must meet before the lender can proceed with the foreclosure action. Delinquent borrowers have 30 days from the initial notification to opt into the mediation program and pay the $50 fee. If a borrower elects to not participate in the program the foreclosure and accompanying foreclosure sale can proceed but it a completed foreclosure or a foreclosure sale is completed before the entire process is complete it will be considered null and void.

With this new law Washington, DC joins an ever-growing group of states that are requiring processes where lenders and willing homeowners to explore foreclosure alternatives before a house can be foreclosed on and sold. If you are facing a Florida Foreclosure Lawsuit and wanted to find out what foreclosure alternative options may be available to save your home, contact a Jacksonville Bankruptcy and Foreclosure Defense Lawyer today.

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