As 2012 came to a close, there were significant changes to the foreclosure landscape in Miami. If you owe more than your home is worth and are not paying your mortgage, there is hope for 2013.
The biggest event in foreclosures this past year was the $50 Billion settlement between the Banks and the State Attorneys General. All but $5 Billion is to be paid in the form of principal balance reductions. Many Banks already sent out their form letters forgiving second mortgages entirely. We expect more this year.
“Since I started fighting foreclosures in 2008, most Banks routinely rejected the idea of principal balance reductions,” said Bruce Jacobs, a former bank lawyer who now represents homeowners in foreclosure. “They insisted the homeowner move out and do a short sale. It’s about time someone started helping Main Street.”
The second biggest event of 2012 is the Miami-Dade County Courthouse Foreclosure Project. We are seeing Judges set large numbers of cases for trial. Trials are seen as the fastest way to clear the huge backlog of foreclosures clogging the Courthouse.
“The Courthouse is not equipped to try all these cases,” said Jacobs. “The best way to clear the backlog is for Courts to hold Banks to the rules of procedure and evidence. In criminal court, everyone seems presumed guilty. In Foreclosure court, its presumed no one paid. The Banks still need to prove the right to foreclose. The harder it gets for them, the more likely to see Banks getting much more reasonable about settlement.”
Jacobs is the host of “Mortgage Wars” a Miami Foreclosure Strategies radio show on 880AM the Biz everyWednesday from 5-6 pm. The show talks about real solutions for underwater mortgages and addresses what is happening on the front lines in Foreclosure Court.
Jacobs is also part of a national network of dedicated lawyers fighting back against Banks. Jacobs trained at seminars in Las Vegas, Charlotte, Orlando, New York City and online to share resources and develop cutting edge foreclosure defense strategies. Many of the attorneys are former bank lawyers who, like Jacobs, believe strongly in the fight for meaningful help for their clients.
“Going to trial can be a significant event in foreclosure cases. Many Banks are still missing the critical documents needed to show the right to foreclose on underwater mortgages,” notes Jacobs, “We see many cases being dismissed at trial because the Bank couldn’t present competent witnesses or all the evidence required to prove the right to foreclose.
“There are reasons Banks prepared a million “robo signed” fraudulent documents for foreclosures all over the country. Many have serious paperwork problems which makes proving the right to foreclose in a courtroom difficult,” said Jacobs, who is also a foreclosure defense client. “I had five mortgages on two properties underwater by almost $500,000.00. I stopped paying and fought. Now I have one mortgage on one property. I’m getting ready for trial and I believe the Bank has serious problems with their paperwork.”
“The goal for most of my clients is either a meaningful loan modification with a principal balance reduction, forgiveness of the debt, or to fight to remove the mortgage from the property.” Hopefully, we will see a lot more principal balance reductions in 2013.
For a FREE consultation with Bruce Jacobs & Associates,
please call (305) 444-2242 or watch his free webinar:
“Strategies for an Underwater Mortgage” at
www.negotiatefromstrength.com. Don’t forget to tune into
Mortgage Wars on 880 AM The Biz on Wed. from 5-6 p.m.
It’s not a strategic default if you stop paying your
mortgage, unless you have a strategy