Are you behind in your mortgage payments? Do you anticipate getting behind in your mortgage payments soon? Our firm represents homeowners at any stage of mortgage default, from those clients who are not yet behind with monthly mortgage payments to those who have not made a mortgage payment in years.
If you have already been served a foreclosure lawsuit, time is of the essence. Foreclosure lawsuits require a response within a certain period of time, usually 20 or 30 days. If that time period elapses without response, the homeowner is at risk of losing (or waiving) very important rights. That’s why it is absolutely critical that an attorney be retained to assist the homeowner either before a lawsuit has been filed, or as soon as possible thereafter.
Our team of professions works closely with each client to make sure we have tailored our defense exactly to the needs and interests of the client. If a client would like to save their home but are facing foreclosure, our office will work directly with their mortgage lender in an effort to negotiate a mortgage modification / loan workout, while simultaneously defending the foreclosure lawsuit so as to prevent or delay loss of the home. If the homeowner simply needs additional time in the home, our office can work with the homeowner in an effort to achieve this result.
Ignoring a Foreclosure
Ignoring a foreclosure lawsuit can have devastating consequences. Although many people operate under the idea that the foreclosing lender cannot take anything other than the house from the defaulted borrower, this is absolutely NOT the case and those individuals who walk away or ignore a foreclosure can be in for a rude awakening.
If you ignore a foreclosure lawsuit, eventually the court will auction your house to the highest bidder, which will, in almost all cases, be the lender who holds the mortgage on the property. Once the lender has title to the property, they will take immediate steps to sell the property, as banks are not in the business of holding onto real estate. This is where the problems arise. When the lender sells the property to another individual, usually it is for less money than the original borrower owed the bank in the first place. The foreclosed party, or original owner, will be personally responsible for the difference between what was owed to the lender and the amount the lender received when the property was re-sold to the new buyer. As such, two consequences may arise:
1. Default Judgment – As mentioned above, the foreclosed party, or original owner, will be personally responsible for the difference between what was owed to the lender and the amount the lender received when the property was re-sold to the new buyer. If the lender obtains a judgment against the foreclosed party, they can then proceed with the following:
* Garnishment of wages
* Pursuit of any available assets
* Levy bank accounts
2. Severe Tax Consequences – Once the lender has received less than originally owed on the mortgage, the IRS will be notified and the foreclosed party may be responsible for substantial tax consequences.
As a result of the serious consequences associated with ignoring a foreclosure, it is never advisable to simply walk away. An attorney from our law firm can meet with you to discuss how to protect yourself in the event you find yourself facing foreclosure, even when you have no interest in saving the property.
‘Sale Date’ Scenario:
Sometimes homeowners do not have the necessary time required to negotiate a mortgage loan modification / workout. Often times a foreclosure has progressed to the point whereby a ‘sale date,’ has already been set for the property. The Sale Date is the day the court will auction your property to the highest bidder! Even at this critical stage of the foreclosure process, our firm can file emergency documents with the court in an effort to stay (or stop) the foreclosure process, potentially giving you time to negotiate a mortgage modification in order to save your home or take some other course of action that best suits your needs.
The Law Office of Jordan Schwartz, P.A. has extensive knowledge & experience in the various stages of foreclosure defense, representing homeowners in foreclosure actions brought by mortgage lenders with regard to both residential & commercial loans. Although this type of legal representation is usually costly to the homeowner, our firm understands the financial circumstances facing our clients and, as such, we offer a range of reasonable and creative financing options, which allow clients to pay reduced fees over a period of time most suitable for each respective client’s budget. We will make every effort to insure our clients have available legal representation at a fraction of the cost most firms charge.
Don’t allow your mortgage lender to take away your home without fighting for your rights. Our firm can help you fight for your home using the latest and most sophisticated legal techniques, while saving you money on legal fees!