Posts Tagged: ‘Foreclosure Defense Attorney’

Mortgage Delinquency Rates Decline Nationally, But Florida Shows Increase Due to Irma

August 7, 2018 Posted by kingcade

Mortgage delinquency rates have declined on a national level, as reported by the monthly Loan Performance Insights Report published by CoreLogic. However, despite the national decrease, Florida residents have seen an increase, which is attributed mostly to Hurricane Irma and the 2017 hurricane season.

According to CoreLogic’s report, as of April 2018, 4.2 percent of mortgages nationwide are in some stage of delinquency. A delinquency means that the mortgage is 30 days or more past due and includes those mortgages that are already in foreclosure.  This number shows a 0.6 percentage point decrease in the overall delinquency rate as compared in April 2017. At that time, the percentage was at 4.8 percent.

The report also provided information on the foreclosure inventory rate, which measures the share of mortgages that are in some stage of the process of foreclosure. The rate as of April 2018 was at 0.6 percent, which is down 0.1 percentage points from where it was in April 2017. The foreclosure inventory rate has been steady at the rate of 0.6 percent, which is the lowest rate that has been reported since June 2007, when the rate was last reported at 0.6 percent. The April 2018 rate is the lowest that it has been in the past 11 years.

The purpose of measuring delinquency rates during the early stage of the process helps in analyzing the health of the mortgage market. CoreLogic’s report looks at all stages of mortgage delinquency and transition rates, including the percentage of mortgages that are reported as moving from one stage of delinquency to the next step in the process.

Early stage delinquency occurs when a mortgage payment is 30 days to 59 days past due. This early-stage delinquency was reported at being at 2.2 percent in April 2017 and was reported at 1.8 percent in April 2018. The figures in the early-stage delinquency category can be volatile, so it is for this reason that CoreLogic looks at the transition rates, meaning the number of mortgages that transition to the next stage. The transition rates for mortgages reported in the early-stage to later stage went down from 1.2 percent in April 2017 to 0.8 percent in April 2018. To provide some perspective, at the start of the financial crisis the early-stage delinquency transition rate was at 1.2 percent in January 2007 and 2 percent in November 2008.

The percentage of mortgages at the 60 to 89 days past due remained the same during this time. The mortgages that were reported in the serious delinquency stage at more than 90 days past due were down from 2.0 percent in April 2017 to 1.9 percent in April 2018. It should be noted that this is the lowest the serious delinquency rate has been since 2007 when it was reported at 1.6 percent.

However, despite these decreasing numbers, two states were reported as showing significant gains in the serious delinquency stage. These two states, Florida and Texas, were showing serious negative effects from the 2017 hurricane season. Of the two states, Florida has the most densely populated areas and the longest coastal area. This long coast leads to more exposure to storm surge flooding, putting almost 2.7 million homes at risk during hurricane season. After Florida, Louisiana is second to Florida with 817,000 homes in the “at-risk” area. Texas is right behind in third with 543,000 at-risk homes. Of these three states, Florida and Texas are the ones currently still struggling following Hurricanes Irma and Harvey which hit in 2017.  Both states are finding themselves with higher mortgage default rates due to the natural disasters that have hit those states. The percent of mortgages that are in the serious delinquency category with loans that are 90 days past due are doubled than what they were reported in the previous year. In Puerto Rico, another area hit by hurricanes in 2017, the foreclosure rate or 90-day delinquency rate has quadrupled.

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Choosing the right attorney can make the difference between whether or not you can keep your home. A well-qualified Miami foreclosure defense attorney will not only help you keep your home, but they will be able to negotiate a loan that has payments you can afford. Miami foreclosure defense attorney Timothy Kingcade has helped many facing foreclosure alleviate their stress by letting them stay in their homes for at least another year, allowing them to re-organize their lives. If you have any questions on the topic of foreclosure please feel free to contact me at (305) 285-9100. You can also find useful consumer information on the Kingcade Garcia McMaken website at www.miamibankruptcy.com.

The “Mastermind” Behind a Foreclosure Rescue Scam has been Indicted by Feds

June 30, 2017 Posted by kingcade

Michael “Mickey” Henschel, accused of leading a foreclosure-avoidance scam that preyed on struggling borrowers, has been arrested and charged with 11 counts related to the scam that made him $7 million.  According to the indictment, Henschel owned a Van Nuys-based company that operated under several different names (including Valueline), and illegally marketed foreclosure and eviction-delay services to homeowners in default on their mortgages and renters facing eviction.

As part of the scam, Henschel and his co-conspirators allegedly convinced homeowners to sign fake grant deeds that supposedly showed that the homeowners conveyed an interest in their properties to fictional third parties. Henschel then allegedly filed bankruptcies in the names of fake people to activate the automatic stay provision of the Bankruptcy Code that stops a foreclosure sale.

Henshel charged large fees before agreeing to clear the title to the properties, in addition to the monthly fees paid for the illegal services. During the course of the scam, which ran from October 2010 through July 2013, Henschel and his co-conspirators allegedly collected more than $7 million for the illegal services.

Henschel has been charged with one count of conspiracy, eight counts of bankruptcy fraud and two counts of wire fraud.  If convicted, he would serve a statutory maximum sentence of five years in federal prison for each of the conspiracy and bankruptcy fraud counts, while the two wire fraud counts carry a statutory maximum sentence of 20 years.

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Choosing the right attorney can make the difference between whether or not you can keep your home. A well-qualified Miami foreclosure defense attorney will not only help you keep your home, but they will be able to negotiate a loan that has payments you can afford. Miami foreclosure defense attorney Timothy Kingcade has helped many facing foreclosure alleviate their stress by letting them stay in their homes for at least another year, allowing them to re-organize their lives. If you have any questions on the topic of foreclosure please feel free to contact me at (305) 285-9100. You can also find useful consumer information on the Kingcade & Garcia website at www.miamibankruptcy.com.

U.S. Bankruptcy Judge Fines Bank of America $45 Million

April 13, 2017 Posted by kingcade

Judge Christopher Klein of the U.S. Bankruptcy Court in Sacramento issued a $45 million fine against Bank of America Corp., calling the treatment of a California couple who fought to save their home “brazen” and “heartless.” According to Judge Klein, the bank’s mortgage modification process and mistaken foreclosure on Erik and Renee Sundquist’s home left them in a “state of battle-fatigued demoralization.”

“It is apparent that the engine of Bank of America’s problem in this case is one of corporate culture… not rogue employees betraying an upstanding employer,” Judge Klein said. He added that he hopes the fine is large enough that it will not be “laughed off in the boardroom as petty cash or ‘chump change’.” Most of the money from the fine will go to law schools and consumer advocacy organizations.

The Sundquists’ financial troubles started in 2008 after their construction business closed down due to the economic downturn. The couple later bought a cheaper home outside of Sacramento and borrowed approximately $590,000 from a lender that was later taken over by Bank of America. After which, the bank promised them that they could request lower monthly payments. However, in 2009 when the couple stopped making payments, Bank of America officials said they would not consider a loan modification. Over the next few years, the couple requested loan modifications approximately 20 times. Each time their requests were “routinely either lost or declared insufficient, or incomplete or stale or in need of resubmission or denied without comprehensible explanation,” the ruling said.

In 2010 the couple filed for bankruptcy which halts foreclosure sales. However, the bank still improperly took over the home and gave them a three-day eviction notice. A few weeks after the couple moved out, Ms. Sundquist was hospitalized with stress-related heart attack symptoms.

Bank of America later reversed the sale but never formally notified the couple of the change. According to the ruling, they moved back in several months later.

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Choosing the right attorney can make the difference between whether or not you can keep your home. A well-qualified Miami foreclosure defense attorney will not only help you keep your home, but they will be able to negotiate a loan that has payments you can afford. Miami foreclosure defense attorney Timothy Kingcade has helped many facing foreclosure alleviate their stress by letting them stay in their homes for at least another year, allowing them to re-organize their lives. If you have any questions on the topic of foreclosure please feel free to contact me at (305) 285-9100. You can also find useful consumer information on the Kingcade & Garcia website at www.miamibankruptcy.com.

Trump’s Treasury Secretary Pick Steven Mnuchin’s Bank Foreclosed on Elderly Woman who owed 27 cents

December 2, 2016 Posted by kingcade

Reports this week reveal that Donald Trump’s Treasury secretary nominee, Steven Mnuchin’s bank foreclosed on a 90-year-old Florida woman who owed just 27 cents.  The practices of OneWest Bank have come under scrutiny since the President-elect announced the onetime Goldman Sachs banker as his pick on Wednesday.  More than 36,000 foreclosures followed Mnuchin and partners’ purchase of failed bank IndyMac in 2009.

An 86-year-old California man has also come forward and claimed OneWest refused to modify the home equity loan on the longtime home he shared with his wife, even though they qualified three times for a government-backed modification.  The bank sold the couple’s home of 50 years in 2011.

Numerous other outcries similar to these drew more than 100 sign-waving and chanting protestors to Mnuchin’s $26 million mansion in Bel Air.

A Florida woman found herself facing a foreclosure by OneWest in 2014 after confusion about payments on her reverse mortgage, according to court papers.  She sent a check for $423 in response to a bill for $423.30, the documents showed.

The OneWest subsidiary responded by billing the Lakeland resident for $0.30, but she mistakenly sent a check back for only $0.03.  The foreclosure in Polk County Circuit Court is now being challenged by a nonprofit firm.

Click here to read more on this story.

Choosing the right attorney can make the difference between whether or not you can keep your home. A well-qualified Miami foreclosure defense attorney will not only help you keep your home, but they will be able to negotiate a loan that has payments you can afford. Miami foreclosure defense attorney Timothy Kingcade has helped many facing foreclosure alleviate their stress by letting them stay in their homes for at least another year, allowing them to re-organize their lives. If you have any questions on the topic of foreclosure please feel free to contact me at (305) 285-9100. You can also find useful consumer information on the Kingcade & Garcia website at www.miamibankruptcy.com.

FHA’s New Guidelines Help Struggling Homeowners Remain in their Homes

August 31, 2016 Posted by kingcade

New procedures put in place by the Federal Housing Administration (FHA) will help strengthen the process mortgage services currently use and help struggling families stay in their homes and avoid foreclosure.

The updated procedures will streamline the process servicers use to engage borrowers, specifically when evaluating them for the FHA-Home Affordable Modification Program (FHA-HAMP) These changes will reduce the number of steps that a servicer and borrower must take to resolve a delinquency and enter into a loss mitigation home retention product.  In addition, FHA is removing certain obstacles that will allow servicers greater flexibility for evaluating an unemployed borrower for a special forbearance agreement.

Here is what homeowners need to know about the new provisions. Specifically, the FHA will:

  • Require servicers to convert successful 3-month trial modifications into permanent modifications within 60 days instead of the average four-to-six months;
  • Allow borrowers with three missed mortgage payments to qualify for a partial claim to bring their payments current versus the previous requirement for a minimum of four missed payments;
  • End the traditional stand-alone Loan Modification option so struggling borrowers can access the FHA-HAMP option, to receive payment relief quicker;
  • Eliminate the required 12-month term for FHA’s special forbearance option.  This will allow servicers to offer this option to more unemployed households.

Choosing the right attorney can make the difference between whether or not you can keep your home. A well-qualified Miami foreclosure defense attorney will not only help you keep your home, but they will be able to negotiate a loan that has payments you can afford. Miami foreclosure defense attorney Timothy Kingcade has helped many facing foreclosure alleviate their stress by letting them stay in their homes for at least another year, allowing them to re-organize their lives. If you have any questions on the topic of foreclosure please feel free to contact me at (305) 285-9100. You can also find useful consumer information on the Kingcade & Garcia website at www.miamibankruptcy.com.

Related Resources:

www.fhfa.gov

https://rismedia.com/2016/08/28/fha-streamlines-process-to-help-delinquent-homeowners-stay-in-homes/