Foreclosure Defense

Foreclosure Defense: Part of our practices is defending clients against foreclosure actions.  There are cases where defenses to the foreclosure may be available.  These defenses include, Standing, Truth in Lending, Fraud, Rescission. Unfortunately, the reality is that for most people, chances of ultimately succeeding in defending a foreclosure is low. However, the practical result of the effort may be to delay the foreclosure a number of months. In some cases there may be legitimate defenses that may be supported by facts or information found after diligent discovery is conducted and these defenses may add additional bargaining power to negotiate a settlement such as a lower interest rate, extended loan term, principle reduction, or if a client does not wish to retain the house, a deed in lieu of foreclosure with a full release from liability for the promissory note.  If settlement is not possible then a summary judgment in favor of the borrower may be appropriate.  If there is a dispute as to the facts, the case may have to be litigated.

Warning Concerning Mortgage Modification Scams:

We cannot, nor can anyone else, guarantee that Note Holder or Servicer will agree to modify your mortgage.
Currently there are no laws which require a Note Holder or Servicer to modify your mortgage, reduce interest rates, or reduce principle.  Most mortgage modification offers that are made by Services involve the reduction of interest rate or spreading out the length of the loan to reduce the payment amount. If you have arrears, the Note Holders typically seek to add them to the loan principle. Servicers or Note Holders rarely agree to reduce the loan principle.

There are many companies and individuals who will contact you and offer to help you modify your mortgage for a fee. Scam artists often target homeowners who are struggling to meet their mortgage commitment or anxious to sell their homes.  Many of these companies are fraudulent and are just trying to further take advantage of a bad situation. They may represent that they have some special knowledge or connection to allow you to modify your mortgage when they don’t. We do not recommend that you pay a fee to a non-attorney to modify your mortgage. There are many non-profit agencies that offer free counseling, intervention and legal referral.

If you choose to retain an attorney, Curtis R. Morrison Attorney at Law PLLC is a New York Law firm committed to helping you to save your home or to choose the most beneficial alternative to foreclosure. We are not mortgage brokers, Telemarketers, or pretend credit counselors. We are a full service law firm licensed to practice in the State of New York. Individual attention is paid to your mortgage modification or solution. We do not charge any fee until we have evaluated your individual circumstance to determine the likelihood of a successful modification or alternative. We will help you consider all the financial costs of retaining the home under the terms of the modification offer and weigh the offer carefully against the ramifications of filing bankruptcy, or seeking approval for a short sale or a Deed in Lieu of foreclosure. If we determine that you have a reasonable likelihood of a successful mortgage modification or foreclosure alternative that if financially feasible we charge an affordable fee for quality service.

Homeowner Rights Facing Foreclosure There is good cause to call Lenders predators, even more so given the current economic climate.They can and will go after your money, even when they know you don’t have it. However, even in the foreclosure process, you retain many of your legal rights. Lenders and their lawyers are well aware of these rights, but their goal is to get what they can out of you, before you assert them. Here are some of your basic rights:

  • Right to cure payment problems: All home mortgage Lenders must afford you to right  to resolve defaults before the foreclosure starts, while the process is under way, until the property is legally sold. 
  • Right to be informed: All borrowers must be kept up to date on the foreclosure process as it happens, even if you don’t take part in them. Home Mortgage Lenders may not carry on without you, you are officially one of the parties concerned.
  • Right to a Loan Modification, if you qualify: All Homeowners that meet the guidelines are given the right to modify the existing terms of the loan. However, not all homeowners know how to meet those guidelines and achieve the results they deserve. Leave it up to our legal staff to negotiate aggressively on your behalf to get help you keep your home, or if necessary, help you decide amongst the foreclosure alternatives.
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