Nobody ever wishes for their home or property to go into foreclosure, but it occurs more often than one would think. In fact, the Federal Deposit Insurance Corporation (FDIC) says that one in every 200 homes will go through foreclosure at some point, which translates to 250,000 households every three months. While owning our own home or property is a dream come true for many of us, it can be challenging to stay afloat – especially in these challenging times.
One way to combat losing your home is to hire the help of a foreclosure defense attorney. Here the Law firm of Gary I. Handin, P.A. discusses what you need to know about understanding foreclosure defense.
Foreclosure is the legal process of the owner of the home or property to their lender due to defaulting on the mortgage. Defaulting on a loan can happen for many reasons, such as divorce, unemployment, sickness, or other unexpected debts. Rising interest rates and owing more than the house is actually worth are also common problems. Though legally a complicated process, the steps of foreclosure are simple to follow.
- The owner defaults on their loan.
- The lender supplies a Notice of Default.
- The lender files a foreclosure proceeding in the Court.
- The Court auctions the property at a public auction.
- If it doesn’t sell, the property belongs to the lender.
Understanding Foreclosure Defense
Hiring a qualified foreclosure attorney allows you to better raise several types of defenses because of their vast knowledge and legal experience. Some defenses they can raise include:
Lender Didn’t Follow State Practices
Foreclosure protocol differs on a state by state basis. In Florida, which is a judicial state, the lender will file a lawsuit with the court. If the owner does not pay, the lender sells the property in a public sale. If your lawyer can prove that the lender did not follow the proper steps, they will be required to restart the foreclosure process.
Lender Cannot Prove Their Standing
Only the party that can file for foreclosure is the lender or someone the lender designates to manage the case. Considering this, if the lender is unable to prove that they legally possess the loan, they are unable to follow through with the foreclosure because they lack standing. Inability to determine their standing often occurs when the mortgage is sold to a different lender.
Other Lender Mistakes
As with any service, lenders can make mistakes. A few of the many other defenses to be aware of include:
- A letter stating that there was a breach of mortgage stipulations was never received.
- Payments for a loan modification plan are already being made.
- The lender overlooks the statute of limitations between the last payment and filing for foreclosure.
- Trying to make the owner pay more than they owe or an overstatement on mortgage reinstatement charges.
Why Hire A Foreclosure Defense Attorney?
No matter the reason you believe you have a claim to foreclosure defense, it must be brought in front of a judge, and because Florida is a judicial state, this also means it requires a civil lawsuit. This complicated process makes it necessary to hire a foreclosure defense attorney. Reasons to hire an expert include:
- Foreclosure attorneys have years of specialized training that teach them the skills to oversee foreclosure defense and real estate issues specifically.
- Laws are subject to change, and while the typical person doesn’t keep up-to-date, talented foreclosure attorneys will know if and when they change.
- There is no simple foreclosure defense case. An attorney will not only decipher complex legalize, but will also inform the owner of their options.
Foreclosure can be a scary situation, but being aware of the various defense options you may have is crucial. If you need help navigating your foreclosure defense, call the Law Offices of Gary I. Handin, P.A. today at 1-877-815-4560!