Foreclosure News

24 Apr The Reverse Mortgage. What You Need To Know!

There is a familiar expression:  "The road to Hell is paved with good intentions!" I'd like to think that the individuals that came up with the concept of the reverse mortgage had good intentions.  The reality I see in my bankruptcy practice is elderly people, who are...

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06 Feb Should You Try to Keep Your Home When You File Bankruptcy?

bankruptcy and my homeThis week an interesting article about Atlanta real estate appeared in a local business blog, and I think that the warning issued by the writer could apply to bankruptcy filers anywhere in the country. Entitled “Easy Money as Landlord of Cheap Homes Proving an Elusive Dream” explains how large investment funds purchased thousands of Atlanta area homes following the 2008 - 2010 real estate crash with the idea of renting them out, securitizing shares in the investment venture, then selling the properties six or seven years hence when prices rebounded. I had a first hand view of this business model because a close friend of mine in the real estate brokerage business worked with one of these investment firms and at times was writing hundreds of offers per week. Politicians and newspapers report that the housing market is improving and prices are headed back up, but no one is looking beyond the raw numbers.
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10 Jul Forcing the Mortgage Holder to Take Back a Home through Chapter 13

Using bankruptcy to surrender a home that has become unaffordable is nearly as common as using bankruptcy to stop a foreclosure so that a home can be retained. The question whether to keep a home when filing bankruptcy is usually answered by comparing the amount...

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03 Jan Why You Should Not Expect Your Bank to Voluntarily Rewrite Your Loan

no mortgage modificationEconomists of every political stripe agree that our recent recession and lackluster recovery arose from a collapse of real estate markets in cities all over the country. Homeowners are either stuck in properties worth less than what is owed on them, while other homeowners have just walked away. The result is a landscape where real estate has lost its liquidity and banks are afraid to rely on real estate to extend needed loans, thereby freeing up the capital markets. A few years ago, a several members of Congress floated the idea of empowering bankruptcy judges to “cram down” mortgages to equal the fair market value of the underlying real estate. Currently bankruptcy judges can, with some restrictions, cram down auto loans and other secured debt to fair market value in Chapter 13. From my perspective as a bankruptcy lawyer, this cram down power does a lot of good. Debtors can now afford to keep their vehicles, and thus their means to and from work. The used vehicle and used furniture market is not depressed with excessive inventory of returned property and more people are able to reorganize rather than liquidate.
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