Miami Foreclosure Lawyer Blog

A recent report by the news agency Reuters found that banks are still using the controversial "robo-signing" process, despite investigations in 50 states and pressure from the government to fix its ways.

Miami Foreclosure Lawyers continue to keep you informed about the shady practices of banks and other mortgage lenders. In the last few years, as the real estate market has collapsed, defense lawyers have discovered and brought into the public eye the unlawful actions of banks and those they hire. While this is no doubt a disturbing trend, it can be advantageous to homeowners seeking to fight a foreclosure in Miami.

Robo-signing is the practice of outside companies signing documents that have never been looked at or checked for authenticity by the officials who should be doing so. Usually, it is done by mortgage service companies hired by banks to process documents that are used in official foreclosure proceedings in court. While the documents should be accurate, many times they are not and haven't been looked at. They are then filed in foreclosure cases against homeowners who could possibly lose their houses, thus violating their rights.

Last fall, foreclosure proceedings from all major lenders halted amid allegations that this was a rampant and systematic problem and attorneys general from all 50 states began investigations into robo-signing and other questionable practices. The purpose of stopping foreclosures was for banks to clean up their collective act and provide accurate paperwork if they are seeking to take away a person's home.

The Reuters story focuses on an 87-year-old woman in Immokalee, in Southwest Florida. According to the story, the bank attempting to foreclose her home signed and filed a mortgage assignment, a document essential to proving who owns a mortgage once the original lender sells it, months after the foreclosure was filed.

The news agency documents that large banks and "loan servicers" are still filing thousands of false or fraudulent documents in foreclosure cases statewide and nationwide.

Some people might question why these documents are needed since people facing foreclosure have stopped making monthly mortgage payments. But even a representative for the banks acknowledges that people must have their rights protected during the foreclosure process.

The article also points out problems with securitizaitons -- bundled mortgages that are sold and resold to investors. Some of the problems include inaccurate or incomplete signatures that would be needed to legally transfer the securitizations from party to party. When one of the mortgages included in the bundle go into foreclosure, the paperwork must be accurate to prove who owns the property at the time of foreclosure.

Luckily, through the work of mortgage foreclosure defense lawyers in Miami and throughout the nation, judges are more closely looking at these cases and holding banks accountable for their mistakes and missteps. And that's good news for homeowners who expect that their rights be upheld in any type of court proceeding, including a foreclosure. If you need help fighting back, call today.

Continue reading "Banks Still Using Robo-Signed Documents in Miami Foreclosures, Report Shows" »

A recent article written by Brian Montgomery, the former Commissioner and Vice Chairman of the Federal Housing Administration, comments on the rising concern of the federal agency regarding the number and severity of sanctions being imposed on lenders.

While courts across the United States are scrutinizing banks for their shoddy paperwork and less-than-honest documents filed in foreclosure cases, the federal government is stepping in and blowing the whistle itself. As Miami Foreclosure Lawyer Blog recently reported, the Office of the Comptroller of the Currency recently issued a memo to banks to require self-assessments.

It's about time the government started getting serious about its criticism and watchdog approach of banks and lenders. We don't know if this "self-assessment" mandate can be categorized as "getting serious" or not, but any enforcement is a welcome change over the vacuum banks have been permitted to operate in with impunity for too long.Miami Foreclosure Lawyers have been fighting banks for years as watchdogs for homeowners who want to save their home from foreclosure in Miami. At times, it has seemed like the banks had 100 percent credibility from judges, but through the work of foreclosure defense lawyers, the truth is being exposed. And this is great news for homeowners who want to fight back to save their home from foreclosure.

In Montgomery's article, he states that it appears HUD, the U.S. Department of Housing and Urban Development, is using more enforcement tools than in years past. He writes that HUD's Office of Inspector General for Audit appears to be increasing its activity in this area of enforcement. He believes part of the reason is in response to public outcry over the financial market meltdown and the perception that banks fueled the fire.

While the agency's standards haven't changed, the heightened level of enforcement is warranted. There are new lenders under FHA and a rise in the number of loans on the books. In 2005, there were 4 million homes in the agency's housing portfolio, which is up to 7 million today.

The continued scrutiny of the lending industry is nothing but good news for homeowners who feel overwhelmed by the prospect of going up against a national bank that is trying to foreclose on their house or business. It helps and is absolutely essential to have an experienced Miami Foreclosure Defense Lawyer in your corner to fight for your rights. And our experience has led to our firm being trusted to teach other Florida foreclosure lawyers how to defend these cases.

Poking holes in the banks' paperwork in a homeowners' situation, showing that they've used "robo-signed" documents or documents that are fraudulent and inaccurate can be advantageous. But even the large amount of negative publicity can help in a foreclosure case. Judges are taking notice and look at banks in a much more leery way than they did in the past. Without banks getting the benefit of the doubt, the homeowner can negotiate from a position of strength.

Don't try to handle this alone. Banks can be ruthless and you should have an aggressive lawyer on your side, protecting your best interests. The banks can be beaten, but not without diligent representation.

Continue reading "Federal Housing Administration Concerned About Number and Severity of Enforcement on Miami Lenders" »

Miami Foreclosure Defense Attorney Bruce Jacobs will be leading a discussion at an upcoming seminar on how to properly defend a foreclosure action in Miami and throughout South Florida.

LawReview CLE, a nationally recognized program that hosts seminars across the country, will be hosting a seminar July 28 at the Hyatt Hotel in Coral Gables. It is designed for lawyers and other law professionals and focuses on the foreclosure crisis, including the predicted second wave of foreclosure filings that experts believe will begin in the next several months.

Mr. Jacobs will also teach attorneys how to help their clients avoid foreclosure, defend foreclosure and seek alternatives to foreclosure. Mr. Jacobs is a member of Max Gardner's Army, a nationwide group of lawyers who share tactics and information about foreclosures in real time. He has used his experience and training to defend homeowners and now will be using his experience and training to supply knowledge to other lawyers, who will go forth and stand with homeowners against the banks that have wrought so much havoc in Florida and elsewhere.

Mr. Jacobs has practiced law in Florida since 1997 and has been lead counsel in more than 50 trials throughout South Florida; he has handled many appeals. Starting his career as a prosecutor for the Miami-Dade County State Attorney's Office, Mr. Jacobs has spent many years now dedicated to foreclosure defense, tax deed actions, landlord-tenant disputes and fraud cases. Before opening his own law firm, he headed up the foreclosure department of Camner, Lipsitz and Poller, P.A. in Coral Gables. He is an experienced foreclosure attorney who handles many Miami foreclosure cases.

Among the topics that are expected to be discussed at the seminar:

•Latest statistics on the foreclosure debacle and the emerging profile of a foreclosure candidate.

•Why lenders are resistant to loan modifications and why politicians just don't get it.

•Mortgage Securitization issues that affect a lender's standing to pursue foreclosure.

•Current developments on federal programs and agreements with lenders to assist homeowners keep their home and avoid foreclosure.

•Cutting-edge litigation strategies to properly defend a foreclosure action from start to finish.

•Overview of Federal lending laws and emerging foreclosure case law.

•Alternatives to foreclosure.

•An overview of the interrelationship between bankruptcy and foreclosure.

•Ethical considerations and effective communication with your client.

Mr. Jacobs will also talk with lawyers about the present state of the foreclosure crisis, mortgage securitization issues, understanding basic substantive law, client relations, judicial foreclosures, loan modifications, bankruptcy issues and ethics.

CLE stands for continuing legal education and the Florida Bar requires attorneys to continually gain education in their specific area of practice to stay up on the latest trends, court case rulings and rules for handling cases. During this seminar, lawyers will be able to gain first-hand knowledge from Mr. Jacobs about the latest trends for defending foreclosure cases in Miami.

With Mr. Jacobs' substantial experience fighting foreclosure cases, he was asked to participate in this seminar to teach other attorneys throughout Florida. This is just another step in his efforts to fight the banks that are trying to take people's homes.

Continue reading "Miami Foreclosure Lawyer to Train Attorneys How to Defend Homeowners" »

The Office of the Comptroller of the Currency recently issued a memo to banks to require self-assessments of foreclosure management practices to make sure they conform with the U.S. Department of The Treasury's guidelines.

This is a welcome step in the continuing battle that Miami Foreclosure Defense Lawyers and others have fought with lenders who have filed shoddy paperwork in order to try to take away people's homes. If you want to fight a foreclosure in Miami, do so from a position of strength by attacking the banks and their unethical dealings.

As the Miami Foreclosure Lawyer Blog has previously reported, the banks have had many problems with foreclosure filings throughout the country. Some judges have ruled against banks because they couldn't prove who owned the house after problems with the Mortgage Electronic Recording System, or MERS. Other issues that have arisen include the use of mortgage servicers that have forged documents that were never reviewed for accuracy in tens of thousands of mortgage foreclosure filings.

Miami Foreclosure Defense Lawyer Bruce Jacobs is a member of Max Gardner's Army, a network of mortgage foreclosure lawyers sharing techniques in real time on how to fight for homeowners. Through constant sharing of information, tactics and other data, this network is on the forefront of fighting the banks on behalf of homeowners nationwide.

According to the memo recently filed by the Office of the Comptroller of the Currency, banks are directed to perform self-assessments that include testing and file reviews. This is a bit like having the fox guard the hen house at this point, but any enforcement is welcome news.

In late 2010, several federal financial agencies, including the Federal Reserve and Federal Deposit Insurance Corporation, reviewed of foreclosure processing at 14 federally regulated mortgage servicers. That reviews included policies and procedures, quality control and audits, oversight and staffing and other areas. The agencies found "critical weaknesses" in foreclosure governance processes, foreclosure documentation preparation processes and oversight and monitoring of third-party vendors. The memo states that the weaknesses resulted in "unsafe and unsound" practices and violations of state and federal laws.

The agencies have told banks they need to follow certain standards:

Foreclosure process governance: Management should ensure that foreclosure governance processes are sufficient to manage and control the many areas of foreclosure activities. Staffing, policies and procedures, training and other areas were of concern.

Dual track processing: If a lender is working with a homeowner to modify the mortgage, the foreclosure process should be suspended to reduce confusion to homeowners during the process.

Affidavit and notarization practices: Management must ensure that documents are truthful, accurate and adequately supported by file documentation.

Documentation practices: Management must ensure that all documents be properly endorsed or assigned. And a clear audit trail be available for tracking the documents.

Legal compliance: Management must ensure adherence to all laws and regulations, including keeping in mind the protections provided through the Service members Civil Relief Act.

Third-party vendor management: Management should properly structure, conduct and manage relationships with third-party vendors, including law firms working for the banks.

If you feel overwhelmed because the banks are coming after you and your house, get an experienced Miami Foreclosure Lawyer at your side in order to fight back.

Continue reading "Feds Continue To Blow the Whistle on Banks in Miami Foreclosure Cases" »

Legal analysts say the way that Mortgage Electronic Registration Systems handles mortgage assignments during securitizations should change, but that doesn't mean that the system will be dismantled, housingwire.com reports.

Miami Foreclosure Defense Lawyers have witnessed time and time again how problems with MERS have affected the foreclosure cases of many homeowners in Miami and throughout South Florida. Errors in paperwork, as well as confusion over who actually owns the house after the mortgage has been sold from investment group to investment group, allows homeowners to negotiate from a position of strength. Fighting a foreclosure in Miami has become a little easier with all the banks screw-ups and we are glad to point those out in defense of our clients.

As previously detailed in Miami Foreclosure Lawyer Blog, MERS was created in 1993 as a private system so banks could keep track of sales at a quicker pace than county clerk offices.

But foreclosure defense lawyers and courts have noted many problems in the system; when a mortgage is sold, information is registered in MERS, but no assignment is recorded. So, if a homeowner faces a foreclosure, county records may not reflect whether the company, a trust of investors or another lender actually owns the house.

And that has led to many homeowners being able to live in their houses without paying a mortgage, sometimes for as long as several years, because the banks don't have their paperwork in order. Robo-signed documents, where mortgage servicers sign documents for bank officials who never look at the paperwork or verify its accuracy, have also been a big problem in the industry. Courts are finally starting to penalize banks for their shady practices by telling them they can't foreclose on a house if they can't prove they own the mortgage.

According to the article, the debate over MERS intensified recently when a New York appellate court invalidated a foreclosure, ruling that MERS assigned the loan to a trustee without having possession of the underlying note from the originator. See more details at Miami Foreclosure Lawyer Blog.

It's unclear what the future of MERS is, but what these court decisions say and what the increased news media attention about MERS will do, is put pressure on the troubled system. It's entirely possible that MERS must be altered so that homeowners' rights are better protected when lenders try to foreclose on a person's house.

The good news for people who want to fight a foreclosure in Miami is that these high-profile cases involving MERS show that a foreclosure can be beaten. It takes hard work and an aggressive Miami Foreclosure Defense Lawyer, but it can be done. We will exploit the mortgage industry and all its problems for our clients and work to either stop a foreclosure, get a bank to modify its mortgage or work with the client on the best solution possible for his or her case.

Continue reading "MERS Taking Hits, But May Stick Around to Haunt Miami Foreclosures, Legal Analysts Believe" »