Florida Mortgage Modification Lawyer Blog

Many mortgages require what is known as a Notice of Acceleration or Default letter. It is usually paragraph 22 of the Mortgage but can be found in other paragraphs depending on the Lender. It states that upon Borrower’s breach of any agreement, the Lender shall give notice to the Borrower before accelerating the amounts due on the Note. There are several requirements that the notice shall specify, including how the borrower defaulted; the action required to cure the default; a date by which the default must be cured; and that failure to cure the default on or before the specified date may result in acceleration of the sums. The specifics of the notice requirement are set out in each mortgage.

Continue reading "Notice of Acceleration: Did You Receive Yours?" »

Foreclosure filings remain steady in Southwest Florida. Many foreclosure defendants who try to fight these foreclosure actions are no doubt becoming frustrated with the process – and who can blame them?

Nobody wants to be dragged into a lawsuit, especially when one’s home is on the line. But aside from the stakes, what makes recent mortgage foreclosure lawsuits particularly daunting is the fact that almost every mortgage currently being foreclosed on has been transferred so many times that it becomes difficult – if not downright impossible – to figure out who owns the mortgage!

Continue reading "Discovery In Foreclosure Cases: Is The Bank Hiding The Ball? Part I" »

I keep a very close eye on the Southwest Florida Real Estate Market. Why?, because my clients have roots here, and they plan on staying here in Southwest Florida. Many people want to purchase real estate, but I have been hesitant to recommend that they get back into the real estate market right away.

I recently read a story on Bloomberg about the nationwide real estate market, and things are looking bleak. I'm sorry, I never want to be a downer, but, this is actually good news for buyers.

Continue reading "No Light At The End Of The Southwest Florida Housing Market" »

Annette Giardina Haber, Esquire, of the Dellutri Law Group. P.A. has been recognized as “Affiliate of the Year” during the 2011 Award ceremony presented by the Cape Coral Association of Realtors on December 1st at Tarpon Pointe Marina. The 2011 Affiliate of the Year Award was presented to Ms. Haber for her invaluable service, support and participation in the Affiliate Committee and ongoing education of the Realtor members. The Award recognizes Ms. Haber for her contributions and dedication to promote and support Association Activities that directly benefit both the Realtor profession and the services they provide to the general public. Professional services provided by the Cape Coral Association of Realtors Affiliate Members are an essential part of all Realtors’ day-to-day business. The Affiliate of the Year Award is given to an outstanding Affiliate that has given their time and talents over the past year to further advance the goals of the Association through their outstanding volunteer work in the Association and through out our community.

Continue reading "Attorney wins “Top Award” from the Cape Coral Association of Realtors" »

With the unprecedented changes in the economy resulting in job loss and decreased property values, the Dellutri Law Group has expanded the Firm and offers real estate services to consumers. If you are unable to afford your home (but have no other excessive debt) and are considering filing Bankruptcy, the Dellutri Law Group may be able to offer an alternative. The Real Estate Department offers many loss mitigation options which may provide a solution. Most law firms that offer Bankruptcy services recommend the filing of Bankruptcy as the solution because they do not provide assistance with loss mitigation options such as mortgage modification, short sales, deeds-in-lieu of foreclosure or foreclosure settlement. Completion of a successful loss mitigation option may eliminate the need to file Bankruptcy.

There is an endless list of realtors and title companies who promote the ability to assist with loss mitigation options, specifically short sales. However, utilizing the services of a non-lawyer could result in the homeowner losing the one opportunity to try to accomplish a loss mitigation option alternative, leaving them with the filing of Bankruptcy as the only remaining option. It has always been important to engage the services of a real estate attorney for representation to facilitate a real estate transaction. However, with the ever changing economy, it is even more critical to engage the services of a real estate attorney who is experienced in loss mitigation options and who will be able to review all possible available options and provide counsel so that an informed decision can be made. If the best alternative is a short sale, our office will also handle the closing of the transaction with the help of our underwriter, Attorney’s Title Fund Services.

Continue reading "The Dellutri Law Group offers Bankruptcy Alternatives" »

We have received many questions in regards to Short Sales at The Dellutri Law Group this past week. To clarify the answers to some of these questions please view this video. This video explains the length of time it takes to complete a successful Short Sale. It could take as little as 10 weeks to over a year to complete.

Continue reading "The Short Sale Process" »

My short answer is: Absolutely Not. There is an endless list of factors and circumstances which have caused homeowners to no longer be able to afford their homes. When people find themselves in this situation, they expect and fear foreclosure. They feel helpless and uneasy when they realize they can no longer meet their financial obligations. However, some don’t accept foreclosure as inevitable and begin searching for assistance and other options. The alternatives to foreclosure are the following loss mitigation options: Loan Modification, Short Sale, Deed-In-Lieu of Foreclosure and Foreclosure Settlement.

Continue reading "Is A Short Sale A Bad Idea?" »

If a Short Sale transaction is properly negotiated, the formal approval shall contain provisions that upon receipt of the proceeds from the closing of the short sale transaction, the Mortgage shall be satisfied and the Promissory Note cancelled/satisfied. If the Promissory Note or remaining indebtedness is addressed in the approval letter as being canceled or satisfied, the Short Sale Lender should issue a 1099C in the amount of the remaining outstanding indebtedness. If the remaining outstanding indebtedness is cancelled, there is no further obligation upon which a deficiency money judgment can be pursued.

Continue reading "What Should Happen During My Short Sale? Part II" »

What is the “Best Result” of a Short Sale?

Mitigating the Borrower(s)’ damages is the ultimate objective of a Short Sale.

Each individual that signed the Promissory Note is responsible for the entire financial obligation. Actively pursuing and successfully closing a Short Sale does not mean the financial obligation has been canceled or the Borrower(s) is released from the obligation. An improperly facilitated Short Sale has the potential to create additional and continuing financial obligations for the Borrower(s) which is contrary to the intentions of participating and pursuing the loss mitigation option.

Continue reading "What Should Happen During My Short Sale? Part I " »

Attorneys Annette Haber and Carmen Dellutri discuss the Deed In Lieu process.

Continue reading "What Is A Deed In Lieu Of Foreclosure In Florida?" »

This is the third installment of this series of blogs which focuses on the types of professionals that a short sale seller should enlist when entering into the short sale process. Part I of this blog focused on the Real Estate Professional. Part II of this blog focused on the Real Estate Attorney. Part III will focus on the Tax Professional.

Continue reading "What Professionals Should Assist In The Short Sale Process? Part III" »

You’ve heard the term “Short Sale”, have read the previous blogs which explain what a Short Sale is and whether it is better to pursue a Short Sale or let the property go through foreclosure. Now you may be wondering how to get started and if there are certain individuals who may be able to assist with the process; or whether having their involvement in the short sale process might be beneficial.

It is important to understand there are three different licensed professionals who should be enlisted to assist with the Short Sale process: Real Estate Agent, Real Estate Attorney, and Tax Professional.

Continue reading "What Professionals Should Assist In The Short Sale Process? Part I" »

Recently, the Florida Attorney General began investigating several law firms handling large numbers foreclosure cases which have been described as “foreclosure mills” for filing fraudulent documents with the court.

Unfortunately, investigation hit a bit of a snag on October 4, 2010; hopefully it will just be temporary. In a hearing on a motion to quash a subpoena against one of the firms, the judge ruled the Florida Attorney General’s subpoena was overbroad and unduly burdensome.

Normally, that issue can be resolved by fine-tuning the subpoena more narrowly and then building upon what you discover later. However, the judge went further and called into question the Florida Attorney General’s constitutional authority to even investigate law firms as they are regulated by the Florida Supreme Court and the Florida Bar.

Continue reading "Investigation Into Foreclosure Mills Hits A Snag" »

It appears courts are getting tougher on foreclosure mills in Sarasota and Manatee County, Florida. Recently, according to the Miami Herald, a Manatee County Circuit Court Judge sanctioned the law firm of Smith Hiatt & Diaz $49,000 for “deliberate, willful, and flagrant” contempt for setting, then missing two foreclosure hearings. Apparently this was not a one-time event but similar incidents of not showing or cancelling hearings at the last minute had occurred in the past.

Continue reading "Courts In Sarasota and Manatee County Are Getting Tougher On Foreclosure Mills" »

For all intents and purposes, MERS is Dead. Recently, I heard that MERS was making changes to its business model. To that statement, I must respond: "What business model?" The only thing that MERS did in my opinion is put the screws to the entire mortgage industry. In six months to a year, MERS will be gone, and then we will begin to see the bigger picture. The questions that we will be asking are: Do I really have to pay my mortgage? Who do I owe the money to? How many credit reports need to be cleaned up because they are wrong? It's going to get ugly.

In a year, I will look back on past blogs to see if my predictions were right or wrong. This story is going to get interesting.

Continue reading "The Death Of MERS " »

The King of Foreclosures, that is. Since you all probably read my last blog about the trouble in Southwest Florida foreclosure courts caused by the demise of David Stern’s office, it won’t surprise you to hear that the craziness may have only just begun.

After removing Stern’s office from thousands of cases, mortgage giant Fannie Mae (another interesting topic to be discussed soon) had to retain other Florida law firms. It seems several of these firms may be keeping the Florida Attorney General’s office busy.

Continue reading "Is The King Alive In Southwest Florida ?" »

While foreclosure cases continue to flood the court dockets, the courts are not alone in being stretched to their limits. The banks and mortgage companies have also struggled to keep pace.

The rush to keep up is particularly evident in the shoddy paperwork the bank's often present to the court. Whether it is outright fraud or simply sloppy documentation, documents that post-date the lawsuit, or show that another entity owns the note will often lead to the court dismissing the complaint.

Continue reading "Foreclosure Cases Dismissed Because Of Bad Paperwork" »

This is Part II of this Article. Click here to read Part I.

While the clearance rate of foreclosure cases improved from 40% to 78% in 2009 based on the policies implemented in Lee County, at what expense were these cases resolved? With so many lenders coming out admitting their wrongdoing in foreclosure filings, I’m curious to know how many people wrongfully lost their homes in the blink of an eye. How many of these homeowners, who may have suffered temporary financial setbacks, could have been able to work something out with the banks if they were just given a little more time? I think we would all be surprised at the number.

Continue reading "The Foreclosure Case Is Set For Trial ? Part II" »

On January 7, 2010 the Massachusetts Supreme Court issued a foreclosure ruling that has allready had far reaching effects from Wall Street to Main Street. In reaching its conclusion that the Plaintiffs (mortgage company) did not conduct a proper foreclosure sale due to deficiencies in the chain of title, the Court brought additional scrutiny to the mortgage epidemic and the inability of lenders to show that the operated with even the most basic of accepted practices in their frantic attempt to generate revenue at the expense of the American homeowner.

Continue reading "Foreclosure Decision By Massachusetts Supreme Court Could Effect Florida" »

New Jersey Superior Court Judge Mary Jacobson is requiring some of the nations largest lenders and servicing companies to clean up their foreclosure acts. Last month, the Judge chastised JP Morgan Chase, Bank of America and GMAC's Ally Financial for shoddy practices and ordered them to prove that they have cleaned up their acts. A copy of the Order is linked here. A hearing scheduled for January 19, 2011 was pushed back until February 14, 2011 so the parties could discuss a possible deal.

Continue reading "Judge Mary Jacobson Agrees To Let The Mortgage Companies Explain Shoddy Practices" »

The question: Is a Short Sale better than a Foreclosure? has been getting quite a bit of attention lately. I continue to be amazed at the number of potential clients, with whom I have the privilege of meeting, who tell me their accountant advised them to just let the house go. Others tell me they know somebody, have a good friend, or a coworker who has provided their opinion (gained through naive experience I guess) on this topic.

The consistent theme of the opinions are “just leave the house; walk away from it; why would you want to stay in the home when you owe almost twice as much as it is worth and you may die before you’ll ever make a profit on what you thought was a smart way to spend/invest your money”.

Continue reading "Is A Short Sale Better Than A Foreclosure Part 1?" »

On a beautiful sunny morning in Southwest Florida, one particular courtroom in the Lee County Justice Center was buzzing with the chatter from attorneys preparing for the 74 non-jury foreclosure trials set for that morning. Each trial was set for 15 minutes.

Have you ever met an attorney who could say anything in 15 minutes? How about 148 attorneys talking for about 7 ½ minutes each? That is what our judicial system has allotted for the plaintiff to attempt to prove their case and the defense to put on their case, should they decide to do so. As an attorney that likes to try cases, the thought of 74 trials is quite stimulating! However, I also know it takes a little bit longer than 15 minutes to present a case to a judge. So, what is getting done in these 15 minutes? And why the rush? What else can happen to your foreclosure case?

Continue reading "The Foreclosure Case Is Set For Trial ? Part I" »

Attorney Annette Giardina Haber joined The Dellutri Law Group, P.A. as a Real Estate Attorney several months ago. She will be preparing a series of Blogs dealing with the following topics:

1. Is a Short Sale better than a Foreclosure and why?
2. What professionals should help through the Short Sale Process?
3. What is the best result of a Short Sale?
4. Is a Short Sale a bad thing?
5. Are there any Banks or Lenders that are worse, better, easier or more difficult than others?
6. What are the statistics on Short Sales?
7. Why should a Short Sale be pursued?
8. Is a Real Estate Agent necessary in a Short Sale?
9. Four categories of Loss Mitigation Options.
10. How long does the Short Sale Process take?
11. DO NOT just “hand over the keys” to the Bank!
12. Where else can literature or authority on Short Sales be found?
13. I have a great plan, I am going to walk away from my house and move to another state! NOT!
14. Do I need to call a Real Estate Agent or can I consult with a Real Estate Attorney first?
15. Why should I use a Real Estate Attorney in my Short Sale?
16. What happens if the Bank or Lender starts the foreclosure process while proceeding through the Short Sale process?
17. There are so many advertisements about loss mitigation options, why should I consider the Dellutri Law Group?

If you have any questions that you would like to see addressed, please feel free to contact me at 239-549-0900 or via email: aghaber@dellutrilawgroup.com

This Blog was written by Annette Giardina Haber, Esquire, of the Dellutri Law Group, P.A. Ms. Haber runs the Firm’s Real Estate Department and concentrates her practice as a real estate transaction attorney. She represents clients through loss mitigation options, drafts contracts, issues title insurance and handles residential and commercial closings.

The term Short Sale has become increasingly too familiar in today’s modern vocabulary due to the down turn in the real estate market. You most likely will not find a definition of Short Sale as it is used today in the latest printed editions of the Merriam-Webster, Oxford English, American Heritage or Webster Dictionaries. The reading of the online Webster Dictionary definition, origin 1865 - 1870: “sale of securities or commodity futures not owned by the seller (who hopes to buy them back at a lower price) provides insight as to the traditional meaning of the term. Dictionary.com defines Short Sale as a noun: “an act or instance of selling short”. Although Banks and Lenders understood and rarely utilized the concept, this definition is more in line with the term’s relevance in society today as it relates to real estate.

Continue reading "What Is A Short Sale? How Do Short Sales Work?" »

With the 2010 elections upon us, some federal lawmakers headed by House Speaker Nancy Pelosi are calling for a federal investigation into how banks are handling foreclosures stemming from reports of “robo-signatures” and other practices. The call for the probe also considers a statement by the U.S. Attorney General saying banks “have repeatedly misled and obstructed homeowners from receiving help Congress and the administration have sought to provide.”

Continue reading "Federal Investigation Into Mortgage Foreclosures?" »

State Court Judges are tired of big foreclosure dockets, and they are tired of foreclosure law firms who fail to appear for hearings. It appears the courts are getting tougher on foreclosure mills in Sarasota and Manatee County, Florida.

Recently, according to the Miami Herald, a Manatee County Circuit Court Judge sanctioned the law firm of Smith Hiatt & Diaz $49,000 for “deliberate, willful, and flagrant” contempt for setting, then missing two foreclosure hearings. Apparently this was not a one-time event but similar incidents of not showing or cancelling hearings at the last minute had occurred in the past.

Continue reading "Judges In Sarasota And Manatee County Are Getting Tougher On Foreclosure Law Firms" »

Amidst investigations by state attorney generals into several law firms over alleged falsified foreclosure documents, GMAC is the first but may not be the only lender/servicer to take steps to look deeper into issues concerning illegal foreclosures. The Associated Press has reported that GMAC is going to cease foreclosures and evictions in numerous states amongst allegations and investigations into falsified documents in the foreclosure. Researching further into GMAC decision, it appears GMAC has decided to cease actions in 23 states, including Florida. In addition to ceasing foreclosures and evictions, GMAC is freezing closings on all REO closings.

Continue reading "GMAC Stops Foreclosures In Florida" »

Yesterday, the Florida Attorney General's Office announced that it is going to begin looking into allegations of foreclosure law firm's use of fraudulent or fake documents. If you recall, I wrote about this very topic in previous blog in April of 2010. I don't know if any of this is true or if it is just a political stunt, so, everything written here is purely my opinion.

Here is the gist of the investigation. Sometimes it appears that law firm's are using very creative means to pursue a foreclosure. After the loan closes and the homeowner moves in, many loans were transferred on the open market. Of course, the homeowner knows nothing of this unless and until they receive a letter directing them to send their mortgage payments to a different company and address.

Continue reading "Florida Attorney General Finally Looking Into Fraudulent Documents" »

Are you a homeowner in Fort Myers who has lost a job or lost some of your household income? Have you been unable to make your mortgage payment this month? If so, you may be facing the very difficult decision that so many homeowners in Florida are facing: should I keep this home? At Dellutri Law Group, we are seeing homeowners coming in the doors daily agonizing over this decision.

Trying to decide whether to try to keep a home through modification when you owe 2-3 times its value is a very personal one; and in order to make the best decision for yourself and your family, it’s important to consider many different factors:

- Recent studies are showing that foreclosures are on the rise again, and a report on Dow Jones newswire shows analysts predicting that home prices will continue to decline again this year. “Home prices are expected to decline again with risk of another 50% down to get house prices back to levels of 1999 / 2000”, says Richard Henry Suttmeier on Forbes.com. This is a very startling and scary prediction, but if it comes true, this could very well mean additional declines in home prices in Lee County in the near future.

Continue reading "Should I Keep My Home Or Surrender It?" »

If you are one of the many Floridians that took out a second mortgage during times when home prices were on the rise, this entry is for you. I have met with many homeowners, especially in Southwest Florida, that are paying on two or more mortgages when their home value does not exceed the first mortgage. In these circumstances, a Chapter 13 bankruptcy may be able to help.

In a Chapter 13 bankruptcy, where the value of the home does not exceed the first mortgage, a Motion may be made to declare the second mortgage an unsecured non-priority debt, placing it in the same position as a credit card or other unsecured non-priority debt to be discharged. For example, where a home has a current value of $100,000, with a first mortgage balance of $150,000 and second mortgage value of $50,000, subsequent to the filing of a Chapter 13 bankruptcy petition, a Motion may be made to “strip” the $50,000 second mortgage, relieving the homeowner of that debt, allowing the homeowner the opportunity to focus on paying the first mortgage.

Continue reading "Can I Strip a Second Mortgage Off My Home?" »

Recently, the Honorable Anthony Rondolino, a Circuit Court Judge in Pinellas County, Florida stated at a hearing in a mortgage foreclosure case:

"I don't have any confidence that any of the documents the Court's receiving on these mass foreclosures are valid."

Judge Rondolino's comments were made while considering whether to reverse his prior decision on granting a summary judgment on behalf of the mortgage company and against the homeowner.

This comment and the recent case law coming out of the Florida's Second District Court of Appeal makes this writer extremely happy.

At the end of last year, the Florida Supreme Court entered an Administrative Order on Mediation in an attempt to help homeowners save their homes.

Judge Rondolino also commented:

"You know what I'd really like to see? I'd like to see in one of these cases where a defense lawyer cross-examines, take a deposition of these people, and we can see whether they ought to be charged with perjury for all of these affidavits. I would just love to see that, ..."

What the Judge was getting at was the mass production of affidavits not based on personal knowledge and submitted to the Court by the lenders in support of the foreclosure.

We recently had a similar case where GMAC Mortgage pursued a foreclosure case only to find out later that they never owned or held the note. Shocking!

There will be more to come on this as the Court System is Fed Up with Fraudulent Documents. Hopefully, the next time I will write with a case about Sanctions against a lender for producing fraudulent documents.

Continue reading "The Judges Are Getting Ticked Off At Fraudulent Documents" »

Ladies and Gentlemen:

A bill was introduced by Florida Senator, Dave Aronberg, which would make mediation an option in mortgage foreclosure cases where the foreclosure is against a homestead.

Here is the story:

Continue reading "Mediation of Foreclosures One Step Closer" »

The Dellutri Law Group is in the process of starting another Consumer Law Blog focusing on the Federal Fair Credit Reporting Act. Our Fair Credit Reporting Act Blog can be found at:

www.faircreditreportingactblog.com

When you have a chance, please check it out and provide us with your feedback? It should be active in 7 to 10 days. The Fair Credit Reporting Act Blog will focus on all aspects of Credit Reporting.

Please send any and all comments to eetnoyer@dellutrilawgroup.com

Thank you for your assistance, and remember, we are here to serve the people of Southwest Florida. So please help us help you.

Continue reading "New Fair Credit Reporting Act Blog By Dellutri Law Group" »

The Good News is that new home sales are up across the nation. The Bad News is that Cape Coral, Fort Myers, Lehigh Acres, Port Charlotte and Naples real estate is still in the toilet. May and June 2009 reports indicate that some people are capitalizing on lower interest rates, deflated prices and the Obama incentive of $8,000.00 for a first time home buyer. However, it is not happening here.

In these hard hit areas, new construction is just a blip on the meter. Sales are starting to grow, but the majority of those sales are short sales, which actually crush the home values for the surrounding property owners.

The good news is that while foreclosures have not stalled, they have slowed a little. Why is this good news? Well, I'm glad you asked. It is good news because short sales are eating more inventory than is coming on the market. So, to put it another way, with homes being sold faster than foreclosed homes are coming on the market, it means less inventory out there. Less inventory means the market will slowly turn from a buyers market to a sellers market, which means demand goes up. Wow, this takes me way back to Economics Class at Edison Community College.

Now, the question is: When will Cape Coral, Lehigh Acres, Fort Myers, Port Charlotte, and Naples become sellers markets again. The answer for that question is harder to come by than than winning lottery numbers. But, as always, I will keep you posted on anything interesting.

This post was submitted by Carmen Dellutri, Esq., founder of The Dellutri Law Group, P.A. Currently, the firm has offices in Port Charlotte, Fort Myers, Naples and Sarasota. Mr. Dellutri also sits on the Board of American Board of Certification. Mr. Dellutri is also one of the founders of the Bankruptcy Law Network, Debt Law Network, Credit Law Network, and Mortgage Law Network. Mr. Dellutri also writes for the firm's personal injury litigation blog. Mr. Dellutri also writes for the firm's bankruptcy blog.

Many people in Fort Myers, Lehigh Acres, Cape Coral, Naples, Port Charlotte, and Sarasota are finding themselves making one of the hardest decisions of their lives. Whether they should keep their current home, which may have between $50,000 to $100,000 in negative equity, or should they surrender their homes and rent for a year or two. There are many considerations which need to be resolved before making this decision.

Continue reading "Renting a Home in Fort Myers, Cape Coral, Lehigh and Surrounding Communities " »

The Federal Government wants to pay the mortgage companies to help consumers complete Short Sales and Deeds in Lieu of Foreclosure. Recently, the Obama Administration has set more taxpayer money aside to provide an incentive to banks and mortgage companies to help consumers. Call me silly, but didn't the Federal Government pass legislation which asked the banks and mortgage companies to do this over the past several years. I guess when the Federal Government asks you to do something, you don't really have to do it until they pay you to do it.

So now mortgage lenders like Wells Fargo and Bank of Americawill be paid to help consumers. Is anyone else seeing through the bologna here. This is just another stimulus to help the banks and mortgage companies on the backs of the American Consumer (i.e. you and me). Where are the guidelines on these plans? Did the Federal Government just give a blank check to the mortgage companies and banks?

Continue reading "Government Wants To Pay Banks To Do Short Sales and Deeds In Lieu" »

Attorney John Webb recently joined the Dellutri Law Group as an associate attorney. John will be practicing in the consumer law section of the firm defending foreclosures and other consumer law cases. John will also be bringing causes of actions on behalf of consumers against creditors who violate consumer protection laws. John will be working closely with Shannon Houk, Esq, and Carmen Dellutri, Esq. in pursuing the needs of our clients.

Continue reading "Attorney John Webb Joins Dellutri Law Group" »