Foreclosure Prevention Power Tactics


Published on

Define the origin of a the foreclosure crisis
Why you should take action now!
Define types of foreclosures
What steps to take when you receive a foreclosure notice
How to spot common discrepancies with foreclosure documents
Best ways to stop foreclosure
Foreclosure Power Tactics

Published in: Real Estate
  • Be the first to comment

  • Be the first to like this

No Downloads
Total views
On SlideShare
From Embeds
Number of Embeds
Embeds 0
No embeds

No notes for slide

Foreclosure Prevention Power Tactics

  1. 1. Foreclosure Prevention Power Tactics
  2. 2. Foreclosure Prevention Power TacticsIn This Slide Presentation We Will Review:●Define the origin of a the foreclosure crisis●Why you should take action now!●Define types of foreclosures●What steps to take when you receive a foreclosure notice●How to spot common discrepancies with foreclosure documents●Best ways to stop foreclosure●Foreclosure Power Tactics
  3. 3. The Origin Of The Foreclosure CrisisThe origin of the foreclosure crisis was first thought be the sub-primemortgage explosion. This was when lenders sought out people withless than perfect credit to sell them mortgages that they could notafford.However, we now know the real cause of the foreclosure crisis was notfrom the sub-prime mortgage explosion. I myself was an formerlicensed mortgage broker and the real cause was the decline of theeconomy because people cannot afford to pay their mortgages.
  4. 4. Why You Should Take ActionHow should people react when they receive a foreclosure notice?The worst thing homeowners can do is not educate themselves on theforeclosure process and their rights as a homeowner.Answering the foreclosure notice.Always contest the foreclosure notice because you want the foreclosing lenderto show that they have authority to foreclosure.If you dont you leave yourself at risk of being a victim of wrongful foreclosure.
  5. 5. Define Types Of ForeclosureNon-judicialThis type of foreclosure, also known as statutory foreclosure, is allowed by many states but requires themortgage to contain a Power of Sale Clause. There is no court involvement and the lender sends anotice of default and forecloses on the property.Judicial ForeclosureAll states allow this type of foreclosure, and some require it. The lender files suit with the judicial system,only 30 days to respond with a payment in order to avoid foreclosure. If a payment is not made after acertain time period the mortgage property is then sold through an auction to the highest bidder.Strict ForeclosureA small number of states allow this type of foreclosure. In strict foreclosure proceedings, the lender filesa lawsuit on the homeowner that has defaulted. If the borrower cannot pay the mortgage within aspecific time line ordered by the court, the property goes directly back to the mortgage holder.
  6. 6. What Steps To Take When You receive A Foreclosure Notice?Contest the foreclosure. Answer the notice with a request to validate themortgage documents.You want the mortgage lender to prove they have the authority to foreclose.Don’t just accept the foreclosure!This is probably the most important step to take when preventing foreclosure.How you contest your foreclosure will build the foundation to your foreclosuredefense.
  7. 7. How To Spot common discrepancies with foreclosure documentsThe common discrepancies we are finding areFalsified mortgage documents i.e robo signers, improper mortgage securizationMERS often claiming to be a holder of the mortgage note when in fact they are not A Lender nor aHolder In Due Course. MERS has contested in court that they are not holders of notes.The best ways to uncover these discrepancies is through research of your mortgage documentsand title on your property.Documents to pull: ● Mortgage note or notes ● Security Instruments, such as Mortgage, Deed Of Trust, Or Security Deed ● 1098 IRS Forms Mortgage Interest Statements ● Transfer letters from the mortgage servicer ● Mortgage assignments recordings
  8. 8. Best Ways To Stop Foreclosure1. Bankruptcy - Will only temporary stop foreclosure because the homeowner must make themortgage payments in order for the Bankruptcy automatic stay not to be lifted.2. File suit against the lender - Find out what is wrong with the mortgage loan and challenge themortgage lender’s enforceable interest authority to foreclose.3. Submit a back off letter to the foreclosing attorney - These work wonders!4. Quite Title - One of the most effective ways to stop foreclosure and erase a mortgage debt isQuite title! An action to quiet establish a partys title to real property against anyone and everyone,and thus "quiet" any challenges or claims to the title.5. Short Sale-If you want to get out of your home you may ask your lender to authorize a shortsale. Lenders are more eager to do them.
  9. 9. Foreclosure Power TacticsThese are the foreclosure power tactics that we have found to be veryeffective:● Back Off Letter -forces the attorney to follow the law● Motion For Reconsideration- very effective to keep your foreclosure defense going even after the judge has not ruled in your favor!● Filling suit based on improper mortgage securitization. Produce the note and robo signers are not enough anymore.● Quite Title great way to keep the lender from claiming title on the property and usually stop any other foreclosure proceedings.
  10. 10. Grab a copy of our free report “The Untold Truths Of The Foreclosure Business” to learnmore about foreclosures and how to prevent them.