There was a time when it was a rarity to see foreclosure cases piling up in the courts. Back in the day, either cases were limited or homeowners choose not to pursue a reasonable defense. These days, the tables have turned. Aside from rising foreclosure cases, homeowners have also started fighting back and this is why a rise in Long Island foreclosure defense attorneys has also been seen through the years.
The increase in foreclosure cases started when the real estate industry uncovered a series of fraudulent acts from lending institutions. Aside from charging high rates of interest, mortgage contracts bearing hidden fees and subsequent penalties were also discovered. The unethical nature of these practices encouraged the distressed homeowners to fight the claims made against them.
The job of a legal practitioner specializing in foreclosure cases it not simply to put an end to real estate repossession. There are times when foreclosure orders can be suspended but not overturned. When it comes to this, the job of the legal practitioner is to work out the best possible arrangement for his client.
When it comes to Long Island foreclosure defense, it can come in the form of an extended payment period. Depending on the qualifications and financial capacity of the homeowner, an addendum to the existing mortgage agreement can be drafted and approved during which time any foreclosure order will be suspended for an indefinite period of time. This will give the homeowner several months to a year of not having to pay for the mortgage allowing him to get his finances back on track.
Another alternative that can be taken by the defendant is a reduction in mortgage payments. This does not mean that lending institutions will end up receiving a lower sum of money. This works in line with the extension concept. As payments become smaller, the homeowner will be entitled to an extended payment period.
For these two alternatives, corresponding fees and surcharges may apply but given the financial conundrum that the homeowners are in, the penalty dues are worth considering instead of having to think about losing one’s home. These two are the most common Long Island foreclosure defense strategies that lawyers push for.
Depending on the lending institution or mortgage contracts, there may be issues of unconscionable agreements. This means that the terms of the contract are too overwhelming or unreasonable that a judge overturns a foreclosure order upon hearing it. An example will be a situation where someone who does not fully understand the terms of the agreement is pressured into signing a mortgage contract. This kind of Long Island foreclosure defense is actually more common than people think.
Before any process of foreclosure can take full effect, it is important for the plaintiffs to follow a series of protocols or else all attempts to repossess a home becomes invalidated in the courtroom. This starts with sending out a proper default notice. There should be adequate reason for repossession. The homeowner should also be given enough time to address the notice. Not giving any leeway is prohibited. Any inconsistencies in the contracts should also be assessed and corrected before proceedings even begin. A simple typo can deem a petition invalid. In this case, the lending firm will have to start from scratch.
When it comes to foreclosure, some cases are more complicated than others and there are times when reliable representation can make a big difference in the outcome. In order to prepare a proper defense, a homeowner should consider getting the assistance of a foreclosure lawyer. The practitioner should be experienced in the field and should carry a successful history.