release language | Black & LoBello

New Foreclosure Numbers For 1st Half of 2010

On July 16, 2010, in Mortgage, Real Estate, Short Sale, by blacklobellolaw

Nearly 1.7 million homeowners received a foreclosure-related warning between January and June of this year. That translates to 1 in 78 U.S. homes. It is projected that more than 1 million homeowners are likely to lose their homes to foreclosure this year as lenders work through a huge backlog of borrowers who are delinquent on their mortgages. The number of households facing foreclosure in the first half of the year climbed 8 percent versus the same period last year.

According to RealityTrac Inc., nearly 528,000 homes were taken over by lenders in the first six months of 2010, a rate that is on track to exceed the approximate 900,000 homes repossessed in 2009. Nevada posted the highest foreclosure rate in the first half of the year as 1 in every 17 households received a foreclosure notice. However, foreclosures are down in the state approximately 6 percent from a year earlier.

Joshua D. Carlson, Esq.

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Tagged with: backlog • Black & LoBello • borrower • deficiency • foreclosure • highest foreclosure rate • households • Las Vegas • liability • mortgage note • mortgages • Nevada • RealityTrac • release • release language • rise of foreclosure • trustee sale • warnings

Avoid Foreclosure with a Deed-In-Lieu?

On July 15, 2010, in Mortgage, Real Estate, Short Sale, by blacklobellolaw

The latest question in the local real estate market seems to be about the Deed-In-Lieu of Foreclosure and how it can help. A Deed-In-Lieu of Foreclosure was traditionally a release of all liability on a mortgage note, provided that the borrower hand the deed to the lender and leave the home in “broom swept” condition. Lately, some lenders have offered cash incentives to borrowers who are willing to accept a Deed-In-Lieu rather than allowing the property to go to Trustee Sale. The problem in Nevada is that the Deed-In-Lieu of Foreclosure does not necessarily mean receiving a full release of all liability on the mortgage note. In fact, absent specific deficiency release language, the lender may pursue the deficiency for up to six years with a Deed-In-Lieu, whereas a first priority lender may only go after the deficiency for six months on an actual foreclosure.