Not legal advice. I am not an attorney, and 360NetWorth, Inc. does not provide legal services or prepare legal documents. This article reflects what I have observed over a 40-year career in financial services. My observations are general education, not advice about your situation. For legal advice, consult a licensed attorney. — David Disraeli
Many homeowners are unaware that very often lenders who foreclose on homes do so without the proper paperwork, and therefore illegally. Unfortunately, once the foreclosure takes place the homeowner must sue for wrongful foreclosure in order to get the house back. Texas is a nonjudicial foreclosure state which means that lenders may foreclose and take a property back without involving the court system.
The good news is that foreclosure can be stopped dead in its tracks through a restraining order. Of course, this process involves an attorney, and expenses, and may not work. Congress has recently become aware that banks and mortgage companies are foreclosing on homes without following proper procedures. In fact, Bank of America and other banks halted foreclosures for a time to reexamine their procedures. The key issue is that loans are sold and re-sold along with the servicing rights and many times the foreclosing bank isn't even entitled to foreclose because the transfer of owners wasn't done correctly. If you are facing foreclosure, contact a licensed Texas attorney right away to discuss your options; deadlines matter.
For more information call 512-464-1110, email david@360networth.com, or book a call.
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