What You Need to Know About Mortgage Restructuring and Foreclosure
When the housing market collapsed in 2007, millions found themselves underwater or facing foreclosure. The mortgage industry played fast and loose with mortgage approvals, doling out millions of subprime loans to people who really shouldn’t have qualified at all. Those loans, especially if the homeowner made the additional mistake of taking an adjustable rate, encouraged people to buy much larger homes than they actually could afford. The foreclosures started pouring in, and when the economy came near total collapse in 2009, things only got worse. Homeowners suddenly found themselves owing more than their homes were worth, or with mortgage payments they could no longer afford.
It’s well known now that many banks, most notably Bank of America, did nothing to help these people; in fact the bank allegedly went out of its way to make things worse. The news is filled with stories of homeowners who tried to restructure their loans, only to get the runaround, and wound up forced out of their homes. Bank of America was hit with billions in fines for its activities related to its mortgage products.
Experts say the economy is showing signs of growth and recovery, but many are still struggling to keep their homes. If you’ve found yourself facing the restructuring runaround or foreclosure from your bank, what can you do? First, keep impeccable records of all calls and correspondence and copies of all paperwork, then get legal representation.
It’s important to understand that you have rights and are entitled to due process. The bank must follow certain rules in the foreclosure process. If they offered you a chance to restructure your loan and then failed to follow through, you have the right to fight back.
A good lawyer can help you bring a case against your lender if you feel you have been foreclosed on illegally or misled about restructuring. A banking expert witness is also a must. These experts can help you build your case by untangling the laws and regulations and helping both you and the court clearly understand which laws have been violated by your lender.
A banking expert witness could help during a trial, so ask your attorney about consulting one about your case today. When you are on the lookout for a banking expert witness for your needs, Michael F. Richards is the man for the job.