Many Homeowners Ask: Who is Suing Me?
Courts now routinely provide special parts & rules for foreclosure actions of residential mortgage loans. Clients are talking to our firm about loan modifications and what happens next, if the lender starts the foreclosure action. Borrowers' confidence and degrees of comfort rise during the modification months only to be assaulted again with a certified mailing or a process server delivering the foreclosure summons and complaint..
Lenders now are looking at recent court rulings no longer allowing the process to go without.jpg)
scrutiny when the homeowner challenges the lender to prove a case. Many homeowners no longer have any idea or clue who has sued them; the plaintiff in the foreclosure lawsuit was not the original lender to the homeowner.
Everyone starts looking for the Note, the loan document which evidences the homeowners' obligation to pay the loan. Simply stated, our Courts are being called upon to enforce loans & foreclosure actions which may not be evidenced by the original, signed loan documents, and some Judges won't permit the process unless the lender produces the Note.
The past several years has shown enormous growth in opportunities to keep families in their homes and avoid foreclosure through loan modification. The follies that families participated in by borrowing monies on their homes with Lenders' exotic products may now be coming to the end of the second act of this play...proving the existence of loan documents may be another incentive for Lenders to continue the growth of loan modifications and avoid foreclosures.
