Archives for December 2011

Falling Home Prices Creating Havoc With the American Economy

Falling Home Prices Creating Havoc With the American Economy

Economists in the United States are taking the position falling home prices are a significant problem preventing the economic recovery in the United States. The de-valuation of homes in the United States have cost Americans billions of dollars. The declining wealth of American homeowners has had a further negative impact on their confidence that the financial situation will improve in the future.

Richard Curtin, Professor of Economics at the University of Michigan, recently stated “people don’t expect their home to regain value, and that’s really lead to a change in consumer attitudes about the economy that we’ve just never seen before.”

Americans have a confidence problem in their future of their country. They no longer believe that the economy will necessarily improve and financial circumstances will get better. The average income of many American families has declined. The unemployment rate is still over 9%. The expectations for economic growth among Americans have fallen to one of the lowest levels in history.

The Decline of the Real Estate Market

Recent studies by economist have shown the decline in the real estate market affecting all aspects of consumer spending. It is estimated that Americans reduce their spending by twenty to seventy dollars a year for every thousand dollar decline in the equity in their home. During times of appreciation in real estate there was a “wealth effect.” The wealth effect made consumers feel that they had liquidity and, therefore, they spent more money. Often more than they actually had. The down side of the wealth effect is as home values have declined, consumer confidence has declined and there has been a negative reduction in the wealth effect, meaning that consumers feel they’re getting poorer when their houses go down in value and are less inclined to spend money.

Economy Will Eventually Recover

The prevailing view among the economists is that even though things do not look good right now, the economy will eventually get better and Americans will start spending again. Hopefully appreciating real estate prices will spear head the economic recovery.

Foreclosure Lawyers

If you are behind on your mortgage, a mortgage modification may help you. Our Law Office can assist you with the mortgage modification process. Should you find yourself facing foreclosure we can represent you in the foreclosure proceedings. Our foreclosure attorneys attend foreclosure court conferences. We litigate predatory lending issues, defective mortgages, defective foreclosures and a variety of other real estate related issues. We have extensive experience in dealing with the Federal laws in foreclosure and issues concerning foreclosure related bankruptcies with individuals facing foreclosure. You may be eligible to file either a Chapter 7 or Chapter 13 bankruptcy. These bankruptcies can stop debt collection practices, stop foreclosure and in some situations, eliminate second mortgage. At the end of the bankruptcy process we can assist you in re-establishing your credit. Call us and we will discuss all of your foreclosure and bankruptcy options available to you. Thank you for visiting our foreclosure blog. Contact us for a free consultation.

Visit – Nassau County Divorce Attorney

Steven J. Baum, P.C., NY’s Largest Foreclosure Law Firm Is Closing

Steven J. Baum, P.C., New York’s largest foreclosure firm, will be closing its doors shortly. The firm, headquartered in Amherst, New York, employs approximately 70 employees, with approximately 22 employees on Long Island. Freddie Mac and Fannie Mae recently advised the Steven J. Baum, P.C. that they can no longer represent them with regard to government sponsored foreclosures.

Firm Fined Two Million Dollars

The law firm has recently been subject to a variety of investigations concerning its foreclosure practices, and was recently fined two million dollars for errors involved in court filings and foreclosure proceedings.

Last year the law firm was involved in more than 17,000 foreclosure proceedings throughout the State of New York, and brought approximately 1/3 of all theforeclosures that took place in New York State.

Foreclosure Mill

In a New York Law Journal article, the foreclosure law firm was referred to as a foreclosure mill. Mr. Baum responded to this criticism by stating foreclosure attorneys are “an easy target for criticism.”

New York Attorney General’s Investigation of the Baum Firm

After receiving news of the Baum’s Law Firm closure, a statement was made by a representative of the New York Attorney General, Eric Snyderman, who stated “we cannot comment on the ongoing investigations, Attorney General Synderman will continue to bring accountability to the firms responsible for the mortgage crisis and put an end to abusive foreclosure practices that have devastated families across the state.”

Long Island and New York Foreclosure Defense Lawyers

If your home is in foreclosure, the Law Offices of Schlissel DeCorpo can help you. We represent individuals and family members in foreclosure proceedings throughout the Metropolitan New York area. We submit written Answers to foreclosure lawsuits dealing with issues such as predatory lending, defective mortgages and defective foreclosure lawsuits. Our firm is experienced in real estate litigation related to foreclosures. We also assist our clients in obtaining mortgage modifications. You can contact us for a free consultation and at our initial meeting we will explain all of your foreclosure options.

Sometimes filing a foreclosure related bankruptcy presents the best defense to a foreclosure proceeding. We file Chapter 7 and Chapter 13 bankruptcies on behalf of our clients. Filing of a bankruptcy stops foreclosure proceedings from moving forward and stops all other debt collection practices. At the end of the bankruptcy filing we can educate you as to how to re-establish your credit. For a free consultation at 1-800-344-6431, 516- 561-6645 or 718-350-2802, we can help you keep your home!

Visit –New York Fathers Rights Lawyers

Low Mortgage Rates not Spurring Home Buying Activity

fore1Mortgage rates are at all time lows. Thirty-year fixed mortgages have interests rates of less than four percent. Interest rates on fifteen-year mortgages are running around three and a half percent. Has this spurred activity in the housing market? No!

High Unemployment and Low Wages Keeping Home Buyers Out of the Housing Market

The unemployment rate in the United States is still at 9%. However, most experts state that many unemployed people aren’t reflected in this statistic. These are individuals who have been unemployed for so long they are no longer counted or have given up trying to find a job. The recession in the United States is also keeping wages unusually low. With uncertainty concerning jobs and prospects of high wages dimmed, most Americans have a negative view about purchasing a home. They’re concerned the home will be worth less in the future than it is now; so there is no reason to buy today.

2011 Home Buying Rates Down

2011 will be one of the worst years of the century for the real estate industry. Sales of single family homes continue to be very low.

Refinances Are Up

Although home purchases are down, individuals with good credit who have significant equity in their homes have been utilizing this period of low interest rates to refinance their homes and reduce their mortgage payments. Although this is good for those individuals, it unfortunately, in the long run, does not have a significant impact on the housing industry.

Foreclosure Defense and Bankruptcy Lawyers

Before your house falls into foreclosure, it is suggested you apply for a mortgage modification. If your mortgage modification program does not meet your needs, your home may end up being foreclosed upon. Should you receive a Summons and Complaint in foreclosure, our law office can help you. We will attend foreclosure court conferences on your behalf and attempt to motivate your financial institution to offer you a suitable mortgage modification. We’ll also submit a formal written answer on your behalf. Defenses such as defective mortgages, predatory lending, defective foreclosure lawsuits and other real estate related legal defenses can be interposed on your behalf. Our law firm will use its extensive experience in handling these types of cases, to keep you in your home.

We will also discuss with you foreclosure related bankruptcy options. Filing a Chapter 7 or Chapter 13 bankruptcy may be the best route for you in dealing with your foreclosure situation. Why should you file bankruptcy and the types of bankruptcies available to you would be discussed upon your initial free consultation. Should you file bankruptcy you can sometimes eliminate second mortgages. Bankruptcy will stop foreclosure proceedings from moving forward and stop all debt collection activity against you. Call us for a free consultation.

We will discuss all of your foreclosure and bankruptcy options with you. Contact our office at 1-800-344-6431, 516-561-6645 or 718-350-2802.

Also Visit – Nassau County Divorce Attorney

Neighborhood Affected by Foreclosure Crisis

squattersThe foreclosure crisis is destroying good neighborhoods in Jamaica, Queens. Hard working, middle class families are being forced to live next to empty homes that squatters have moved into. The squatters make noise, abuse drugs and engage in criminal activity. This is yet another problem caused by the foreclosure crisis.

foreWho Is Stopping Foreclosures in New York?

The foreclosure defense lawyers at the Law Offices of Schlissel DeCorpo can stop foreclosure proceedingsin their tracks. We file written Answers with the court and opposing counsel on behalf of our clients. We attend foreclosure court conferences wherein we try to convince judges to put pressure on the financial institutions to give our clients mortgage modifications. We litigate issues concerningdefective mortgages, defective foreclosure lawsuits, predatory lending and all types of other real estate related matters. Our office has substantial knowledge concerning Federal laws and foreclosure.
We can also help you deal with foreclosure-related bankruptcy issues. Filing either a Chapter 7 or a Chapter 13 bankruptcy may be necessary to deal with the foreclosure on your home. If you file bankruptcy, you can eliminate second mortgages in some situations, stop foreclosure, stop other debt collections practices and at the end of the bankruptcy, action can be taken to re-establish your credit. Call us for a free consultation at 1-800–344-6431, 516-561-6645 or 718-350-2802.

Summer Home Buying Season, the Worst in Five Decades

home1Spring of each year starts the home buying season. The months of April through the end of August signals the time that most home buyers come into the market. This is usually a time of heightened activity in the real estate market for the sale of single family homes. This was not true, however, in the year 2011. From the period of April through the end of August of 2011, fewer homes were sold in the United States during any six month period in the last fifty years. Home sales from the Spring and Summer were the weakest since 1963. This is an indication of how poor the real estate market and the economy in the United States is doing.

Low Mortgage Rates

Mortgage rates reached their lowest levels since records were kept during the Summer months. However, even with record low mortgage rates and home prices continuing to go down, would-be buyers are still not being enticed. Approximately one hundred and seventy thousand homes were sold from March through August of this year. This is even less than was sold in the same period in 2010, which, up until that time, was the worst in a half a decade. Normally, approximately four hundred thousand homes would sell during this period of time.

Home Prices Falling

The medium price for the sale of existing homes fell to approximately $168,000. This was decreased in 5% from the prior year. New home prices averaged about $209,000, which was almost 8% less than the prior year. Low priced foreclosure sales and short sales have been driving the market down. This causes real estate brokers to press sellers to lower their prices on their homes to compete with these foreclosures and short sale homes. It is estimated that homes in foreclosure and short sales sell for 20% less than their market value. This has the impact of lowering home prices throughout the areas where the short sales and foreclosures are located.

Is the single family home becoming a depreciating asset? Is the American dream over? I don’t think so. However, we may be headed for an additional five years of flat real estate prices before we see a significant rebound

Bankruptcy can act as an escape valve to prevent the loss of a home, stop foreclosure, eliminate a second mortgage and stop debt collection harassment. Your credit can be re-established after filing either a Chapter 7 or a Chapter 13 bankruptcy One bankruptcy myth is that you will never receive credit again after filing bankruptcy. This is simply untrue.

Bankruptcy Lawyers

Should you have questions or issues concerning your financial situation or are considering filing for bankruptcy, feel free to call the Law Offices of Schlissel DeCorpo. We’ve been helping our clients for more than 45 years deal with foreclosure defense and bankruptcy matters. We can be reached at 1-80–344-6431, 516-561-6645 or 718-350- 2802.

Falling Home Prices Wreaking Havoc on the Economy

Falling Home Prices WreakingEconomists in the United States are taking the position that falling home prices are a significant problem preventing the economic recovery in the United States. The devaluation of homes in the United States has cost Americans billions of dollars. The declining wealth of American homeowners has had a further negative impact on their confidence that the financial situation will improve in the future.

Richard Curtin, Professor of Economics at the University of Michigan, recently stated “people don’t expect their home to regain value, and that’s really lead to a change in consumer attitudes about the economy that we’ve just never seen before.”

Americans have a confidence problem in their future of their country. They no longer believe that the economy will necessarily improve and financial circumstances will get better. The average income of many American families has declined. The unemployment rate is still over 9%. The expectations for economic growth among Americans have fallen to one of the lowest levels in history.

The Decline of the Real Estate Market

Recent studies by economists have shown the decline in the real estate market affecting all aspects of consumer spending. It is estimated that Americans reduce their spending by $20-$70 a year for every $1,000 decline in the equity in their home. During times of appreciation in real estate, there was a “wealth effect.” The wealth effect made consumers feel that they had liquidity and, therefore, they spent more money. Often more than they actually had. The down side of the wealth effect is, as home values have declined, consumer confidence has declined and there has been a negative reduction in the wealth effect. In other words, consumers feel they’re getting poorer when their houses go down in value and are less inclined to spend money.

Economy Will Eventually Recover

The prevailing view among the economists is that even though things do not look good right now, the economy will eventually get better and Americans will start spending again. Hopefully, appreciating real estate prices will spearhead the economic recovery.

Foreclosure Lawyers

The foreclosure lawyers at the Law Offices of Schlissel DeCorpo can help you if you have a foreclosure problem. Our foreclosure defense lawyers litigate defective mortgages, defective foreclosure lawsuits, predatory lending and all other types of real estate related matters. We can explain the federal laws on foreclosure and how they affect you. We attend foreclosure court conferences for our clients.

In the appropriate situation, we will discuss foreclosure related bankruptcy issues, such as filing a Chapter 7 and a Chapter 13 bankruptcy with you. In bankruptcy situations, there is an automatic stay that goes into effect, ordered by the court, that stops foreclosure from moving forward. In some bankruptcy situations, we can eliminate second mortgages. At the end of the bankruptcy, we can assist you inre- establishing your credit. Feel free to set up a free consultation with us. We will discuss your foreclosure options with you.

Foreclosure Defense in Valley Stream, Lynbrook, Baldwin, Malverne, Freeport, Oceanside, Long Beach, Elmont, Lakeview, West Hempstead, Hempstead, Merrick and Bellmore, New York

We represent individuals throughout the New York Metropolitan area with divorce and child custody, personal injury, car accident, wrongful death, estate administration, nursing home and medicaid issues

The information you obtain at this website is not, nor is it intended to be, legal advice. You should consult an attorney for individual advice regarding your particular legal issue. This is attorney advertising.

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