Archives for February 2013

Is Now The Right Time To Buy A House?

foreclosure defense attorney on long islandThe real estate market in the United States has been in the doldrums for many years now. There was a point in time where families in the metropolitan New York Area assumed real estate would go up forever. By now they have learned this is not true. What went up, has come down! So are we at the bottom of a market cycle? If we are at the bottom of a market cycle, is now the right time to buy a house?

Long Term Investments

Purchasing a house is a long term investment. Most families purchase a home with the hope that over time it will appreciate in value. Most real estate experts recommend, if you purchase a home, you should consider owning it for a period of at least ten years. If ten years is too long a period for you to be saddled with a real estate investment, maybe the best route for you to take is to rent.

Can You Afford The House?

If you start looking for a home with real estate brokers, there is a tendency for the brokers to show you what they would consider your “dream house”. Unfortunately, dream houses are expensive. How much can you spend on a first home? Should you buy a starter house with the hope it will appreciate in value and you will trade up down the road? Be aware, there are numerous transaction expenses related to obtaining a mortgage and closing on the purchase of a home.

When To Buy The House

Most pundits recommend buying your first home when you are settled in your life. What does that mean? To begin with you should be finished with school and have a good job. Hopefully a stable job!

Before you buy your first home, sit down and figure out what all of your expenses are and how much you can afford for mortgage, taxes, utilities, maintenance of the house, upgrades, food and all your other living expenses. Good luck! It tends to usually be more expensive then you would assume.

About The Author

assistance for homeownersElliot Schlissel, Esq. has been dealing with residential real estate related matters for more than three decades. His law firm is involved in handling all types of foreclosure defense related cases throughout the Metropolitan New York area.

Foreclosure Dismissed: Bank Didn’t Have Standing To Sue

foreclosure defense attorney on long islandJustice Laura Jacobson, sitting in the Foreclosure Supreme Court Part in Kings County (Brooklyn), recently dismissed a foreclosure lawsuit because the financial institution that brought the lawsuit did not have standing to sue. Saxon Mortgage Services brought a foreclosure action against the homeowner. Saxon did not own the note. The note had been sold to Morgan Stanley in 2007. Morgan Stanley entered into an agreement with Saxon Mortgages Services to have them handle the servicing of the note. However the defendant (the homeowner) never received notification of the transaction between Saxon and Morgan Stanley. At the time the lawsuit was initiated Saxon it was not the owner of the note and mortgage. Their position was they were bringing the action as a servicing agent for Morgan Stanley.

Judge Jacobson in her decision stated, “the summons and complaint in foreclosure did not provided the basis for which Saxon brought the foreclosure proceeding. Saxon in its pleadings did not properly set forth its status as a processing agent.” The homeowner did not know who the principal and owner of the note was during the entire course of the proceeding. As a result, Justice Jacobson granted an application by the defendant to have the foreclosure action dismissed do to Saxon’s lack of standing.

Standing To Sue

If your home is being foreclosed on by an institution that was not the original institution who made the loan, you should consult with our Law Office as to whether they have standing to sue! If they don’t have standing to bring the foreclosure lawsuit, we can have the case dismissed.helping homeowners stay in their homes

New Rules Protect Homeowners From Foreclosure

foreclosure assistance for homeownersThe Consumer Financial Protection Bureau, on January 17, 2012, established new protective procedures related to homeowners whose homes are going into foreclosure. These new rules further regulate the conduct of mortgage servicing organizations.

The purpose of the new rules, according to Richard Corday, the director of the Consumer Financial Protection Bureau, are to ensure a fair treatment for all borrowers. In addition, these rules intend to establish further protection for those individuals trying to save their homes. The intent of these new regulations is to only allow mortgages to be made to prospective homeowners who have the capability of a repaying these loans.

Missing Mortgage Payments

If the homeowner misses two consecutive mortgage payments, going forward, the mortgage servicing organization will have to provided the homeowner with information about alternatives to foreclosure

Loan Modifications

If the homeowner submits a loan modification the financial institution will no longer be able to initiate a foreclosure proceeding until all aspects of the processing of the mortgage modification are completed. Banks will no longer be able to bring foreclosure proceedings unless the loan is a more than four months behind.

Even in the event a home is scheduled to be sold in foreclosure, the homeowner can still submit a mortgage modification application as long as it is 37 days prior to the sale of the home. This will also force the foreclosing financial institution to stop the foreclosure sale from going forward until the mortgage modification is fully processed and it is dealt with. It should be noted, customer service processing organizations that service less than 5000 mortgages are exempt from some of the new rules.assisting homeowners

No Accountability In The Foreclosure Crisis

foreclosure defense lawyer in New YorkThere has been a recent settlement for $8.5 billion between 10 banks and Federal regulators. The settlement relates to fraudulent practices the banks were involved in regarding the foreclosure crisis that exists in the United States.

Holding Banks Accountable

Banks, to maximize their profitability, use many shortcuts. Robosigners, who knew nothing about the documents they were signing, signed hundreds of foreclosure authorizations.

Of the $8.5 billion the banks are coughing up, $3.3 billion will go towards people’s homes who are being foreclosed on. This will amount to approximately $1,100 for each foreclosed home. Individuals who were improperly denied mortgage modifications could receive as much as $50,000.

Who Will Receive These Funds

Who will receive these funds is the big question. There is no procedure for indemnifying the individuals and families who were damaged when they lost their homes. The families whose lives have been ruined may never receive any portion of this settlement.

So what does this settlement really accomplish for the Obama administration? A public relations gesture to try and convince the public he is actually doing something to deal with the crisis. The reality is the individuals who made millions of dollars scamming homeowners are keeping their illegal gains and suffer no prosecution.

Foreclosure Defense Lawyers

homeowner advocates on long islandThe Law Offices of Schlissel DeCorpo is one of the largest foreclosure defense firms on the East Coast of the United States representing individuals concerning fraudulent mortgages, mortgage modifications and helping keep families in their homes.

Reverse Mortgages: Should Seniors Take Them Out?

mortgage and foreclosure  lawyersattorneyHere’s how reverse mortgages work. You receive a loan from a financial institution. The loan starts accruing interest when you receive it. However, you don’t make any payments on your loan during your life. At the time of your death your house is sold and the bank is paid back the money due to it and the balance goes to your heirs.

In some situations, reverse mortgages are an excellent option for a senior to maintain his or her living standards where cash flow is insufficient to pay for these basic expenses. This also allows seniors to stay in their homes when they do not have sufficient savings or income to cover their expenses.

Should You Take Out A Reverse Mortgage?

If you are considering taking out a reverse mortgage, you should try to utilize the funds from the reverse mortgage for as long a period of time as possible. If you are in your sixties and you have a life expectancy of 25 or more a years, you may be too young to take out a reverse mortgage. By this I mean, you may take the money out, spend it and still be in the same situation 5 or 10 years later. However, at the later point in time you would not have a nest egg to fall back on. It should be noted the longer the reverse mortgage is in effect the more the interest compounds and the more you will owe.

Higher Interest Rates on Reverse Mortgages

The interest rates on reverse mortgages are higher than those of a conventional mortgage. In addition, there are upfront mortgage insurance expenses, origination fees and closing costs. You should review with a financial adviser or an elder care attorney your financial circumstances and whether taking a reverse mortgage is appropriate in your personal circumstances.

Conventional mortgages

If you have a reasonable cash flow you may be entitled to a conventional mortgage. A conventional mortgage is less expensive to take out, there are less closing costs and the interest rates are lower.

About the Author

foreclosure advocate for homeownersElliot S. Schlissel is a member of the National Academy of Elder Law Attorneys. He represents seniors with regard to drafting wills, trusts, Medicaid planning as well as issues involving powers of attorney and health care proxies.

Home Prices Increasing

real estate and mortgage modification attorneysHome prices are slowly increasing throughout the United States. The price of homes sold in October of 2012 was 4.3% higher than homes sold in October of 2011. This is the largest year over year increase in more than 30 months. Although in most major American cities the price of homes increased during the 12 month period from October 2011 to October 2012, this did not apply to New York. Unfortunately, home prices have decreased in the past 12 months in the State of New York.

Housing Recovery

There is a housing recovery taking place in most of the country. Unfortunately this recovery is not taking place in New York. It is still too early to look at the data concerning the impact of Hurricanes Sandy on the housing market in New York. Although many New Yorkers lost their homes or their homes were badly damaged during Hurricane Sandy, it is too early to reach a conclusion on how this will impact on the New York housing market.

Fiscal Cliff and Home Prices

It is expected home prices will continue to increase slowly throughout the country if Congress and the President solve the issues regarding the fiscal cliff crisis. When home prices rise, potential purchasers have been sitting on the sidelines start to think to themselves, “well, should I get back into the real estate marketplace now?” Potential buyers are always looking for the lowest possible price.

Mortgage rates in the 3% range are very attractive to potential home purchasers. The construction of new homes continues to expand in the United States. The confidence of home builders rose in December 2012 for the 7th straight month. The confidence level of home builders is at the highest level it has been in 6 ½ years.

About the Author

assistance for homeownersElliot S. Schlissel, Esq. and his team of dedicated attorneys represent individuals with regard to foreclosure problems, mortgage modifications and all types of real estate issues.

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

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