What is a Zombie Foreclosure?

The hair on the back of my neck stood up last week when the representative from Greentree mortgage called to tell me that she informed my short sale client that they needed to be out of the house in two weeks? I asked what court system she represented and she got a bit huffy. There are about 175,000 homes nationwide where the lender bullied the owner out of the house before the full process occurred. While nobody advocates a free ride but in many cases these homes degrade and devalue the neighborhood even more when they sit vacant. In the video below I went to a house that was supposed to close in August of 2014. It is in a low lying area so now that the power is off the sump pump in the crawl space is not working. Certainly this can't be good for the banks asset or the neighborhood values. Enjoy the video