I keep reading comments on all the blogs about how this ruling will NEVER stand-up!
Here's the quick and dirty: Couple buys house, couple falls into financial hardship, couple late on payments, lender starts foreclosure on house, couple says "wait lets work it out", state says lender to conference with owners, lender refuses to conference 'nicely' with couple, judge gets angry, lender loses, couple awarded home free and clear!
Whether it holds up or not the judge sent a strong message to every one in the industry. Whether you agree with me or not....I say; IT'S ABOUT TIME!
Sure it's "just" a ruling, but It's also amazing the number of many home owners are in similar situations that have fallen behind in their payments because of an actual hardship, and when they've extended all possible means at keeping current on their payments the look at other alternatives to work something out; loan modification, short sale approval with the lender but it seems more often than not they are treated like deadbeats from the mortgage resolution debt collection department. I have experienced a taste of this from calling lenders for updates on active short payoff listings that I am working with the sellers -
I AM THE ONE TREATED AS IF I AM THE REASON FOR THE SELLER's CURRENT SITUATION, AND "OH.....WHEN AM "I" GOING TO PAY UP AND MAKE THE SELLER CURRENT!" AND "BY THE WAY, I BETTER TELL MY SELLER'S THAT IF THEY DON'T PAY UP SOON THEY RISK LOOSING THEIR HOME TO FORECLOSURE!?!?!?"
First off, I'm not the heavy here, why does it always have to feel so confrontational?. Second, I am ALWAYS pleasant on the phone when calling on behalf of my client (start to finish believe it or not), and LASTLY....Don't you think my clients are aware of their impending 'DOOM' and that they may be foreclosed on if they don't pay their mortgage!
I mean really, most people losing their homes are humiliated enough but they don't need this 'extra' humiliating treatment from the lender. However, if the state requires the lender to sit down at the table with the home owner for a mandatory conference and the lender refuses....then whether it is called a ruling, sanction, penalty, whatever...good for the home owners in this case!
Will similar rulings fall on the backs of tax payers? Really? What hasn't fallen on the backs of taxpayers? Maybe this will become the 'home-game' version of the consumer BAILOUT that the big companies have already received on the backs of taxpayers! May not be the right answer and this could become a very costly affair....but at the same time, somewhere deep inside I have to say good for the home owner's....good for them!
What do YOU think?
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