Foreclosures resulting in free homes for owners

Minnesota homeowners who are dealing with financial challenges severe enough to lead to a possibility of foreclosure may wonder about the legal implications. In some states, however, timing has proven to be helpful in keeping homes in spite of foreclosure proceedings. Delays have become a serious problem due to a large number of foreclosures in some areas. Additionally, changes to federal law have had an effect.

Although residents may face financial situations that make it difficult to make their mortgage payments, many seek options for making arrangements to catch up or to adjust the terms of their loans so that payments can be lowered. In the cases of those whose foreclosures cases drag on for lengthy periods of time, however, those long periods of nonpayment have worked to their advantage. Many are referencing state statutes of limitations that require foreclosure proceedings to be completed in a timely manner.

Statistically, the issue of statutes of limitations resulting in lenders losing the right to foreclose is not yet well-documented. However, statistics from some banks indicate that there are significant numbers of homes that are in the foreclosure process with no payments having been made within the statutory period. As lenders adapt to new regulations that dictate their need to provide additional options to borrowers, there may continue to be a challenge for those on both sides of the issue as resolutions to housing situations and financing are sought.

A homeowner who is struggling to keep up with mortgage payments might seek legal advice in attempting to negotiate a change in payment. Legal support may be helpful due to a lawyer's awareness of various programs available to assist those in such a situation.

No Comments

Leave a comment
Comment Information

Prescott Pearson & Tande, PA
443 Old Highway 8 Northwest, Suite 208
New Brighton, MN 55112

Toll Free: 888-366-0827
Phone: 651-968-8096
Fax: 651-633-7562
New Brighton Law Office Map