Monday, December 29, 2008
Tuesday, December 23, 2008
Fannie Mae to End Tenant Evictions in Foreclosures
The following is an excerpt from an article written by Kelly Evans on the Wall Street Journal Website. The entire article can be found at: http://online.wsj.com/article/SB122929716434005201.html.
"Fannie Mae is finalizing a national policy that will allow tenants to remain in their homes even if their landlord goes into foreclosure -- a landmark decision for tenants.
The policy will be in effect Jan. 9, Fannie Mae said Sunday, and reflects growing pressure on the mortgage company from a legal-aid group that threatened to sue over recent evictions. The company said it will also ensure its current holiday moratorium on new evictions is being followed until the new policy takes effect...
Freddie Mac hasn't announced a similar policy reversal, though a spokesperson said they are "currently evaluating additional actions."
The decision by the government-backed mortgage giants represents just a slice of the market and excludes many properties purchased with riskier loans that are now falling into foreclosure. Fannie Mae and Freddie Mac, however, are uniquely structured to be able to address the issue, which effectively now has them acting as a type of landlord or property-management company to administer month-to-month leases to renters of their foreclosed properties."
To read this entire article, go to: http://online.wsj.com/article/SB122929716434005201.html.
"Fannie Mae is finalizing a national policy that will allow tenants to remain in their homes even if their landlord goes into foreclosure -- a landmark decision for tenants.
The policy will be in effect Jan. 9, Fannie Mae said Sunday, and reflects growing pressure on the mortgage company from a legal-aid group that threatened to sue over recent evictions. The company said it will also ensure its current holiday moratorium on new evictions is being followed until the new policy takes effect...
Freddie Mac hasn't announced a similar policy reversal, though a spokesperson said they are "currently evaluating additional actions."
The decision by the government-backed mortgage giants represents just a slice of the market and excludes many properties purchased with riskier loans that are now falling into foreclosure. Fannie Mae and Freddie Mac, however, are uniquely structured to be able to address the issue, which effectively now has them acting as a type of landlord or property-management company to administer month-to-month leases to renters of their foreclosed properties."
To read this entire article, go to: http://online.wsj.com/article/SB122929716434005201.html.
Wednesday, December 17, 2008
Join the social network for tenants in crisis due to landlord foreclosure. Participate in blogs, forums and discussions for people in the same position you are in. Find links to informative articles that provide resources for foreclosure tenants and their needs. This network is 100% FREE... and there is NO spamming involved, ever!
Over 85,000 homes were foreclosed on in 2007. Many of those homes were rental properties. A new bill, "AB2586," requires the banks to notify tenants of foreclosure proceedings. It will also require utility companies to notify of pending disconnections. View this video for more details.
Want access to more information like this?
Join the informative network for tenants whose landlords are in foreclosure. Get access to blogs, forums, FAQ's and other resources at www.stopit.ning.com.
Tuesday, December 16, 2008
Tenants evicted, homeowner did not pay up!!!
Three families are evicted after the homeowner has not paid the mortgage.
Cash for Keys Offers
The following are excerpts from What is Cash for Keys? on Wisegeek.com located at: http://www.wisegeek.com/what-is-cash-for-keys.htm.
"The advantage of cash for keys from the point of view of the bank is that it gets people out of the house quickly, and the house is often left in better condition than it would be in the event that an eviction was needed. However, it is important for people to be aware that a cash for keys offer is a last resort, because once the paperwork is signed, you typically have no recourse...
Without voluntary surrender of the keys to a home, banks face a lengthy eviction process. Running an eviction is expensive, and time consuming, because while eviction notices are served and the eviction is finally enforced, the house is simply sitting there, and the bank cannot put it on the market. By getting a so-called “broom clean” house in exchange for a small cash settlement, the bank can quickly turn it around; most banks do not like to hold on to a real estate inventory, so they welcome the opportunity to sell off their foreclosed properties.
In addition to helping banks cover their losses quickly, cash for keys can also prevent damage to the house. In some cases, people who are evicted feel resentful and angry, and they may stop maintaining the house or actively damage it out of spite. As a result, a bank might need to invest in some basic repairs to make a house salable before putting it on the market, and this eats up more time and money."
To read this entire article and join in on the discussion, go to: http://www.wisegeek.com/what-is-cash-for-keys.htm.
Basically, in my non-expert opinion, "Cash for Keys" really only benefits the banks, because they want the property empty and clean so that they can put it on the market. Unless you've already found another place and already have a move-in date, this may not be a good offer for you and your family.
"The advantage of cash for keys from the point of view of the bank is that it gets people out of the house quickly, and the house is often left in better condition than it would be in the event that an eviction was needed. However, it is important for people to be aware that a cash for keys offer is a last resort, because once the paperwork is signed, you typically have no recourse...
Without voluntary surrender of the keys to a home, banks face a lengthy eviction process. Running an eviction is expensive, and time consuming, because while eviction notices are served and the eviction is finally enforced, the house is simply sitting there, and the bank cannot put it on the market. By getting a so-called “broom clean” house in exchange for a small cash settlement, the bank can quickly turn it around; most banks do not like to hold on to a real estate inventory, so they welcome the opportunity to sell off their foreclosed properties.
In addition to helping banks cover their losses quickly, cash for keys can also prevent damage to the house. In some cases, people who are evicted feel resentful and angry, and they may stop maintaining the house or actively damage it out of spite. As a result, a bank might need to invest in some basic repairs to make a house salable before putting it on the market, and this eats up more time and money."
To read this entire article and join in on the discussion, go to: http://www.wisegeek.com/what-is-cash-for-keys.htm.
Basically, in my non-expert opinion, "Cash for Keys" really only benefits the banks, because they want the property empty and clean so that they can put it on the market. Unless you've already found another place and already have a move-in date, this may not be a good offer for you and your family.
Monday, December 1, 2008
Get a free eBook: The Eviction Process
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Register for my newsletter and get valuable information about your eviction. I will only send you emails relevant to evictions, the eviction process and how to stop evictions. I will not share your information with anyone or any entity. That's a promise!
You will be directed to PayPal to complete your download. Feel free to make a donation, but it's not mandatory. Just change the price to change the donation amount.
Once your registration is complete, you will get immediate access to your FREE eBook download, "The Eviction Process." Enjoy your FREE eBook!
Click here to download your free eBook at
www.tenantevictionhelp.com.
Visit my website at:
www.tenantevictionhelp.com/FreeeBook.aspx
for more information.
Join the social network for tenants in crisis due to landlord foreclosure. Participate in blogs, forums and discussions for people in the same position you are in. Find links to informative articles that provide resources for foreclosure tenants and their needs. This network is 100% FREE... and there is NO spamming involved.
Click below to join The Eviction Help Network on Ning.
Click here to join: www.stopit.ning.com.
www.tenantevictionhelp.com
*************************************************************
Register for my newsletter and get valuable information about your eviction. I will only send you emails relevant to evictions, the eviction process and how to stop evictions. I will not share your information with anyone or any entity. That's a promise!
You will be directed to PayPal to complete your download. Feel free to make a donation, but it's not mandatory. Just change the price to change the donation amount.
Once your registration is complete, you will get immediate access to your FREE eBook download, "The Eviction Process." Enjoy your FREE eBook!
www.tenantevictionhelp.com.
www.tenantevictionhelp.com/FreeeBook.aspx
for more information.
Join the social network for tenants in crisis due to landlord foreclosure. Participate in blogs, forums and discussions for people in the same position you are in. Find links to informative articles that provide resources for foreclosure tenants and their needs. This network is 100% FREE... and there is NO spamming involved.
Click here to join: www.stopit.ning.com.
www.tenantevictionhelp.com
How to Stop Foreclosure Related Tenant Evictions
Visit www.TenantEvictionHelp.com for information on stopping your eviction fast.
Foreclosure Tenants and Their Utility Rights
Like most tenants whose landlords are in foreclosure or have foreclosed, my utilities were in jeopardy. My landlord had our water shut-off. Because of this, the electricity was also disconnected because the California law states that a property cannot have electricity if there is no water service. This left my family in a major bind.
I made the choice to call the police. The landlord was arrested because the foreclosure was not complete, meaning he was still responsible for providing us with water service. California law states that landlords are not allowed to disconnect utilities for any reason. whatsoever. In my case, I had been paying ALL of the utilities the entire time I'd been living in the property. So, he had no excuse. My landlord being arrested did not solve my problem. He just bailed out and disappeared.
I ended up having to call the Health Department to report the matter to them. At first, there was nothing they could do because the property was still in the landlord's name, and their was a very large balance due that I couldn't afford to pay. Once the foreclosure was complete, they were able to go after the real estate agent who was hired by the bank to manage the property. When he finally faxed the deed to the water department to show that the bank was now the owner, I was finally able to have the utilities put in my own name. This took about a month.
Since then, a new bill (AB 2586) has been passed in legislation to help tenants in this situation. The following is an excerpt from an article on the Realty Times website. The entire article can be found at:http://realtytimes.com/rtpages/20080828_protect.htm .
AB 2586 extensively addresses the matter of utilities. This is an issue in situations where the cost of one or more utilities has been included in the rent and payment of the utility bills has been the responsibility of the landlord. When a landlord loses a rental property in foreclosure he or she is likely to have let the utility bills go unpaid. Even if that is not the case, it is equally possible that the new owner won't be paying them. The potential result is that the tenant will have the utility service discontinued, often without ever having received a notice.
AB 2586 requires that in such a situation the utility must provide at least 15 days notice to the resident(s) that the service is scheduled to be terminated. The notice must be posted as well as mailed to "Any Person Renting Property At ____". It must contain a statement on the outside of the envelope in large print saying, "Utility service to this address may be cut off soon." The notice shall then inform the residents that they have the right to have the service put in their names, without being required to pay any delinquent amount that is currently due. The notice and the statement on the envelope must be in English, Spanish, Chinese, Tagalog, Vietnamese, and Korean (California's major spoken languages).
I made the choice to call the police. The landlord was arrested because the foreclosure was not complete, meaning he was still responsible for providing us with water service. California law states that landlords are not allowed to disconnect utilities for any reason. whatsoever. In my case, I had been paying ALL of the utilities the entire time I'd been living in the property. So, he had no excuse. My landlord being arrested did not solve my problem. He just bailed out and disappeared.
I ended up having to call the Health Department to report the matter to them. At first, there was nothing they could do because the property was still in the landlord's name, and their was a very large balance due that I couldn't afford to pay. Once the foreclosure was complete, they were able to go after the real estate agent who was hired by the bank to manage the property. When he finally faxed the deed to the water department to show that the bank was now the owner, I was finally able to have the utilities put in my own name. This took about a month.
Since then, a new bill (AB 2586) has been passed in legislation to help tenants in this situation. The following is an excerpt from an article on the Realty Times website. The entire article can be found at:
AB 2586 extensively addresses the matter of utilities. This is an issue in situations where the cost of one or more utilities has been included in the rent and payment of the utility bills has been the responsibility of the landlord. When a landlord loses a rental property in foreclosure he or she is likely to have let the utility bills go unpaid. Even if that is not the case, it is equally possible that the new owner won't be paying them. The potential result is that the tenant will have the utility service discontinued, often without ever having received a notice.
AB 2586 requires that in such a situation the utility must provide at least 15 days notice to the resident(s) that the service is scheduled to be terminated. The notice must be posted as well as mailed to "Any Person Renting Property At ____". It must contain a statement on the outside of the envelope in large print saying, "Utility service to this address may be cut off soon." The notice shall then inform the residents that they have the right to have the service put in their names, without being required to pay any delinquent amount that is currently due. The notice and the statement on the envelope must be in English, Spanish, Chinese, Tagalog, Vietnamese, and Korean (California's major spoken languages).
How can I defend myself if I'm named as a defendant in the paperwork?
The following is information from: http://www.larcc.org.
How can I defend myself?
Only in very rare cases does a tenant have any defenses in a foreclosure. But, there are things you can do that may help.
* If you are physically disabled, blind or elderly (62 years or older), or if your spouse, brother, sister, parent or grandparent is elderly and permanently lives with you, AND
o you live in a building with 5 or more units OR
o you live in a mobile home,
...you may have a defense. Contact an attorney right away.
* If you have a Section 8 voucher or you live in subsidized housing, you may have a defense. Contact an attorney right away.
* Usually, the best thing to do once you are a defendant is to contact the attorney for the bank. Try to negotiate either to stay on as a tenant after the foreclosure or to get as much time as you can before you must move.
* If you have filed an appearance, you should get a notice of everything that is happening with the foreclosure. If you don’t receive a notice of the hearing date, you can call the court clerk’s office to get the date. At the court hearing where the judge sets the law date or sale date, you may also show up and ask the judge for extra time to find a place to move.
You can explain to the judge your unique or special circumstances. For example, you have children and would like to have them complete the school year in the school they attend; you or someone in your family is very ill and needs more time to find a new apartment. It is up to the judge to give you more time to move.
* If you receive state welfare, you may be eligible for emergency housing benefits. To get emergency housing benefits, a judgment must have been entered in the case, and the law date or final sale of the property must have passed. If you filed your appearance, you will get notice in the mail of the date of judgment and the law date or sale date. Take this notice to your worker to arrange for emergency housing benefits. Remember, you may get emergency housing benefits only after the law date or sale date.
How can I defend myself?
Only in very rare cases does a tenant have any defenses in a foreclosure. But, there are things you can do that may help.
* If you are physically disabled, blind or elderly (62 years or older), or if your spouse, brother, sister, parent or grandparent is elderly and permanently lives with you, AND
o you live in a building with 5 or more units OR
o you live in a mobile home,
...you may have a defense. Contact an attorney right away.
* If you have a Section 8 voucher or you live in subsidized housing, you may have a defense. Contact an attorney right away.
* Usually, the best thing to do once you are a defendant is to contact the attorney for the bank. Try to negotiate either to stay on as a tenant after the foreclosure or to get as much time as you can before you must move.
* If you have filed an appearance, you should get a notice of everything that is happening with the foreclosure. If you don’t receive a notice of the hearing date, you can call the court clerk’s office to get the date. At the court hearing where the judge sets the law date or sale date, you may also show up and ask the judge for extra time to find a place to move.
You can explain to the judge your unique or special circumstances. For example, you have children and would like to have them complete the school year in the school they attend; you or someone in your family is very ill and needs more time to find a new apartment. It is up to the judge to give you more time to move.
* If you receive state welfare, you may be eligible for emergency housing benefits. To get emergency housing benefits, a judgment must have been entered in the case, and the law date or final sale of the property must have passed. If you filed your appearance, you will get notice in the mail of the date of judgment and the law date or sale date. Take this notice to your worker to arrange for emergency housing benefits. Remember, you may get emergency housing benefits only after the law date or sale date.
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