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Nationwide Probe Begins as to Improper Foreclosures

According to several sources, home foreclosures have increased dramatically in the third quarter of 2010.  In July, August, and September, foreclosure filings increased to 930,437, while over 370,000 foreclosure auctions were scheduled.  These numbers reflect a 4% increase from the previous quarter.  This means one in every 139 homeowners received a foreclosure filing during the past three month period. 

In some states, such as Nevada, the numbers were even harsher, where one in every 29 Nevada homes received a foreclosure filing during the third quarter.  Upon review of other foreclosures across the country, California was worst, with 191,016, followed by Florida, Arizona, Illinois and Michigan.

Yesterday, October 13, 2010, 50 states, through their attorneys general, agreed to review improper foreclosures performed by the nation's largest mortgage and loan servicers.  Some experts predict a nationwide freeze on foreclosures may occur, which could assist homeowners across the country while the investigation continues.  The review will help determine whether significant shortcuts were taken by major lenders that couldhave jeopardized the accuracy of foreclosure proceedings.

It is unclear whether this new probe will slow the foreclosure process over the last quarter of 2010.  The organized review is targeting at least 6 of the major lenders, but could expand to more companies.  If this occurs, we could see a chilling effect on the housing market across the nation.

If you are facing a foreclosure, it is important to consult with an experienced Bankruptcy attorney to discuss your legal options.  To schedule a FREE legal consultation with the Law Office of Nicholas R. Westbrook, please call (713) 893-6204.  Mr. Westbrook is an experienced and motivated Houston Bankruptcy lawyer who will meet with you and explain the current landscape of home foreclosures, as well as the beneficial Chapter 13 Bankruptcy process.  You can stop letting debt ruin your life.

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