Mortgage Issues
Home Affordable Foreclosure Alternatives Program (“HAFA”)
There may be some good news for people at risk for foreclosure. (Note, I said “may be”.) The Obama administration has created a program to speed up short sales, deeds-in-lieu transactions, and other loan modification options to help distressed homeowners. On November 30, 2009 the administration released the Home Affordable Foreclosure Alternatives Program, (“HAFA”) which [...]
Nightshirts, Bikinis, and Using a General Power of Attorney for Closing
You or your client has a document entitled “general durable power of attorney.” Will it be sufficient for the closing? First, let’s discuss exactly what a general durable power of attorney is and what it’s not. Powers of attorney are documents giving attorneys-in-fact or agents power to act on behalf of the principal. By [...]
Can’t Get No Satisfaction (Part Two)
In my last post, “Can’t Get No Satisfaction (Part One),” we examined the legal effect of an unsatisfied mortgage. This post will address one commonly used solution to an unsatisfied mortgage, as well as the penalties a lender faces under South Carolina law for failure to satisfy a mortgage once full payment has been made. [...]
But I Paid the Rent!: Protecting Tenants at Foreclosure Act of 2009
There is good news for any tenant facing eviction after foreclosure. The Protecting Tenants at Foreclosure Act of 2009, which became law on May 20, guarantees almost all tenants at least 90 days after receiving notice of foreclosure before they can be evicted from their homes. This applies even to month-to-month [...]
HUD Mortgagee Letter 2009-15 REINSTATED!!
Let the whiplash continue! You’ll recall that HUD Mortgagee Letter 2009-15 was issued earlier this month and then repealed. It’s now been reinstated. The policy allows the home buyer to use the $8,000 tax credit as collateral for a loan used for closing costs, pre-paids, and down payment. To secure repayment of the amount advanced, the buyer would [...]
Today, SC Supreme Court Issues New Order Regarding Foreclosure Cases Subject to Modification
The South Carolina Supreme Court issued an order today rescinding its May 4 Order, which stayed foreclosures where the mortgage was a Fannie Mae or Freddie Mac mortgage, or otherwise subject to modification under the HAMP (Home Affordable Modification Program). The Court’s order, reproduced below, establishes procedures for dealing with those foreclosure cases. For new filings [...]
HUD Mortgagee Letter 2009-15 REPEALED
I recently posted HUD’s mortgagee letter 2009-15. The letter was dated May 11, 2009. It stated that the $8,000 first-time home buyer credit (that’s, of course, not just for first-time home buyers) could be used as collateral allowing the buyer to borrow against the tax credit for the down payment. HUD has taken the letter off its [...]