Tennessee Bankruptcy May Help Homeowners Hit by Second Wave of Foreclosures


 

It looks like a recent drop in Tennessee foreclosures was just a brief calm before the storm, according to The Tennessean.

In 2011, approximately 11 percent of Nashville area home sales were related to foreclosures - a one-third decrease from the previous year. Now the number is expected to rise to as high as 15 percent.

Though it's still lower than the foreclosure rate at the peak of the mortgage bust, the prolonged downward pressure on prices is sure to have a negative effect on consumer confidence, which is an important factor in economic recovery.

Foreclosures were put on hold in recent months as banks were forced to sort through the mess they created by allowing forged and robo-signed documents. Lawyer office in Michigan. Now that the $26 billion mortgage settlement has been announced, lenders are getting back to business.

With 864 bank-owned properties in 2011, the Nashville metropolitan area already has one of the highest rates of mortgage defaults, auctions and bank-owned sales in the Southeast.

The worst-hit neighborhoods are newer communities built during the height of the housing bubble and sold to buyers taking out no-money-down mortgages. By late last year, nearly 15 percent of all properties in the region were underwater, meaning homeowners owed more on their mortgages than their homes are worth.

Many homeowners were given a false sense of hope as foreclosures slowed and homes began to appreciate very slowly. Now, it looks like it will be a little longer before equity can be regained.

Homeowners fortunate enough to be able to stay current on mortgage payments won't really suffer any consequences unless they sell their homes. Unfortunately, many folks can't afford to stay and make payments on expensive mortgages.

Many homeowners have found relief through Tennessee bankruptcy. Filing for Chapter 13 bankruptcy has the ability eliminate nagging credit card debt, freeing up more money for the mortgage. In some cases, mortgages and home equity loans can be eliminated completely.

Once the Tennessee foreclosure process has begun, it can go quickly, according to the Tennessean. But bankruptcy can work quickly, too. Our Tennessee bankruptcy attorneys have stopped foreclosures from occurring just hours before homes were scheduled to be sold at auction.

Комментарии

Отправить комментарий

Популярные сообщения из этого блога

To Repair Finances, Consumers Must Take Pragmatic Approach to Cutting Costs, Filing for Tennessee Bankruptcy

Изображение
 American consumers are traditionally pessimistic about the national economy. Yet when it comes to our own economies - our family finances - we can be optimistic to the point of default. From mounting credit card debt to missed mortgage payments, today's average consumer faces big financial troubles. But when it's time to fix our finances, we tend to take baby steps. We chalk the money problems up to a temporary issue, like those unexpected car repairs or that bigger-than-anticipated medical bill. Lawyer office in Michigan . We optimistically hope for a solution, such as that pay raise our boss mentioned last year. We might make a few budget tweaks here and there, but for the most part we continue spending as usual, using credit cards to cover the gap between income and expenses. Before long, our credit cards are maxed out, our house is on the verge of foreclosure, and that raise that we were holding out hope for never came through. Half-baked solutions produce half-baked
Далее...

Tennessee Bankruptcy Can Assist Mortgage Holders Not Helped By Bank Settlement

Изображение
  Federal and state governments have struck a historic $26 billion dollar settlement with banks accused of wrongfully handling foreclosures. Of the total, $146 million is earmarked for Tennessee, according to the Memphis Business Journal. The five big banks involved in the deal were part of a nationwide investigation of improper foreclosure practices in which mortgage servicers used robo-signed documents and other potentially incorrect information to unfairly throw people out of their homes. By hashing out the agreement, lenders were able to avoid criminal prosecution. Money resulting from the settlement is intended to help prevent more foreclosure problems, ease the current mortgage mess, and assist some of those who lost their houses. Unfortunately, Tennessee bankruptcy lawyers say it may not do much good for those who need it most. Most of the money is being distributed to help state and local government agencies better enforce fair lending practices. Lawyer office in Michiga
Далее...