What Everyone Should Understand About Foreclosures

by Alex Stenback on January 10, 2011

Christopher Whalen at Reuters more eloquently makes a point we’ve been hammering on around here for a while when it comes to foreclosure defense:

“Thus when that young activist lawyer is telling you and yours to fight a foreclosure — this even though you have not paid the mortgage in more than six months — it is time to start looking for a new place to live.   The fact is that despite all of the bad press, MERS (done correctly) eventually wins in most foreclosure hearings that are contested.  This is not reason for joy in terms of the human suffering involved in the loss of a home.  But the sad fact is that the family that is not paying the mortgage probably is unable to pay property taxes either.
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But the most important thing for all consumers to understand is that when a mortgage is in default, the fact that the title records at the court house are in disarray does not void the mortgage note nor does it change the fact that the loan is bad.  Foreclosure is a tragedy for one family, but an opportunity for another and the means by which communities and financial institutions defend their tax base and financial health.  This process of liquidation and sale is why the U.S. will recover from the housing mess.”

Everything That Americans Should Ask About Home Mortgages  [Reuters]

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