Florida Bankruptcy Lawyer Blog

Well, according to a recent ABA Journal article, it appears Fannie Mae is going to pursue deficiency judgments against borrowers who walk away from loan obligations without good reason.

A deficiency judgment is a judgment following a foreclosure sale for the difference between the property’s value at the time of the foreclosure sale and the balance owed on the loan obligation. Once the deficiency judgment is obtained, the creditor may be able to garnish wages, seize assets, and take any other action allowed by law. Apparently Fannie Mae will be instructing its servicers to recommend which homeowners should be pursued for deficiencies.

The first question I had when I read this article is what criteria will be used to determine whether a reason for the walk away was a “good reason.” It appears that the Fannie Mae’s goal is to stop people who have the ability and means to pay their mortgages from walking away merely because the property is no longer an economically appealing investment. But with the management of the loans I have seen by the servicers in my clients’ cases I have little doubt that implementation of this program will affect people not intended.

Continue reading "Fannie Mae Will Pursue Deficiency Judgments Against Homeowners" »

The Dellutri Law Group Website has recently been updated to add bankruptcy videos. These videos explain the bankruptcy process in detail. The videos are a good resource for individuals who have not researched bankruptcy and are unsure about what they may be getting themselves into. It only takes a few minutes to watch each video. But, each video will answer many of the general questions that many people have about bankruptcy and the bankruptcy process.

The videos are located in the media center, which can be found on the lower right side of the homepage.

Click Here to be linked to the bankruptcy videos.

It should be noted that the Dellutri Law Group, P.A. did not produce the videos, and any legal advice contained therein is hereby disclaimed.

Continue reading "Dellutri Law Group Adds Bankruptcy Videos To Website" »

As a foreclosure defense attorney in Sarasota, I am glad to say that Sarasota Circuit Court Judge Donna Padar Berlin recently issued an Order canceling a foreclosure sale in a mortgage foreclosure case. Sarasota is now, in my opinion, taking a firmer stance against abuse in the mortgage foreclosure system by the mortgage companies. This is an excellent step in the right direction.

Prior to the Court's March 6, 2009 Order canceling the March 30th sale date, the Court had issued a prior Order on February 6, 2009 which stated that the mortgage company could not set another sale date. Despite that Order, The sale date on the defendant's home had been set for March 30, 2009. The Sarasota Judge canceled the sale when she found out that the mortgage company represented to the homeowner that she could modify her mortgage and that the mortgage foreclosure lawsuit would be abandoned.

Kudos to Judge Donna Pader Berlin for putting a stop to a practice that is all too prevalent in today's economy.

Continue reading "Sarasota Judge Cancels Foreclosure Sale" »

The Obama Administration released it plan to help the housing market yesterday, better known in Lee County as Foreclosure Alley, and the News-press is reporting that the Obama Plan will help 34,000 southwest Florida homeowners. At the Dellutri Law Group, we disagree with this analysis. We believe that quite literally, Southwest Florida residents got the shaft. Our team of consumer attorneys is combing the bill to look for some glimmer of hope for the residents of Southwest Florida.

At this point in time, it appears that bankruptcy will still be the best option because the House of Representatives is still debating: Helping Families Save Their Homes in Bankruptcy Act 2009. Let's hope our elected officials don't over-think this one, and they allow our residents to modify their mortgages in the bankruptcy courts.

Continue reading "Bankruptcy Still Best Option for Lee County Residents" »

After reading the Sunday papers, I was thinking about excess inventory. At the same time I was watching a news show. I know, a real bad mix to start with. I began wondering how much our Government tells us, and what they hide from us. I started to wonder if the banks are doing the same thing again, to provide false hope of an economic recovery any time soon.

If you read the papers or watch the news in Southwest Florida, all you hear about these days is the number of homes in foreclosure. If you read the weekend newspapers, you hear about how things will be better when the inventory of homes on the market dwindles and buyers start to pick up. Well, I have one question: How does the foreclosure rate and modification rate factor into the inventory rate.

Continue reading "Foreclosures, Modifications and Excess Inventory" »

As a Board Certified Consumer Bankruptcy Attorney who also defends mortgage foreclosure cases for consumers, I was asked whether the proposed 2009 Amendments to the Bankruptcy Code, Helping Families Save Their Homes In Bankruptcy Act, will prevent foreclosures or cause more foreclosures and then will it prevent bankruptcy filings or cause more bankruptcy filings?

Continue reading "Will the 2009 Bankruptcy Law, If Passed, Lessen Foreclosures" »

Carmen Dellutri's recent article titled: Helping Families Save Their Homes In Bankruptcy Act is the featured article on the Bankruptcy Law Network.

Continue reading "Featured Article on Bankruptcy Law Network" »

Yesterday, I wrote a blog for the Bankruptcy Law Network about the new legislation, which, if passed, will allow homeowners to cram-down their mortgages to the value of their house. Here is a link to a summary of the bill.

If passed into law, this bill could radically transform the landscape of Southwest Florida. More homeowners will remain in their homes, and that stability will help the residents of Southwest Florida survive this recession.

Continue reading "Helping Families Save Their Homes In Bankruptcy Act" »

Recently, Carmen Dellutri's Article: Why Are Mortgage Modifications Still Not Working? was selected to be the feature article on the Mortgage Law Network.

Continue reading "Featured Article on Mortgage Law Network" »

Yesterday, Democratic Presidential Candidate, Senator Barack Obama called for a ninety (90) day moratorium on foreclosures. In my opinion, this is simply more rhetoric from a candidate fishing for votes. He is playing to the media, so they will report to Main Street. Don't get me wrong, I'm not an Obama hater, I just don't like being played by anyone. If you say you are going to do something, then you better be able to do it, or give it one hell of a shot. Don't just say things for the sake of saying them. That ticks me off, and between Senator Obama and Senator McCain, I've been ticked off quite a bit lately.

Continue reading "Senator Obama Calls For Foreclosure Moratorium" »

Recently, I wrote a blog entitled What is LIBOR? for Mortgage Law Network. It would be a good time to review that article now because LIBOR is going through the roof. Simply put, LIBOR is the London interbank offered rate. What? Good Question. It is the average rate that banks in and around London lend money to one another. Another Good Questions is: Why are we talking about LIBOR?

Continue reading "LIBOR Rises 157 Basis Points To 3.94 percent" »

Ladies and Gentlemen:

Changes are coming to the Florida Bankruptcy Lawyer Blog whether you like it or not. It's time to kick the tires and light the fires and slap a new coat of paint on this puppy. We also might throw in some cool features like a new website and a new look for the Florida Injury and Accident Lawyer Blog as well.

So, keep your eyes peeled, and watch out for the new stuff. It may just hit you right between the eyes.

Continue reading "Changes, They Are A Coming" »

As a Board Certified Consumer Bankruptcy Attorney, I see Bankruptcy clients all week long. This week, I saw a potential client who was convinced that her foreclosure was going to continue if she filed for bankruptcy protection. Since she had never filed for bankruptcy protection before, there is no limitation on the automatic stay provisions. The automatic stay is an injunction that goes into place immediately to prevent a creditor from taking any action to collect on a debt. That includes continuing the foreclosure process.

Continue reading "Bankruptcy Stops Foreclosure!" »

As a Bankruptcy Attorney, we are seeing more and more bankruptcy clients with foreclosure problems. According to a recent News-Press article, Lee County, Florida saw 2,467 foreclosures filed in July. We are able to strip off quite a few second mortgages in the Bankruptcy Court, but in some cases it doesn't even make sense to strip off the second mortgage because the client is still so far upside down on the first mortgage. We are in a constant state of flux in Lee County. It is very difficult to counsel clients on what to expect in this market or even to predict how long their foreclosure will take.

Continue reading "July's Foreclosures Hit New High In Lee County" »

As a resident of Southwest Florida, I want to see the foreclosures stop. As a consumer bankruptcy attorney with offices in Port Charlotte, Fort Myers and Naples, I can honestly state, that the residents of Southwest Florida have been hit harder by the local economy than by any hurricane. We have had more than our fair share, enough is enough. We have had enough negative press all over the nation, and we don't need any more bad news. We know that Lee County has one of the largest foreclosure rates per capita. We need good news. We need to hear that our federal government is going to help people save their homes, even if they don't mean it. We need to hear that our state government is going to do something, suing Countrywide is a start, but is suing Countrywide and Angelo Mozilo going to save anyone's homes. I don't think so.

Continue reading "Lee County's Foreclosure Rates Are Among the Highest In The Nation" »

The month of May has changed the way I think about politics. I used to be upset that nothing was being done to help the people living in Southwest Florida, now I am just ticked off. Foreclosure filings were up 48% over May of last year. This statistic proves several things: First nothing is being done on the Federal level to help the people of Southwest Florida keep their homes. Second, nothing is being done on the State level to help residents keep their homes. Third, where are the results that the mortgage companies promised when they argued not to change the bankruptcy laws. Where is Hope Now, President Bush's coalition of mortgage companies dedicated to helping people save their homes.

Continue reading "May 2008 Sees Foreclosures Surge 48%" »

Living in Southwest Florida is never dull. Now, despite having beautiful weather and beaches, we are dealing with real economic issues which will determine the future paths taken by resident and business owners in Southwest Florida. Many business owners are closing their doors because of cash flow. Residents are feeling the pinch at the pump and in the grocery stores. Many people are opting to stay at home for dinner, rather than drive and then pay for that luxury. Of course, it is not that bad yet, but I can see it coming on the horizon. When people cannot afford to fill up their gas tanks, how are they going to go out and eat. Naturally, the next logical question is: How can they pay mortgage payments on a home if they cannot afford to fill up their tanks.

Continue reading "Mortgage Modifications Are Still Not Working." »

Recently, an article was published by John Leland in the New York Times, American Album series about a local gentleman named B. Keith Councell, a fourth generation bee keeper. I applaud the writer, Mr. Leland, who submitted an excellent article on Mr. Councell, and his calling as the Southwest Florida Bee-man; however, there is also a subliminal message that is very troubling for those of us who live in Southwest Florida. The subliminal message is very simple, foreclosures are a huge problem for our community and that problem has to be dealt with now.

Continue reading "Are Bees Capitalizing On The Foreclosure Market?" »

The best business in 2007 was the foreclosure business. Foreclosures were up 75% last year nationwide. Nationwide, at least 1% of all households were in some type of foreclosure. According to the 2007 United States Foreclosure Market Report, there were 2,203,295 mortgage foreclosures filed in the United States. Foreclosure mills (law firms that process foreclosures) and their attorneys were working overtime trying to keep up with the demand. Not many other businesses can say that their business was up 75% over the year before.

Continue reading "Nationwide Foreclosures Soar - 765 a day in Florida" »

This post is published by Carmen Dellutri, Esq. Board Certified Consumer Bankruptcy Attorney.

You may recall that bankruptcy filings surged in 2005 prior to the bankruptcy laws being changed. As expected, 2006 was a relatively slow year in the bankruptcy world when it came to new filings; however, each and every bankruptcy attorney truly committed to his or her practice knew what was going to happen in the future.

Continue reading "Bankruptcy Filings Surged in 2007 And Will Continue in 2008 by Bankruptcy Attorney Carmen Dellutri" »

According to a recent report by Foreclosure.com, Florida is at the top of the statistical ladder when it comes to foreclosure cases for the month of November. Obviously, this is not good news for the people of Southwest Florida. Unless you have been living under a rock for the past year, the economy down here is terrible, and it seems to be getting worse on a daily basis. I know the word recession is an unpopular term in the mainstream media, but I think we are in a recession and very close to a depression.

Continue reading "Bankruptcy And Florida: Foreclosures are Thru the Roof" »