According to an article in New Jersey newspaper The Record , on January 12, 2012, written by staff writer Kathleen Lynn :
“Foreclosure activity plunged by 73 percent in New Jersey, and about a third nationwide, in 2011, as questions about legal documentation held up lenders’ efforts to take back the homes of borrowers in trouble, RealtyTrac said Wednesday.”
The reason for the decrease is not due to fewer people falling behind , she explains further:
New Jersey lenders have held off on foreclosures because they are awaiting a state Supreme Court decision on a case, U.S. Bank vs. Guillaume, that involves a foreclosure challenged by a homeowner who said the lender violated the state Fair Foreclosure Act because it didn’t properly identify itself.
“What happens if they take someone’s house, and it turns out they didn’t have the legal basis to do that?” asked Joshua Denbeaux, a Westwood lawyer who represents homeowners in foreclosure cases.
It’s not clear when a decision will come on the Guillaume case. Denbeaux predicted that once these issues are resolved, “there’s going to be an enormous onslaught of foreclosure filings.”
The entire article is available by clicking here.
Tagged with: bank • crisis • dismissal of foreclosure • foreclosure • foreclosure crisis • lenders • mortgage • New Jersey Foreclosure Lawyer • real estate
Filed under: Foreclosure • New Jersey Foreclosure Lawyer
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