Representing Businesses and Individuals in Chicago and Northern Illinois

Strategies For Preventing A Foreclosure

At Whiteman Law, we work to help our clients pursue the best possible approach for handling problems with their home mortgages, whether they want to keep the house or if they are ready to move on. In either scenario, it is in your best interest to work with a Chicago foreclosure defense attorney from our firm who can help you find the quickest and easiest way through the process and who can help you minimize the damage to your credit score and personal finances. For many people, there are two primary courses of action for preventing a home foreclosure: foreclosure defense litigation or short sale negotiation.

Fight To Keep Your Home In Cook County

If you are determined to keep the home where you have lived, where you have built a life with your family and where you hope to spend your future, we may be able to help you prevent the foreclosure by directly challenging the action. One of the most effective approaches is to investigate the situation to determine whether the lender may be guilty of any type of abuse or fraud. For example, in 2010 there was a major scandal involving “robo-signers,” where several major lenders were automatically approving loan documents on the assumption that everything was in order, rather than actually scrutinizing them and performing due diligence. Another example is contained in the fact that the Illinois Attorney General took part in a major case along with other attorneys general around the nation to secure a landmark $25 billion settlement on behalf of homeowners who had been mistreated or defrauded by lenders.

If we can isolate errors or faults in your home loan, we may be able to use these to halt the foreclosure and perhaps even negotiate a loan modification or settlement that reduces your monthly payment amount or even resolves the loan entirely. An attorney from our firm could file a motion to dismiss the lender’s foreclosure complaint in court, based on grounds such as that the lender does not have the right to foreclose or that you were not actually in default. This process does not only open the door to possibly keeping the home, but also significantly delays the foreclosure process so that even if you do not prevail you will at least have more time to prepare to move, rather than suddenly being forced out of the house.

According to a 2007 report to the U.S. Senate Joint Economic Committee, the average foreclosure costs $79,443 in losses for the homeowner, the local government and the owners of adjacent properties. The largest part of this figure, $50,000, consists of costs to the lender. The lender not only has to pay fees for the involved legal process of foreclosure but also stands to lose tens of thousands of dollars in lost revenues while the mortgage is in default and while the property is unoccupied for months following the foreclosure. It is nearly always in their best interests to avoid foreclosure.

Chicago Short Sale Lawyer For Help In Negotiations

An attorney from our team may be able to represent you in negotiations over a short sale, which could be to the mutual benefit of both you and the bank. In a short sale, the bank agrees to allow the borrower to sell a property that is subject to an underwater mortgage, and in most cases, the borrower is not held liable to pay the difference between the sale price and the remaining loan balance. This way, you can avoid the serious ramifications of a foreclosure while also getting out of a mortgage that you cannot afford and moving on to a new chapter in your life.

Contact us now for a free consultation to discuss your options and to get started on a course of action for protecting your best interests. Call 312-655-1000.