Category Archives: Foreclosure

Learn more about foreclosure, including the foreclosure process, how to stop foreclosure and how bankruptcy may prevent home foreclosure.

Scared You May Lose Your Home to a Foreclosure? Bankruptcy May Be an Option

Did you know that you could save your home through bankruptcy if you are facing the threat of foreclosure? During a Chapter 13 bankruptcy, you can enter into a repayment plan lasting between three to five years. If you have an outstanding mortgage balance, this process will give you time to pay off the debt, as an automatic stay goes into effect that prevents a lender from taking actions against you. In addition, if you have junior mortgages, Chapter 13 allows some homeowners to discharge them completely. If you no longer care about living in your home, a Chapter 7 bankruptcy can be utilized if you are facing a foreclosure. The automatic stay will allow you time to find a new place to live. If you owe more money than the house is worth, filing Chapter 7 discharges deficiency amounts that you would have owed without filing bankruptcy, tax-free. Recently,…
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Maryland Shortens Foreclosure Collections Time Period

According to the Washington Post, Maryland Gov. Martin O’Malley signed a bill into law earlier this month that reduces the time in which debt collectors can pursue homeowners in court for an old fore­closure debt from 12 years to three. “We had essentially the worst law in the country,” said state Sen. Jamie B. Raskin, according to the Post. “And that just adds insult to injury. America is the land of second chances.” According to RealtyTrac, Maryland now has the second-highest foreclosure rate in the nation, and the law will now move the state from among those with the longest collection times in the nation to an average rate. Earlier this year, a Washington Post investigation showed that homeowners in Maryland were frequently taken to court over mortgage debts, sometimes years after the foreclosure process had been completed. The new law will help people who are underwater with their homes—as…
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March Foreclosure Rate Remained High In Maryland

According to the Baltimore Sun, foreclosure in Maryland remained high in March, as the state maintained the nation’s second highest rate. The Sun reported that one in every 527 housing units in the state was involved in a foreclosure filing in March, the “21st consecutive month of year-over-year gains.” Maryland has the second highest foreclosure rate in the country, trailing only Florida, according to RealtyTrac, a California real estate firm. The paper reported that the state’s foreclosure activity is running counter to the national trend, which has seen 42 consecutive months of year-over-year declines. Nationally, foreclosure filings have affected an average of 1,121 properties per housing unit. “That definitely stands out,” RealtyTrac Vice President Daren Blomquist told the Sun. “[Maryland] is one of a handful of states where the trend is in the opposite direction.” According to the Sun, there were 2,634 new foreclosures started in Maryland in March, up…
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