What Does a Foreclosure Lawyer Do?

Foreclosure cases can be complicated so a foreclosure defense attorney can do many different things in order to help you. Foreclosure lawyers handle all the different legal aspects of a foreclosure. Working with a lawyer begins with a consultation where you are able to discuss your case with a lawyer. During this consultation, it is a good time to talk about your worries and ask any questions you have. An attorney will give you your options and rights. During the consultation, the lawyer may ask to see communication and paperwork from the mortgage company. 

Provide Clients with Options

A foreclosure attorney will know the law better than you do. Their judgment and experience can help a client save time, avoid pitfalls, and maximize the chances of saving the home. Depending on the situation, the best course of action could be to file for bankruptcy, modify the loan, or have an attorney represent you in court. An experienced attorney knows all the pros and cons of each option in order to help clients make a decision.

Represent Clients at Settlement Conferences

If you have to have a settlement conference, an attorney can attend it and negotiate to save the home. The conference provides an opportunity for both parties to reach a resolution that doesn’t involve foreclosure. Without the experience of an attorney, clients have to work with the bank’s attorney, which can be hard with limited law knowledge. 

Help Get a Loan Modification

Loan modifications adjust the terms of the loan so clients can afford the payments. Modifying a loan is free but there aren’t a lot of homeowners that can convince a bank to approve the modified loan without an attorney’s help. The bank needs to review several pieces of information about a client’s income before they make a decision. Attorneys help clients present income information in the best light in order to get approved for a loan that is affordable. 

Help With Loss Mitigation

Some loans have loss mitigation possibilities that give a client a chance to stay current on payments. There are some lenders that are going to withhold this option. Without a lawyer, a client may not even know that this option exists or know how to go this route. Attorneys let you know if this is an option for you based on your current loan and can help a client determine the different ways that they can use this option to help save the home. 

Raise Defenses in Court

It’s possible the bank could make a mistake in foreclosing on the home and an attorney can help raise a defense in court if this happens. For example, a lender could have violated foreclosure laws or breached the loan contract, or the foreclosing party might not be the rightful owner of the mortgage debt. It’s possible you may even be an unknowing victim of unfair lending practices. There are many different tactics and strategies that experienced attorneys use in order to fight or postpone foreclosure. If the court accepts the argument, clients may have the option of having a lawsuit dismissed completely or receive a settlement that works in their favor. 

Save You from a Deficiency Judgment

You could have a situation where a lender forgives a portion of the debt but there is still a remaining balance. This means the lender could petition the courts for a deficiency judgment and hold you responsible for paying the portion of the debt still owed. Attorneys understand how to avoid these deficiency judgments and prevent you from having to pay more money at a time when it’s already hard to keep your home. 

Help You File Chapter 13 Bankruptcy

Bankruptcy is usually a last resort in dealing with a foreclosure, but if all else fails then a foreclosure attorney can also help you file Chapter 13 bankruptcy. If approved for this type of bankruptcy, a client has three to five years to get up to date on payments and be able to keep the home.

Offer Advice

One of the main things an attorney can do is offer good advice. Since each case is unique with many different factors, speaking with an attorney can be the best option in order to keep the home and avoid foreclosure.

Should You Hire a Foreclosure Defense Attorney?

There are many different scenarios where it makes sense to work with a foreclosure attorney. If you think you have a failed defense, an attorney can help you know whether the lender made any mistakes with the account or has legal standing to foreclosure on you. Attorneys may be able to find a valid issue with the foreclosure, which can be helpful for you. You may also want to consider working with a foreclosure attorney if you have limited legal options but still want to keep your home. An attorney can help with negotiations with your lender. It’s always best to speak with an attorney as soon as you can if you expect a foreclosure. Those with government-backed loans may also want to consider an attorney, since these loans may qualify for additional aid.