Mortgage litigation can be a highly empowering tool for distressed homeowners to take legal action against their mortgage lenders. During the burst of the hosing bubble, many mortgage lenders became notorious for bad loan origination and/or improper foreclosure proceedings. It can be very difficult for homeowners to determine how to protect and exercise their rights against their mortgage lenders. Fortunately, mortgage litigation attorneys can be very adept at stopping wrongful foreclosures and fighting against bad loan origination.
Mortgage Litigation & Bad Loan Origination
Mortgage litigation may help homeowners who feel their payments or rates have unexpectedly turned out higher than what was promised. Homeowners may recognize bad loan origination from one or more of the following:
- Larger monthly mortgage payments than originally promised
- Higher interest rates than described in the mortgage agreement
- Unnecessary fees
- False loan terms than originally promised
Mortgage Litigation & Wrongful Foreclosure
Mortgage litigation may also help homeowners who feel they have been wrongfully foreclosed upon. In some cases, mortgage lenders may initiate the foreclosure process under false pretense. Common instances of wrongful foreclosure may include:
- Failure to notify the homeowner properly
- Not providing the payoff figures
- Not providing the homeowner fair communication
- Unfairly or not considering a loan modification or loss mitigation request
- Breach of loss mitigation agreement
In the event that one of the instances listed above occurs, homeowners may be able to take action with a mortgage litigation case. It is important to note however, homeowners will not likely be able to take action without the help of an experienced mortgage litigation attorney. These attorneys are typically very experienced in dealing with mortgage lenders and the foreclosure process. Additionally, these attorney can help identify instances of wrongful foreclosure and build a case for homeowners to take action against their mortgage lenders.