Sunday, May 15, 2011

Foreclosure fabrication

Jimmy Matlock lays out the facts and then lets the papers that mislead, have it...

From the Tennessean.

....Just this past week, a Watertown woman was trying to work out an arrangement to stop foreclosure proceedings on her property, which she became aware of by being notified by a registered letter. She owed only $2,100, and, fortunately for her, she was able to save her home by delaying the foreclosure sale for 30 days.

That’s not the end of the story, however. On top of the $2,100, which she must repay in less than a month, she also owes $1,568 to pay for the cost of three foreclosure notices that ran in a local newspaper — notices that she did not see....


....it would just reduce the number of times a foreclosure notice must run from three times to two. And it would establish legally that the long “metes and bounds” descriptions, which virtually no one reads or understands, do not have to be in the notice, thereby shortening it and making it more effective. (Those long descriptions of the property surveys are included because title lawyers insist on it to cover themselves.)

To argue that homeowners learn they are facing foreclosure by reading notices in newspapers, or being told by others who read them in newspapers, is quite a stretch. Homeowners, like the woman in Watertown, receive notices of late payment, default and collection, and finally are sent a notice of foreclosure by certified mail.

The legislation passed in the House and pending in the Senate is a small step toward revising an antiquated law enacted in 1858 and moving the process toward modernity.

Opponents of this legislation continue to point out that Tennessee is one of only five states that do not have judicial review of foreclosures. This statement is completely incorrect (at least 20 states are similar to Tennessee). But it is a complicated issue and at any rate is nothing but a red herring to divert attention away from the real issue — money. I understand that newspapers do not want to lose even the smallest amount of revenue in this day and age, but neither should homeowners struggling to get out of foreclosure.

1 comment:

  1. The people being foreclosed on have already canceled their subscription to any newspaper, if they had one, which is less and less likely these days.

    ReplyDelete

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