California Homeowners Bill of Rights II Now Law for West Sacramento Short Sales

Today let’s talk about the remaining points of the California Homeowners Bill of Rights as interpreted by the California Association of Realtors legal team. Keep in mind we are not giving tax or legal advice. Point number:

  

5. No dual tracking during a West Sacramento Loan modification. Too many times I have seen an unsuspecting homeowner thinking they were getting a loan mod only to find out there were denied and the property sold at auction the next week

6. Additional West Sacramento Loan Modification Safeguards including the servicer having to send a written receipt within 5 business days of a borrowers submission of West Sacramento loan mod paperwork and if the loan mod is denied, give the reasons in writing

7. If a foreclosure prevention alternative is approved such as a West Sacramento Short Sale and the loan is sold to another servicer, the new servicer must honor the terms of the West Sacramento Short Sale

8. Additional Review required before initiating the West Sacramento foreclosure process. This is in direct response to the Robo Signing scandal. Servicers will now have to review and prove they have the legal right to foreclose on a property before initiating the process

9. The Initial Contact period requiring the servicer to attempt to contact the borrower for an additional 30 days before initiating the West Sacramento foreclosure process is extended until 2018. The servicer must note on the Notice of Default that they may the required effort to contact the borrower

10. Before a Notice of Default can be filed the servicer must notify the borrower that the borrower has the right to request copies of the promissory note, deed of trust, payment history and assignment of loan to demonstrate the servicers right to foreclose.

11. Within 5 days of filing the Notice of Default the servicer must notify the borrower of what foreclosure alternative programs are available and how to apply for them

12. If a Trustee Sale is postponed for 10 days or more the servicer must notify the borrower in writing the new sale date

13. If it has been determined that the servicer has violated any of the parts of this law, the borrower has the right to pursue legal action against the servicer and if they win have the servicer cover their legal fees.

Lots to digest here and I am sure we have yet to see how the servicers react. It very well could lead to more West Sacramento foreclosures – just the opposite of how the bill was intended. Right now only time will tell

To get a better idea of when your West Sacramento home will be worth what you owe, log in to www.shortsaleandloanmod.info for a free estimate or call me today for a free no obligation consultation or for the latest West Sacramento short sale information. Call me today and sleep better tonight; you’ll be glad you did