BROOKLYN, N.Y., April 17, 2013 /PRNewswire/ -- According to a 2008 congressional briefing by the Mortgage Bankers Association, there are numerous costs incurred to all parties involved in a foreclosure. Outside of the borrowers' loss of property and possible deficiency judgment, the lender is burdened with many losses as well including the following:
- Lost interest and principal on the defaulted loan.
- Escrow payments made by lender for Property Tax and Home Owners Insurance.
- Property Maintenance or Restoration on non-occupied/vandalized properties.
- Lost servicing Fees.
- Costs of additional collection efforts/legal servicing.
- Legal costs for Attorneys handling foreclosure.
- Administrative/Court Fees and costs.
- Real estate Commissions.
- Loss on REO Sale.
- Other costs not reimbursed by P.M.I. (when available)
In addition to the substantial savings realized by the financial institutions, local governments for Litvin Law Firm's clients have also benefitted greatly from the Law firm's success as they have been spared nearly $11,000,000 in various losses they also incur in a foreclosure including:
- Loss in Tax Revenue due to loss of home ownership.
- Reduction in Tax revenue in area due to decline in overall values, post foreclosure.
- Loss of utility service revenue such as Water/Sewage.
- Relocation of family means loss of local sales tax revenue.
This nearly $41 million dollars in savings, still doesn't include the foreclosure costs the clients are spared such as relocation/moving costs, but most importantly of all, it is the emotional toll of the foreclosure process that is the greatest savings of all. LITVIN LAW FIRM, P.C. doesn't stop until we reach the security of knowing the home is safe and the payments are as affordable as possible for all of their clients. The team at Litvin Law Firm, P.C. is ready, willing, and able to take the lead in this new era of the American Recovery.
Homeowners that are behind on their mortgage payments and are concerned about foreclosure are encouraged to contact a Litvin Law foreclosure professional at 888-964-3367 for a free consultation. If Litvin does not feel that they can provide assistance they will not accept the client. Interested parties are encouraged to visit, like and follow their newly launched Facebook, Twitter and Google Plus pages.
A REPORT ON LENDER'S COSTS OF FORECLOSURE from the Mortgage Bankers Association © Mortgage Bankers Association -May 2008.
THE IMPACTS OF FORECLOSURES ON FAMILIES AND COMMUNITIES from The Urban Institute © The Urban Institute -May 2009.
NATIONAL FORECLOSURE MITIGATION Counseling Program – Congressional Update © 2012. Neighbor Works America -June 2012.
SOURCE Litvin Law Firm, P.C.