Description
Until recently, the concept of a “foreclosure crisis” was assumed to be limited to the subprime, high rate segment of the mortgage market. As foreclosure actions multiplied exponentially in the last few years for all types of mortgage products, a category of litigation that once advanced through the court system discreetly, methodically and largely unopposed has suddenly fallen under the microscope. Practices that once went unquestioned are now being challenged. Many courts have grown increasingly impatient with some mortgagees' inability to produce adequate documentation of their ownership of mortgage loans or to correctly calculate loan balances. The New York State Legislature has implemented numerous new procedures to attempt to insure that both residential homeowners and their tenants feel less at a loss when a foreclosure action is commenced.