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Dale Said:

We are ready to move, but can't sell... Should we foreclose?

We Answered:

No do not let your property go to foreclosure.

If you have a foreclosure on your credit report you will not be able to get a mortgage on the house that you want to buy.
I recommend that you contact several attorneys who specialize in real estate law.

Ask the attorney about getting the lender to modify your mortage to reduce your payments to a level that you can afford.

Also have the attorney review your loan documents to determine whether or not your lender violated the law.

I am currently working with a member of The United States Congress to determine why we had so many problems in the mortgage industry.

I am reviewing large numbers of files of mortages that went into foreclosure.

Most of the mortgages have serious errors in them . In many cases the errors include outright fraud.

In some cases the fraud was committed by the loan officer, in some cases the mortgage broker, in some cases the Real Estate Broker.

I have also seen some seriously defective appraisals. If you paid $184,000 for your unit and now a similar unit is on the market for $94,000 you probably had a defective appraisal on the property when you bought it.

I would consider taking legal action against the real estate appraiser as well. that real estate appraiser may owe you money.

I am also seeing a lot of defective real estate appraisals.

I would have the attorney review your file for any violations of law by the Loan Officers, Mortgage Brokers and Real Estate Brokers involved.

Have your attorney review the appraisal as well. Hire a good review appraiser to review your appraisal from when you bought the property.


If your attorney finds any improper behavior on the part of the people involved in making your loan they may be liable to you for damages.

the fact that your lender is out of business and that an employee of the loan servicer told you to let your property go to foreclosure indicates to me that there is a very good chance that your lender or someone associated with the lender violated one or more Federal Laws when they made your loan.

You may have the right to take legal action against them. They may owe you money!!!!!

I say sue your lender, sue your real estate broker and sue your appraiser!!!!!

Emma Said:

What would you do? Pay bills or pay the Mortgage?

We Answered:

I really feel for the both of you. My hubby & I CAN TOTALLY UNDERSTAND. I won't go into great details - it's not pleasant.

Perfect idea to see a lawyer - why not a bankrupt attorney? I think that would be best.

All the best to you and hubby!