Show Me The Note Rule Slowing Foreclosure Filings In Florida

“Show me the note” has become a foreclosure process rule in the state of Florida.  The new rule, handed down by the Florida Supreme Court, requires that lenders prove that they own the mortgage, and therefore have the right to foreclose, before starting the process.

During the housing boom, when mortgages were being issued left and right and later bundled together and securitized for sale on Wall Street,  it became an all too common practice to lose track of the original note, which is evidence of the debt that the borrower is required to repay. 

The problem with this is that without the note, lenders really have no way to prove that they are owed the money and have the right to foreclose on the property. This is important because if a lender were allowed to foreclose on a property without proving their legal claim, the true holder of the note could initiate a new foreclosure proceeding and leave the borrower on the hook for the money a second time, and with no home to forfeit.

As a result of this new rule, the rapid pace of foreclosure filings has slowed somewhat. This can only be a good thing for beleaguered homeowners as they try to save their homes from foreclosure.

You can leave a response, or trackback from your own site.

One Response to “Show Me The Note Rule Slowing Foreclosure Filings In Florida”

  1. ALLEN says: Canadian Health&Care.Best quality drugs.Special Internet Prices.No prescription online pharmacy. High quality pills. Order drugs online

    Buy:Propecia.Viagra Super Active+.Super Active ED Pack.Soma.Cialis Professional.Cialis.Levitra.Cialis Soft Tabs.Viagra Soft Tabs.Viagra Super Force.VPXL.Viagra Professional.Tramadol.Maxaman.Zithromax.Viagra.Cialis Super Active+….

Leave a Reply

You must be logged in to post a comment.

Buy VerizonCell Phones and Save. | Thanks to Bank Rates & Reviews, CD Rates and UK Loan
Easy AdSense by Unreal