Foreclosure News

This page will be updated regularly with the latest foreclosure news as we discover it. The news will appear in chronological order with the latest appearing first. Remember to check back often to find out the latest information.

Foreclosure News Briefs

----FHA(4/9/2008)----
The Bush Administration announced a revision to the FHASecure program which will add an additional 350,000 borrowers to the list of borrowers at risk of foreclosure that it has helped.

The eligibility standards for the FHASecure program have been expanded to include a total of 500,000 families.

This expansion will help borrowers who are 2 to 3 months behind on their mortgage or who have been late on their mortgage at up to 3 different times in the last year.

Please click here to see the full story.

----Massachusetts----
Judge issued preliminary injunction against Freemont Investment & Loan.
A judge has issued a preliminary injunction that bars Freemont Investment and Loan from foreclosing without the prior consent of the court and the attorney general on certain subprime loans that it made between 2004 and 2007. Loans issued between 2004 and 2007 in Massachusetts and meeting the following 4 criteria will be affected:

1. The loans are ARM's (Adjustable Rate Mortgages) with an introductory period of 3 years or less.


2. The initial rate is 3% lower than the real rate (fully indexed).


3. The real Debt to Income (DTI) ratio is over 50% if you take into account the real interest rate not the initial rate.


4. The borrower borrowed 100% of the purchase price or the loans have a big prepayment penalty or more insidiously, the prepayment penalty extends beyond the introductory period. An example of this would be a 2 year ARM but with a prepayment penalty if the loan is refinanced in the first 3 years.