Out of $334 million in cash payments sent to Florida in a multibillion dollar mortgage settlement with major banks, more than $33 million will help strengthen the state’s budget. Florida is one of several states taking a portion of the $2.5 billion in cash payments from banks and using it for programs not directly related to the foreclosure crisis. Florida’s total take in the $25 billion national settlement is worth about $8.4 billion.
Short sales are exceeding the number of foreclosure sales in South Florida. Broward County had 1,831 short sales in the first three months of 2012, compared with 1,476 foreclosure deals. On a quarterly basis, this is the first time short sales have outnumbered foreclosures in Broward since early 2008. Short sales also exceeded foreclosures in Palm Beach County and across Florida from January through March.
The Florida Supreme Court has been asked to prevent lenders from escaping sanctions for using fraudulent documents by filing voluntary dismissals. The issue is whether courts have the authority to reject the voluntary dropping of the case and instead impose sanctions, including dismissing the foreclosures with prejudice. Attorneys asking for dismissal with prejudice argue that the current system allows every party who comes before the courts to lie, cheat, or steal knowing if they are caught they can simply voluntarily dismiss and clear themselves of that fraud.
If you think your homeowners insurance is too expensive, then you would be interested to hear Mark Kunzelmann’s story. Mr. Kunzelmann is a 49-year-old network specialist, and just over a year ago he let the policy on his four-bedroom, North Palm Beach home expire.
But you would not believe what the oversight, which was later remedied, cost him, approximately $10,000 for a few months worth of coverage.
As part of the national mortgage settlement signed in March of 2012, Chase, Bank of America, Citigroup, Wells Fargo and Ally Financial have agreed to offer at least $10 billion in loan forgiveness, or principal reduction, to an estimated 11.1 million homeowners who are in default or underwater. After three months the banks’ distribution of this relief is slow. According to housing counselors that were surveyed by The Huffington Post, only a few individuals were offered a principal reduction out of dozens who applied for modifications.