Category: Mortgage Issues

How to Determine Your Primary Residence – Part 2, the Homestead Exemption

In 2011, Andy Diaz (“Diaz”) lived in a property in Fullerton, CA (“Property”) with his then wife.  In 2011, Diaz suffered severe health problems.  Later in Read More > ...

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Court Finds that International Property Owners Cannot Avoid California Jurisdiction

In 2007, Maria Soto (“Maria”) obtained a loan from Diana Buchanan (“Buchanan”) secured against a property she owned along with her husband and two other people.  Read More > ...

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Supreme Court Finds California’s Anti-Deficiency Statute Protects Borrowers After a Short Sale

THE DECISION:  The Supreme Court of California held that Code of Civil Procedure Section 580b prevents lenders from pursuing borrowers after approving the borrower’s short sale. Read More > ...

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Court Makes it Easier to Strip Mortgages

Robert and Darlene Blendheim (“Blendheim”) were borrowers who obtained two mortgages from HSBC Mortgages Services in the amounts of $347,900 and $90,474.  In 2007, the Blendheims Read More > ...

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Be a “HERO”: Remember to Disclose This Silent Lien

Since 2001, California has had PACE programs available throughout the state.  One of the most well known is the “HERO” program, the Home Energy Retrofit Opportunity Read More > ...

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Court Whacks Lender for Failing to Get Consent from All Borrowers

In March, 2009, Sally DaVincenzo (“Sally”) and John DeVincenzo (“John”) were borrowers on a promissory note (“Note”) secured against a property in Wasco, California (“Wasco Property”) Read More > ...

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Supreme Court Resolves Circuit Split Over TILA Rescission

Larry and Cheryle Jesinoski (“Jesinoskis”) refinanced their loan on February 23, 2007 with Countrywide Home Loans, Inc. (“Countrywide”).  Three years later, they sent a written letter Read More > ...

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Court Offers Some Relief for Homeowners under HBOR

The case of Monterossa v. Superior Court of Sacramento County (real party in interest, PNC Bank) is the first case to definitively answer a question many Read More > ...

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Court Helps Lender After Mistakes Are Made

Over three years, Navjot LLC obtained three loans secured by the same piece of property.  The first was in 2005 from Washington Mutual.  The second was Read More > ...

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Are Mortgage Loan Officers Entitled to Overtime Pay?

The answer is … maybe.  At one point the industry had some certainty on this issue when, in 2006, the Department of Labor (DOL) issued an Read More > ...

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Court Gives a Double Win to Borrowers

Vidal Preciado was the owner of a residential property in Alviso, California where he lived with two roommates.  In July 2011, the Bank of New York Read More > ...

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Loan Modification Blog Series

Have you experienced difficulties when applying for a loan modification? Check out our new blog series! The articles written by our knowledgeable and experienced attorneys will Read More > ...

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Court Requires Lender to Offer a Permanent Loan Modification on Completion of Trial Period

Following in the footsteps of several recent cases, the Third Appellate District of California held that JP Morgan Chase was required to grant a permanent loan Read More > ...

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Expansion of California’s Anti-Deficiency Laws. Increased Protection for Borrowers After the Foreclosure of Purchase Money Loans.

Effective January 1, 2014, Senate Bill 426 went into effect and modified California’s anti-deficiency laws to do two things: 1)    Clarify the protection implied in Read More > ...

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Lenders Have a Duty to Not Misstate the Status of a Foreclosure or Loan Modification

There have been a string of recent cases that have been decided in favor of borrowers against their lenders who have failed to offer loan modifications.  Read More > ...

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Ninth Circuit Requires Lender to Offer a Permanent Loan Modification to Qualified Borrowers

In a win for borrowers the Ninth Circuit Court of Appeals recently held that Wells Fargo was required to grant a permanent loan modification to qualified Read More > ...

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The “Mortgage Exception” to Merger of Real Property Interests in California

California does not actually have a mortgage exception to the doctrine of merger, but the recent case of Hamilton Court, LLC v. East Olympic L.P. comes Read More > ...

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What is a Deed-in-Lieu of Foreclosure?

As of March 1, 2013, Fannie Mae has implemented new deed-in-lieu guidelines, streamlining the process and allowing borrowers who are current with their loan to be Read More > ...

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No Deficiency on Settlement Agreement for a Note

Recently, in Weinstein v. Rocha, a California appellate court held that if a deficiency is barred by the anti-deficiency statute, a creditor cannot circumvent that protection Read More > ...

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Fair is Fair for Competing Lien Holders

On September 27, 2011, the California Court of Appeal held that a holder of a second deed of trust was entitled be a first position lien Read More > ...

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Title Insurance on the Purchase of Multiple Parcels

Often a developer will purchase multiple parcels of property that have been sold together in a single transaction in the past. The developer’s intent is usually Read More > ...

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Do Not Overstep Your Bounds – Court Holds Mortgage Lender to the Higher Standard of Mortgage Broker

In the 2011 case of Smith v. Home Loan Funding, Inc., the Second District Court of Appeals held that a mortgage lender, who represented that they Read More > ...

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Federal Court Holds That There Is Still a Difference Between a Note and a Mortgage

Although most people in California refer to a loan secured by a house as a mortgage, the legally accurate terminology is a promissory note secured by Read More > ...

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Borrower “Mass Action” Lawsuits Against Banks Dealt a Double Blow

On August 18, 2011, Attorney General Kamala Harris sued three infamous California law firms who had been signing up distressed homeowner clients for ~$5-10k fees to Read More > ...

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How Does Robo-signing Impact Foreclosure Investors?

The Impact of Robo-signing on Foreclosure Investors and REO Purchasers in California By: Henry Chuang, Esq. Recently, with the announcements of foreclosure moratoriums from some of Read More > ...

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My Lender Foreclosed and Now They Want to Sue Me for More Money!

With the spate of defaults on home loans, people have become increasingly concerned with life after foreclosure.  One of the primary issues that people raise is Read More > ...

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Listing or Selling an Overencumbered Property? Disclose, Disclose, Disclose

Throughout the San Francisco Bay Area the real estate community has seen a drop in residential property values. This drop was particularly noticeable in portions of Read More > ...

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The Deed of Reconveyance – What Happens if You Pay Off Your Loan and The Trustee Does Not Clear Title?!

A brief refresher of how the Deed of Trust works.  Despite common parlance, California is not a “mortgage” state.  For example, if Betty Borrower purchases a Read More > ...

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Just Because A Lender Says You Qualify For A Loan Does Not Mean They Are Saying You Can Afford It!

In the published portion of the recent decision by the California Court of Appeals (Perlas v. GMAC Mortgage), the Court held that merely because a lender Read More > ...

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Alternatives to Unlawful Detainer Actions

As discussed in a previous article Unlawful Detainer Actions (“UD”) can be long, costly, and may even be prohibited by the Helping Families Save Their Home Read More > ...

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How to Determine Your Primary Residence – Part 2, the Homestead Exemption

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Be a “HERO”: Remember to Disclose This Silent Lien

Since 2001, California has had PACE programs available throughout the state.  One of the most well known is the “HERO” program, the Home Energy Retrofit Opportunity Read More > ...

Read More