Bank of America Stops Home Foreclosures in Kentucky, Indiana and Other States

Bank of America announced recently that it is delaying foreclosures on homes in Kentucky, Indiana and 21 other states. The country’s largest bank reported that it is halting foreclosures to review whether it rushed the foreclosure process on thousands of homes without reading the documentation for each foreclosure. Other mortgage lenders, including Ally Financial Inc.’s GMAC Mortgage unit and JPMorgan Chase, have recently admitted that their employees may also have signed foreclosure documents without properly vetting the information on them. The companies admitted the oversights after the lapses were made public. These revelations could result in serious headaches for the mortgage lenders. Thousands of homeowners currently in the foreclosure process or those who have lost their homes to foreclosure could contest the validity of the foreclosure, potentially leaving properties in limbo until each case is sorted out. If other mortgage lenders admit the same oversights, it could extend the current foreclosure crisis sweeping the country for years. Some states are getting involved by preventing lenders from foreclosing on mortgages in default. Connecticut Attorney General Richard Blumenthal recently requested that a state court freeze all home foreclosures in the state for 60 days. He said the freeze “should stop a foreclosure steamroller based on defective documents.” California Attorney General Jerry Brown told JPMorgan to suspend foreclosures until it could prove that it has complied with a state consumer protection law. Attorneys General in Florida and Ohio have similar investigations underway looking into foreclosure oversights. This development could have far reaching consequences for the millions of homes across the country that have been foreclosed on or are in the process of foreclosure. Fortunately, there are plenty of Louisville homes for sale that are not affected by foreclosure. For the area’s best selection of Louisville homes for sale, contact Louisville Properties today at 502.744.9504. We are the Louisville area’s premier real estate professionals.

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James Powell

Jim Powell has over 20 years of experience buying and selling luxury real estate in Louisville, KY and Managing over hundreds or rental properties across the city.
Jim Powell (License #191501)

Lauren Ghanavatian

Lauren Ghanavatian attended Assumption High School and the University of Louisville. Growing up in Louisville gave her a sense of the unique and diverse communities this city has to offer.

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Louisville Properties is a full service Louisville Real Estate Company for buyers and sellers of real estate. We offer the following services
3418 Frankfort Ave #100 Louisville, KY 40207 Louisville, KY 40207
United States
Phone: 1-502-744-9504

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