California's revised Homeowner Bill of Rights still offers Homeowner Protections

https://livinglies.wordpress.com Attorney Charles Marshall will discuss California's Homeowner Bill of Rights. Parts of HOBR will be replaced and the Consumer Financial Protection Bureau’s Loss Mitigation Rules still apply. The provisions prohibit recording a notice of sale or conducting a foreclosure sale upon receipt of a “complete application for a foreclosure prevention alternative.” In the past, loan servicers were required to stay foreclosure proceedings upon receipt of a completed loan modification application.  Beginning in 2018, the dual tracking prohibition is expanded and now applies to all applications for all foreclosure prevention options. The denial of a first lien loan modification application will state “with specificity” the reasons for the denial of the modification and will include a statement that the borrower may obtain additional information regarding the denial decision upon written request to the mortgage servicer.  Previously, servicers could refuse to review multiple loan modification applications that did not involve a “material change in financial circumstances.” That provision was very vague, but was useful to loan servicers who could reject an application by denying that there was a material change in the homeowner’s financial circumstances.   Servicers must now review multiple applications from the homeowner, regardless of whether there is a “material change in financial circumstances”.   Charles Marshall, Esq [email protected] Phone 619.807.2628