Unit 6 – Assignment 02/23/2014
Mass. Gen. Laws Ann. Ch. 244, §§ 14, 17B, 18, and 35A (Ch. 183C, §9 for high cost home mortgages), and it was amended on August 3, 2012.
Title Theory is a property law doctrine that a mortgage transfers titles to a property to the mortgagee, who holds it until the mortgage has been paid off. In other hand, the Lien Theory provides that a mortgagee of property holds only a lien, and not a title to the property until such time the mortgage is fully paid. The difference between these two theories are that in a Lien Theory the buyer retains the deed to the property, and in the title theory, the bank or finance company is ...view middle of the document...
3) Service members Civil Relief Act Complaint – The lender will file a complaint under the Service member Civil Relief Act in Land Court or Superior Court stating lender’s intent to foreclosure.
4) Publication of Sale – The Lender must publish notice of sale in the newspaper, which needs to include: identification of mortgage, date, place, time of sale, and description of property. This notice must be published once a week for 3 consecutives weeks before the sale, beginning at least 21 days before the sale.
5) Notice of Foreclosure Sale – Lender must send the Notice of Foreclosure Sale via certified or registered mail at least 14 days prior to the foreclosure sale.
6) Foreclosure Sale and Record Sale – Includes where the actual sale must take place at the date, time and place specified in the notice of the foreclosure sale. This sale must be conducted by a licensed auctioneer and normally high bidder wins. The parties executed a foreclosure deed, and the deed should be recorded at Registry of Deeds.
7) Post Foreclosure – Any excess proceeds from a Foreclosure sale must be paid to the homeowner; if a Foreclosure sale did not pay off the entire mortgage, the lender may pursue homeowner for a deficiency judgment. Homeowner is not required to move at the time of sale. The Homeowner may be able to negotiate with the new owner for time and relocation costs, although they have no legal right to demand it. The new owner can bring an eviction in court against the homeowner. The new owner cannot evict the homeowner without a court order. A homeowner always has the right to ask the court for more time to remain in the home.
A Foreclosure is the last option you want to take in your home. There are different types of loans that could help you avoid a future foreclosure. For example, the FHA and VA loans are backed by the government and each one have distinct characteristics. A VA loans are guaranteed by the government and are only offered to qualifying veterans and surviving spouses. A VA loan offered advantages to borrowers who qualify. For example, the VA streamlines refinance (also known as a VA to VA loan, or an interest rate reduction refinancing loan, or IRRRL). Borrowers who have a VA loan and meet certain criteria can refinance at a lower interest rate when the new rate hits the market.
FHA Loan (Federal Housing Administration) is available to all borrowers and is guaranteed by the government. Traditional lenders issue the mortgage itself, but the government insures the loan against default. For this reason, lending requirements are less stringent and down payments can be much lower (lower as 3.5% of the purchase price). The markets lowest interest rates are not available for FHA loans. There are other different types of mortgage loans, and it offers different terms, risks and benefits.
• Fixed-Rate-Mortgage Loan – The interest rate for a fixed rate mortgage remains constant for the duration of the loan....