Ark Law Group Blog
Short Sale, Loan Modification & Foreclosure Solutions
Student Voices Spring 2018 Scholarship Winner
By Ark Law Group

Congratulations to the winner of the Spring 2018 Student Voices Scholarship! The Ark Law Group Student Voices Scholarship Program presented a new question for college students as the Spring 2018 Essay Contest Prompt:

There is a housing shortage in many metro areas in the United States. What are some of the issues involved and some possible solutions?

Number of Homes in Foreclosure in Washington State - as of June 1, 2018
By Ark Law Group

Even with the strong economy, low unemployment, and rising home prices, there are homeowners in Washington State that are going through foreclosure every day.

What Is a Foreclosure Mediation Bad Faith Certificate?
By Nadia Kourehdar, Attorney at Law

The mediator issues a certificate to both borrower at the end of the foreclosure mediation process, indicating whether each party acted in good faith or bad faith. If a party did what was required of them to move the mediation process forward, they will receive a good faith certificate. However, if they did things that hinder the mediation process, such as turn in documents late or lie, they will receive a bad faith certificate.

Is Suing Your Lender a Good Idea After Getting a Bad Faith Certificate?
By Nadia Kourehdar, Attorney at Law

If your bank has been issued a bad faith certificate in foreclosure mediation, then theoretically you have persuasive grounds to sue them. However, most struggling homeowners don’t have the funds to pay a litigation attorney and - even if they do - the banks always have more funds. Therefore we don’t usually recommend that borrowers try to sue their lenders.

The Bad News About Receiving a Bad Faith Certificate
By Nadia Kourehdar, Attorney at Law

There is not a lot of recourse for a homeowner whose lender has been issued a bad faith certificate in foreclosure mediation. Unfortunately, the Washington State Foreclosure Fairness Act provides no consequences such as fines or penalties. Theoretically, a borrower can sue a lender who has received a bad faith certificate, but this is not always practical for a borrower to do.

The Benefit of Your Loan Being Sold While You Are in Foreclosure Mediation
By Nadia Kourehdar, Attorney at Law

Having your bank sell your loan to another servicer during foreclosure can actually turn into an advantage. It may help make the mediator side with you. If you are wanting to move more slowly with things or extend your time in your home, it will slow down the foreclosure mediation timeline. In some cases, the new servicer has different, more lenient guidelines than the original servicer.

Can I Use Both a Housing Counselor and an Attorney in My Mediation?
By Nadia Kourehdar, Attorney at Law

Although you are permitted to have both a housing counselor and an attorney at your foreclosure mediation, there is no reason to use both. You just need one qualified person who is aligned with your interests to represent you. Having two advocates can jeopardize your mediation, because there is no single person who knows everything that is going on.

Can I Attend My Foreclosure Mediation Session via Conference Call?
By Nadia Kourehdar, Attorney at Law

The borrower is permitted to attend the foreclosure mediation session by conference call. We recommend that you either make sure that the other parties agree to that in advance, or that you sign a Power of Attorney to protect yourself and your advocate, just in case any of the other parties objects to you attending by telephone.

Can My Bank Sell My Loan While I Am in Foreclosure Mediation?
By Nadia Kourehdar, Attorney at Law

Yes, it is possible that your loan servicer (your bank or your lender) sells your mortgage loan. If your loan is sold while you are in foreclosure mediation, the good news is that it does not affect the mediation. It may delay the mediation process, but that can also work to your advantage because it makes it look like you are the party who is doing everything right while the lender is not.

How Do I File a Complaint About a Housing Counselor in a Foreclosure Mediation?
By Nadia Kourehdar, Attorney at Law

First, assess why it is that you want to file a complaint about your housing counselor. Housing counselors do not have the training and experience of foreclosure attorneys. It is possible that the housing counselor has not done anything wrong, but that they have just hit the limits of their training, and you should look into getting an attorney. If you do feel they have done something wrong, you can file a complaint about your housing counselor online.

What Do I Need to Bring to a Foreclosure Mediation?
By Nadia Kourehdar, Attorney at Law

There is not much that you need to bring with you to your foreclosure mediation session, other than to make sure you show up with any payments that may be due, such as rescheduling fees. Your advocate (housing counselor or attorney) is the one tasked with bringing everything - not you.

How to Know If Your Foreclosure Mediation Attorney Is Doing a Good Job
By Nadia Kourehdar, Attorney at Law

You will know if your attorney is prepared for foreclosure mediation if they can answer these three questions:

Quick Response Form

Search the blog...

You May Qualify for FREE Legal Counsel - Apply Now!