Maryland DUI Defense - Consumer Protection
Law Office of Kenneth E. Crocken
10451 Mill Run Circle, Suite 400 - Owings Mills, Maryland 21117 ~ TEL (443) 802-7145 - FAX (443) 372-4434
consumer protection
Have you sold your home to only rent it to stop a foreclosure? If you have received notice that foreclosure proceedings have started, or are behind in your mortgage, call Kenneth Crocken - know your rights.
Kenneth E. Crocken has served clients throughout Maryland centered around his philosophy of a
personalized attorney-client relationship. Clients can expect
prompt attention and quality legal representation delivered in an efficient, affordable manner.
Please call 443-802-7145 to talk with Kenneth Crocken.
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foreclosure rescue fraud
Have you sold your home to stop a foreclosure?Are you currently renting your home because of a foreclosure?
Know your rights - Call Kenneth Crocken, 443-802-7145
YOU HAVE CHOICES. YOU HAVE RIGHTS.
Facing the loss of the home through foreclosure, people often make desperate decisions to protect their home.The Scam
A list of recent foreclosures is publicly available. People in foreclosure are often contacted by individuals, called foreclosure consultantswho obtain these lists, and claim that they can help save the home from foreclosure.The Foreclosure Reconveyance
To save the home, the homeowner is asked to enter into a foreclosure reconveyance- These transactions take many forms, but essentially they involve the homeowner selling their home to an investor for below fair market value, who then leases the home back to the homeowner also, there could be an option to buy the home back in a few years.What Happens?
The homeowner agrees to sells the home at a below market price. The foreclosure consultant determines how much money is need to stop the foreclosure and has the investor place an equal amount as a deposit on the contract to sell the home. The down-payment is used to have the foreclosure stopped.
At closing, the investor takes title to the house and the home is rented back to the homeowner. The fees are structured so that they are equal to any excess money from the sale (after the mortgage is paid). The homeowner walks away from the sale of their home with no money. Little consideration is paid as to whether the homeowner can afford the rent or the option to repurchase the home.
Often the homeowner can not afford the rent or obtain financing to purchase the home. The homeowner ends up being evicted, with nothing to show for the sale of the home.
Also, it is not uncommon for a second mortgage to placed on the home. When the sale closed, the homeowner receives little no money for selling their home and now rent instead of owning. The rent is usually high, and the option to buy back the house is meaningless because the homeowner can not obtain a loan - all this leads to the homeowner losing the home completely.
Protection of Homeowners in Foreclosure
There were no laws regarding foreclosure reconveyances, and fraud became prevalent. In response the Maryland General Assembly enacted - The Protection of Homeowners in Foreclosure Act.
The Act requires that the homeowner be provided with various disclosures regarding any fees, rights to cancel and has to sign a contract providing ALL the details to the transaction. Further the purchaser must verify that the homeowner can afford the rent and be financially stable enough to obtain the financing to purchase the home again.
IF YOU RENTING YOUR HOME BECAUSE OF A FORECLOSURE, TURNED DOWN FOR FINANCING TO PURCHASE YOUR HOME, OR HAVE SIGNED AN AGREEMENT WITH AN "INVESTOR" OR "CONSULTANT" - CALL AN ATTORNEY IMMEDIATELY.
The law allows for the possible return of your home or any lost equity
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Office of Kenneth E. Crocken