foreclosure-crisis

Like any other type of illness those who are financially ill thanks to the real estate muddle need to be hospitalized. This basic idea started a train of thought among the enterprising that see opportunities at every corner.

Antonio Randazzo had been earning $1.5 million per year selling his sales leads to mortgage bankers and brokers. In those delirious days instead of sticking to an original plan of renovating the house for $600,000 that he had purchased for $699,000 he planned to demolish it and construct a new unit costing $1.4 million. At the peak of the housing boom this 5,500 sq ft extravaganza with three bedrooms and a kitchen worth $250,000 came to be valued at $2.5 million.

Then suddenly the balloon burst. Following a dispute with his partner his business too collapsed. After refinancing his house by taking out two loans amounting to $1.7 million he began to default on a loan taken for business. All combined to bring up the debt on his property to $1.85 million. The added insult to his injury was the loss of his job in advertising online. Somehow he managed to find a job but it hardly covered the taxes on his property.

All these facts surfaced when Randazzo along with 44 others attended on 13th August a foreclosure clinic at Nassau County Bar Association situated in Minneola. It was like a clinic with 10 lawyers acting like doctors trying to plug the bleeding. Each one was given advice about the treatment with prescriptions ranging from loan modifications, to short sales and refinancing.

Some of those participating were referred to one of five counselors working under the aegis of Housing and Homeless Services as well as Nassau or Suffolk Law Services. The services targeted home owners at risk from the lower income category. Those suspected of being victims of predatory lending were also offered medication.

Martha Krisel of Mortgage Foreclosure Task Force commented that business was so brisk that they had to turn away many. Attendance at the next clinic would be only by advance reservation and is set to take place on 14th September at Bar Association.

In July Nassau County took the top rank in the state in foreclosure filings. 790 households got default notices. It was a spike by 65% from July 2008. One year previously, Nassau had ranked 10th in the State.

foreclosure homes

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