Court Rulings Expected To Impact Foreclosure Filings

As there are news being reported from the different counties about the court rulings bringing down the rate of foreclosures in the case of real estate properties, the latest addition is the ruling by an Ohio court that denied a bank to foreclose on a home in the lack of the strong proofs about the ownership of the mortgage by the bank.

In the similar cases, the county with the maximum cases of foreclosed houses, that is Ohio, saw the rulings on the similar lines by Attorney General Marc Dann. The trend is seen as the taming force to fight the crises put forward by the foreclosures.

The suit filed by the Wells Fargo Bank to foreclose on a North College Hill home was reported to witness the similar ruling by Common Pleas Judge Steven E. Martin in Hamilton County. The reason behind the ruling was again the weak proofs put forward by the bank’s lawyer to prove the mortgage ownership of the bank.

In a letter written by Martin to the lawyer of the bank mentioned that the plaintiff failed to justify its interest in the real estate property. The letter also warned the bank’s legal advisory firm, which is third highest in filing foreclosure suits, to come up with strong evidences in the future, while filing a case for the foreclosures.

The actual issue with the real estate mortgages is that the identity of the true mortgage owner is not known in most of the cases. These mortgages are sold from one hand to the other and thus, the banks are not the true owners of the mortgages. This is the reason that puts the banks in the hard situations.

The 40 percent of the total 1,733 cases related to foreclosures have been found to be lacking the true identities of the mortgage owners by law professor Katherine Porter.

Kevin Flynn, a lawyer and a teacher, is of the belief that the banks could easily prove their ownership for the real estate mortgage. However, he is also of the view, that the ruling by the court is an effective approach to bring down the percentage of foreclosures.

The former Methodist minister, Gloria Byrd is of the view that there is need to fight against this and take some revolutionary stands against such rulings. Nadine Ballard, who is the chief of the attorney general’s Consumer Protection Section, supports the view.

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