The bankruptcy court of the Southern District of Florida, which includes cases from Key West to West Palm Beach, has approved a new foreclosure mediation program. The loss mitigation program or (LMM) is foreclosure program supervised by the court help borrowers and lenders negotiate loan modifications and other loss mitigation alternatives and was created to ensure fair play by all parties in the process.
The program, which recently began in April 2013, has now resulted in many borrowers negotiating loan modifications and other non-foreclosure solutions. Each case is overseen by an impartial mediator, appointed by the court with the consent of the affected parties. The parties have court-ordered deadlines and benchmarks to alleviate the delays which in the past interfered with negotiation and increased costs. Because the process goes through a computer information portal, the open lines of communication facilitate resulted in resolution between debtors, lenders, their attorneys, and the lender’s decision-makers.
Although participation in the foreclosure mediation program does not guarantee a home loan modification in all cases, a huge benefit of the program is that it ensures that debtors are given a uniform, fair and comprehensive process in the review of their individual circumstances. In addition to the transparent review of information through the computer portal and deadlines, the substantial program participation by the big lenders and cooperation in this process has been a success evident to bankruptcy practitioners presently filing large numbers of these cases in the tri-county area of South Florida.
Because the full range of solutions that encompass this loss mitigation program is only managed and provided through the bankruptcy courts, it is imperative that people who may benefit from this program consult an experienced bankruptcy attorney. If you need to determine that this program may help you save your home or investment properties, please make an appointment with our office for a free consultation at (305)820-0334. For more details, please check out our website at www.ahernandezlaw.com.