Yet another foreclosure snafu…
Bank of America reportedly foreclosed on a Florida man’s home despite him not having a mortgage on the property.
Homeowner Jason Grodensky bought his Ft. Lauderdale home last December, choosing to pay cash instead of taking on a mortgage.
But just seven months later, the Charlotte-based bank had foreclosed on the home and title was transferred to government mortgage financier Fannie Mae.
Despite numerous calls and e-mails to Bank of America and Florida Default Law Group, the law firm that handled the foreclosure, there was no response and the court case went on.
It wasn’t until Grodensky brought the issue to the attention of the local paper Sun Sentinel that action was taken.
Turns out Countrywide Home Loans filed a foreclosure case in Broward County civil court against the former owner of the home in 2008, shortly before Bank of America acquired the now defunct lender.
But it seems BofA failed to let the courts now about the subsequent sale, which explains the mix-up.
They have since acknowledged the error and plan to correct it at their own expense.
Earlier this week, GMAC told brokers and agents to immediately stop evictions, cash-for-keys transactions and lockouts in 23 states as the company took “corrective action in connection with some foreclosures.”
The sheer volume of foreclosures is clearly leading to some problems…