Victims of Foreclosure, Predatory Mortgages on the Rise California Foreclosure Attorney Cites Reasons and Troubling Statistics: "San Diego, CA (PRWEB) September 7, 2006 -- According to San Diego County records, mortgage defaults have skyrocketed an astounding 219% since the same time last year. In July 2005 there were 345 defaults. In July 2006 there were 756 defaults, a first step toward a lender’s foreclosure on a property. In July 2005 there were 91 trustee sales of homes.
In the same month this year there were 299 trustee sales, more than three times the year before. California foreclosure attorney John F. Brady, who specializes in rescuing homeowners from mortgages in default, credits the rise in defaults and trustee sales to the influx of inexperienced real estate agents, aggressive new mortgage brokers, naïve first time buyers, little or no money down below-market adjustable interest rate loans and predatory mortgage lending practices.
According to HUD and the Center for Responsible Lending, a national watchdog organization, predatory mortgage lending involves a wide array of abusive practices including excessive fees, abusive prepayment penalties, kickbacks to brokers, loan flipping, unnecessary products, mandatory arbitration, and steering & targeting. “You would think mostly low income folks would be the victim’s of predatory mortgages, says Brady,“however recent studies show that three out of four loans were made to borrowers with middle and upper incomes.” "
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