Foreclosure fraud alleged as GMAC withdraws affidavits and halts foreclosures

GMAC and its lawyers confirmed what many already suspected. GMAC has filed tens of thousands of foreclosure cases, seeking summary judgment. In those cases, affidavits were filed alleging that the person signing had personal knowledge of the facts and circumstances. However, one individual, Jeffrey Stephan, admitted to signing approximately 10,000 of such affidavits per month. Mr. Stephan stated the obvious when he acknowledged that he did not have personal knowledge of what he was signing.

In order to obtain a foreclosure judgment in Florida, the Plaintiff must file affidavits based on personal knowledge. The Stepan affidavits are admittedly not based on personal knowledge. So summary judgment should not and cannot be granted in these cases.

After a Florida judge threw out a foreclosure case based upon one of these improperly filed affidavits, GMAC announced that it was taking "corrective action". Its not clear what GMAC means by that, or how. GMAC's lawyers have been filing notices in pending cases withdrawing the affidavits that have been filed. In the article below, GMAC announces that it is putting foreclosures "on hold". But what happens to those who have already been foreclosed upon?


http://articles.sun-sentinel.com/2010-09-20/business/fl-gmac-foreclosures-halted-20100920_1_gmac-mortgage-foreclosure-cases-foreclosure-process

Foreclosure and brainlessness

A recent New York Times article illustrates the nonsensical nature of the foreclosure industry. After landlord Imar Hutchins missed one monthly mortgage payment on his apartment building, the bank immediately filed for foreclosure. Mr. Hutchins lender, then Washington Mutual, refused his payment thirty days later and refused the next series of payments he attempted to make. While Mr. Hutchins was sending checks in the amount of $3500, $7,500 and, finally, $25,000, the lender was proceeding towards a foreclosure judgment.

When Hutchins learned of the action, he was able to set aside the default and is now attempting to settle the case with his lender. But the bank departments not knowing what the other was doing- one negotiating with a very willing borrower and the other steamrolling towards foreclosure- illustrate a common problem many borrowers are currently facing. Borrowers who are attempting to negotiate loan modification need to be aware that their lenders may still file a foreclosure action, even if the loan modification appears to be going well. This may, sadly, be due to the fact that the lender’s litigation department may not know what the loan modification department is doing (if only we’d all communicate just a little more). Or, it may, as some suspect and just as sadly, be because the lender is misleading the borrower- stringing him/her along with promises of modification which are not being made in good faith.

Either way, it is borrower beware. If you are behind on your mortgage, a foreclosure action may be filed against you at any time. It does not matter if the loss mitigation/loan modification officer tells you otherwise.

Wells Fargo loan servicer taken to Court: Loan Modification Supervisor summoned to appear for questioning in homeowner’s bankruptcy case.

Many people are wondering, just what does it take to get a response to a loan modification request sent to a mortgage servicer and how to get a faster response. One woman received an unusual opportunity to question the servicer about the status of her loan modification- under oath.

As explained in a recent New York Times [http://www.nytimes.com/2009/09/04/business/economy/04wells.html?_r=1&scp=1&sq=bankruptcy%20loan%20modification&st=cse] article, an Arizona bankruptcy judge summoned a senior Wells Fargo executive to appear and answer questions, under oath, about a loan modification. The homeowner, who was forced into bankruptcy after losing her job, had been waiting months for a response. After cross examination by the homeowner (I can think of many people who would love the opportunity to question their loan servicer’s representative under oath), the Wells Fargo executive, who initially denied that the homeowner had supplied sufficient documentation, eventually admitted that everything requested had been provided. It turns out, the loan modification was denied months ago. However, Wells Fargo failed to notify the homeowner.

The judge’s decision is yet another example of the growing frustration with mortgage servicers who, for unknown reasons (although we could speculate on them) are slow to offer loan modifications to troubled borrowers. While little was accomplished in that bankruptcy proceeding (no one was sanctioned and, although the executive promised to resume negotiations with the borrower, the situation does not appear positive), by summoning Wells Fargo to court, the judge made a statement to loan servicers, which they will hopefully hear. A small victory of sorts for all those homeowners who have been waiting for months to hear back from the bank.

Want to keep your home? Short pay refinance may be an option

You have probably heard about the short sale process, where the lender allows the home to be sold for less than what is owed on the mortgage. In addition to the complications of needing the lenders approval (banks can take months deciding on whether or not to accept, during which time the buyer simply walks away), a buyer is needed. A short sale also does not help those who want to stay in their homes. Enter another solution: the short pay refinance.

In a short pay refinance works like this: Let’s say you owe 400,000 on your home, you are currently paying 8% interest on an adjustable rate loan and your home is worth about 330,000. You obtain a new mortgage for 330,000 or less than this amount (somewhere in the range of 80-90% of the value of your home) at a rate of 6% fixed for 30 years. Your payment decreases, you are no longer underwater, which gives you more incentive to continue paying your mortgage as you are building equity and there will be no interest rate increase in the future.

In order for a short pay refinance to work, you lender has to be willing to accept the lesser payment on your loan and the new lender needs to qualify you. Generally, a short pay refinance situation will only work if you are current on your mortgage payments but can show that you are having trouble paying. If you have fallen behind, you have much less chance of getting qualified. However, if you are serious about staying in your home, can show the ability to make payments and can find a lender willing to finance the short pay loan, you may be able to convince your current lender to accept the short pay refinance.

Keep in mind that a short pay refinance has some of the same risks as a short sale. The lender who accepted less money may report this information to the credit bureau, which will effect your credit down the road. The lender must also agree to waive any deficiencies associated with the short payment.

A short pay refinance can be a tough sell to your current lender and will likely require a well documented offer as well as careful negotiation.

GET BETTER NOT BITTER: LESSONS LEARNED FROM THE AMISH

In a recent MSNBC article, several members of the Amish community in Elkhart, Indiana were interviewed about the effect of the current recession on their income earning ability. The Amish traditionally shunned employment outside their communities, earning a living through farming and producing and manufacturing home made items. Over the past decade, many began working in factories as their traditional means of earning income no longer sufficed. The current economic struggle forced many, including these adaptive Amish, out of their jobs. Once again, the resilient folks moved on and found a different way to earn a living. Rather than turn bitter, many Amish reported that their lives had changed for the better. Several reported that the decrease in income made them realize just how reliant they had become on the next paycheck and less reliant on doing things or making things for themselves. And the loss of jobs allowed many to spend more time with their families as factory work was replaced with home based businesses.

While the Amish approach to life does not work for many, the “get better not bitter” philosophy is, perhaps, something most of us can use. Those who are struggling to pay their mortgages, and hoping to get their loans reinstated before foreclosure proceedings begin need to change their way of spending and living. Those who are in foreclosure need to look at their options and, in some cases, choose the one that may not seem the most appealing, such as negotiating a deed in lieu of foreclosure with the lender. It is easy to become bitter with these choices, especially since most people making these choices have been forced into them by hard times and unexpected events.
Allowing yourself to become angry and bitter may lead to rash decision- making. For example, some may give up and walk away from a foreclosure action without thinking about the deficiency judgment that may result and others may rush to file bankruptcy. Both of these decisions have serious long term consequences and should not be made without careful consideration of all the options. Instead of becoming bitter, focus on making your situation better, even if those better days are in the long term future.

HOW TO CLIMB A MOUNTAIN

You are probably wondering what mountain climbing and foreclosure have in common. The answer is that both start from a similar position of being on the bottom and trying to reach a point on the top. If that answer confused you even further, read on and I’ll explain.

During one of my first mountain climbing trips, I looked up at a summit way in the distance and thought, I will never get that far. It was too high, too difficult and I didn’t know that I’d have the energy to do it. I decided to stop looking at the top of the mountain and instead focused on a point not too far away. I told myself I just had to reach that point, and then the next point, and so on. After a while (quite a while actually), I was standing at the top.

Facing foreclosure is overwhelming. There are so many questions. Can you save your house? Should you try to negotiate the loan? How much can you pay? Who can help you? Its like standing at the bottom looking up and not knowing if you can get to the top.

Much like the mountain climber, you need to take things one step at a time. Instead of thinking about how you are going to solve the problem in one big step, focus on that point just in front of you. What are your options?

Speaking with a foreclosure attorney can help you figure out what those options are. If you were served with foreclosure, an attorney can help extend the process and give you time to figure out what you are able to do. If you are behind on your payments and believe foreclosure is coming, you can start working with your lender to prevent this from happening.

You cannot climb a mountain in one step and you cannot deal with a foreclosure or potential foreclosure situation in one step either. You need to address both situations one step at a time.

What is a Qualified Written Request (“QWR”)?

A qualified written request is a letter to the loan servicer requesting specific information about a mortgage. A QWR can be used to request copies of documents, question calculation of outstanding balance and to obtain information about the loan. Once a QWR is sent, the servicer has 20 days to acknowledge receipt of it and 60 days to respond. Failure to respond may result in a fine. When sending a qualified written request, you, the borrower, can request a “life of loan history”- in a nutshell, your servier must tell you everything that has happened with your mortgage since you got up from the closing table.

In foreclosure defense matters, we always send a QWR on behalf of the borrower immediately after being hired. This is the first step in the forensic loan audit process which we highly recommend for our clients. We ask for an extensive list of documents relating to the originally signed note, all assignments of the note and any other servicing documents that may be available. In addition to this extensive document request, we also ask an extensive series of questions regarding the servicer’s relationship with the loan, payment history and accounting of late fees and interest payments.

Many people wonder, why bother with all of this? In most foreclosures, there is no dispute that the borrower owes money to the lender. While this may be true, the lender has an obligation to state not just how much is owed but to prove that exact amount. Even if you are prepared to give up your house, you have the right to know exactly how much you owe, especially since the lender may obtain a deficiency judgment against you for this amount. If you are attempting loan modification, this information will be extremely valuable in negotiating with your lender.

FEARING RATHER THAN FACING FORECLOSURE

I learned a great deal about fear from my first rock climbing instructor. When you are hundreds, if not thousands, of feet off the ground, secured by a thin rope and need to convince your mind that nothing will happen to you, the experience alone can teach a great deal about fear, especially when you’re afraid of heights, as I am. But the instructor taught me that there are two types of fear: the one that freezes you (hanging on a rock wall and refusing to go any farther) and the one that makes you more cautious and makes you evaluate your decisions more carefully (double checking your belay loops and, sometimes, your belayer.)

Fear is often associated with foreclosure, and for good reason. The loss of one’s home, legal proceedings against a bank or lender, a.k.a, the big guy with all the power, is enough to freeze anyone in his/her tracks. And many people do. Most people do not fight foreclosure. They simply give up, do not answer the summons and let the bank get its judgment.

This action is equivalent to freezing on the rock wall mid-climb. The situation feels so scary that inaction seems to be the safest thing to do. But, much like in rock climbing, inaction during a foreclosure fails to protect you.

Although it seems so cut and dry (you owe money, the bank can take your house), foreclosures rarely are. The bank has a case to prove and it may not be able to do so. This does not mean that you can stay in your house forever without paying, but it does give you some options for negotiating with the bank. Much like the rock climber who needs to check safety equipment, you, too, should examine your options before deciding that there is nothing you can do.

There is another reason not to go the “do nothing” route. While you may be prepared to walk away from your house, the foreclosure may not end for you at the time of sale. If your house sells for less than what you owe (and, in a foreclosure, this is bound to happen). the lender has the right to obtain a deficiency judgment. The lender also has up to 10 years to collect on that judgment, depending on what steps the lender takes. While a judgment may not be a concern in your present circumstances, it might be a big deal later on when the bank begins collection proceedings. You might be able to avoid this in a successful foreclosure settlement by getting the bank to waive its right to collect a deficiency judgment.

Foreclosure is scary and it may make you feel that you have no options. But, in many cases, you do. Before you walk away from your biggest investment, you need to know what those options are. At the very least, you may need to protect yourself from having your wages garnished or a lien placed on future property. After all, if you are walking away from your home or other property, you need to make sure the door is completely shut when you leave.

LOAN MODIFICATION AND HAGGLING: IS THAT THE BEST YOU CAN DO?

Haggling is such an intrinsic part of many cultures. Visitors to a Chinese marketplace or an outdoor bazaar in Morocco wouldn’t think twice about engaging in some back and forth about the price of an item. Its expected even. The practice isn’t as mainstream in the United States. Or is it. After reading an article about the increase in price haggling in the United States during the current recession (a bitter relief to finally use that word), where haggling was used to negotiate the price for goods such as electronics and furniture as well as services such as doctor visits and dry cleaning, perhaps our Western civilization is finally grasping the concept. And perhaps we should take the concept and apply it to loan modification.

Many people are struggling to convince their lender to modify their current loan, to negotiate a lower interest rate with their credit card company. The following haggling tips may be useful in a successful modification.

Be patient and be nice- You are dealing with an overworked loan officer whose phone is ringing constantly and who is receiving more letters than Santa Claus. Following up patiently yet persistently will help the situation, while demands will likely send your hardship letter to the bottom of the pile.

Set your standards- If you want to keep your house, you still have to pay your lender. If you want to lower your payment by reducing the amount of interest, your lender will probably want to extend the length of your mortgage. Be prepared to accept some sacrifices to achieve your overall goal of keeping your home.

Ask for freebies- When haggling for an item, you may offer to pay more and ask for another item to be thrown in for free. You’re not going to do that with your mortgage. But there are other ways to sweeten the deal. For example, prior to your asking for loan modification, you didn’t pay your mortgage at all or didn’t pay on time. Your non payment resulted in late fees being added to your mortgage and your late payment was reported to the credit bureau. Both of those items may be removed as part of your mortgage modification.

Accept the offer when the price is right- Your lender is not going to make life easy for you. If your lender believes that you are able to pay your mortgage with some sacrifice, your lender will want you to do so. Be prepared to cut items out of your budget in order to make a monthly payment. Make sure your payment reflects that.

Florida foreclosures remain at high level

There is a law school urban legend (which may be true at some schools) that, during orientation, students are told, look to your left, look to your right, one of you will fail and won't make it through the semester. Looking at recent data concerning foreclosures, I can't help but think that the same visual applies in many neighborhoods in Miami-Dade and Broward County.

In a recent report by RealtyTrac, it was reported that Florida retains one of the highest foreclosure rates in the nation. This is hardly news as it has been reported in numerous forms. But the newly released data is still troubling. The Miami-Fort Lauderdale area ranked 14th nationally, with one in every 28 homes -- 3.54 percent -- in foreclosure. Florida's west coast, one of the most hard hit areas, is faring even worse. One in every 14 homes, or 7.2 percent of total housing units, was in some stage of the foreclosure process in the Cape Coral area.

This data was published almost simultaneously with President Obama's report that the economy has stabilized. This might be the case, but even Obama admitted that it would take a while for the economic recovery (which has yet to happen) to filter down to the individual level.

Avoid foreclosure? Move into a smaller house

In what appears to be a not so novel idea, Professor Michael Zelin of Kent State University posed the following as a method to avoid the foreclosure crisis: trade down. Literally.

Zelin's theory is that borrowers who cannot afford their payments move into a smaller home owned by, you guessed it, another borrower who cannot afford the payments, who then, you get the idea. This seems almost a reverse pyramid, but, as Zelin puts it, this is what people are doing anyway in this current climate. Just not in this orderly fashion. Most people who lose their homes to foreclosure either rent a smaller place or move in with family and friends. Trading rent for a mortgage payment is simply a means of paying less per month. If Zelin's idea takes off (and its hard to imagine the bank's endorsing this or assisting with the procedure of moving homeowners in an orderly fashion), homeowners are trading a too high payment for one that is within their budget.

It is estimated that there will be 3 million foreclosures nationwide. Buying a house will not be an option for any of them with their post foreclosure credit scores. Most will live with family and friends. Some will be able to rent. But many will be what is being referred to as the "floating homeless". The banks, in their slower than molasses approach to loan modification, aren't doing enough to reduce these numbers. Perhaps its time to start thinking outside the box.

Foreclosures are often in bank’s best interest.

Yep, you read that right. While many, this blog writer included, are inclined to believe that foreclosure is disadvantageous for the bank, experts suggest that it’s the bank’s best option to deny loan modification and proceed with foreclosure. In several scenarios at least.

There is one type of situation where everyone seems to agree that loan modification is in the bank’s best interest. If the borrower can't sustain the present payments, either because the principle is too high or the interest is, but can make the modified payments.

In the case of a borrower who can’t make the modified payments under any circumstances, it makes sense for the bank to deny loan modification. But, in two other types of cases, there is no obvious answer, although data appears to suggest which way the bank wants to go.

There are borrowers who can catch up on their payments, but at great financial sacrifice, such as using the overwhelming majority of their monthly income to make the mortgage payment, what is sometimes referred to as “house poor”. In other words, bag your lunch, don’t take vacations and hope that there is no medical illness or unexpected event in your life. The quality of life may be lower and the lever of anxiety may be higher for these borrowers, but the bank has little financial incentive to help them.

The second subcategory of borrowers are those who can catch up, but will take a long time in doing so. Unlike the above example, where the borrower can make immediate changes and have the ability to pay, these borrowers may be able to cure over time. Whether it’s the uncertainty or the need to have it happen now, banks don’t appear interested in helping these borrowers.

The bottom line is that there will be no help to a foreclosure situation without at least some self-help from the borrower. The statistics show that a successful loan modification depends on convincing that bank that you can pay the modified amount, but that you cannot pay the present amount under any circumstances.

Mortgage service companies questioned about loan modification delays

Despite government efforts to make loan modification available to homeowners, those facing foreclosure are still encountering delays and resistance. Senior officials from the departments of the Treasury, Housing, and Urban Development called in representatives from these companies to respond to allegations that servicers failed to deliver.

The statistics, presented by the New York Times, are troubling. As of mid-July, there were 160,000 trial mortgage modifications made by servicing companies, with another 165,000 offers outstanding. The number of mortgages in the modification process pales in comparison to the more than 1.5 million properties that received a default or foreclosure notice in the first half of the year.

It may seem that the reason more farther behind without foreclosure being filed is because there are so many delinquencies and lenders have a backlog of foreclosure filings. But many believe differently. The companies typically collect a percentage of the value of the loans they service. They extract their share regardless of whether borrowers are current on their payments. Indeed, their percentage often increases on delinquent loans. Legal experts say the opportunities for additional revenue in delinquency are considerable, confronting mortgage companies with a conflict between their own financial interest in collecting fees and their responsibility to recoup money for investors who own most mortgages.

Data on delinquencies reinforces the notion that servicers are inclined to let problem loans float in purgatory — neither taking control of houses and selling them, nor modifying loans to give homeowners a break. Even more questionable is data reported from the realty research company First American Core Logic. From June 2008 to June 2009, the number of American mortgages that were 90 days or more delinquent soared from 1.8 million to nearly 3 million. During that period, the number of loans that resulted in the bank taking ownership of the home declined to 245,000, from 333,000.

Ultimately, the benefits of delinquency erode incentives for mortgage companies to dispose of troubled loans quickly, say experts, allowing distressed houses to decay and fall in value — a fact that many believe is of little interest to the servicer.

Shockingly, the major financial institutions deny that they would place their own profits ahead of the best interest of the borrower. One Bank of America official is quoted as saying: "that's just not the right thing to do". But there has been no explanation offered by banks and servicers for why the modification process is so slow, except for general claims about backlog. One thing is certain: loan modification is not happening for most people. And the mortgage service companies, who have a financial incentive for it not to happen, cannot seem to provide a reason

South Florida foreclosure rescue firms ordered to shut down

A Palm Beach Circuit Court judge granted an emergency ruling that four mortgage modification operations who are currently under investigation by the Attorney General's Office must cease doing business. The companies are: FHA All Day.Com, Safety Financial Services, Housing Assistance Law Center and Housing Assistance Now.

Two of the companies named above have been shut down. However, when investigators showed up at the businesses, they found employees shredding documents. Investigators reported that among the about to be shredded documents was personal information belonging to alleged clients of the firm.

State regulators have launched 81 investigations against mortgage modification operations, including 14 where lawsuits have been filed. Officials said investigators are looking at 86 additional companies and that the numbers may grow. The Federal Trade Commission also has launched a major crackdown on foreclosure rescue firms with its Operation Loan Lies, announcing 189 actions in 25 states earlier this month.

Bank of America begins foreclosure rescue assistance program in Florida

Bank ofAmerica has allocated up to $150 million nationwide to assist certain borrowers who experienced a foreclosure, short sale or deed in lieu of foreclosure on mortgages originated by Countrywide Financial Corp. BofA bought Countrywide in July 2008 for $2.5 billion. Borrowers who may be eligible for foreclosure relief will be notified by letter. The program, which is part of an agreement between Bank of America and the state attorney general, was supposed to begin last October. Better late than never, at least for some.

Foreclosure relief is the first of three components of the program. The second component is supposed to assist up to 400,000 borrowers who financed their homes with subprime or payment-option, adjustable-rate mortgages serviced by Countrywide in modifying these mortgages to affordable payments, either through reduction of principle or interest rate reduction. The third component provides relocation assistance in the form of a cash payment to borrowers who experience a foreclosure sale and agree to leave the property voluntarily.

Additional information is available at my.countrywide.com/media/HRPFactSheet.html

South Florida county's web page helps residents fight foreclosure

The town of Davie recenly launched its foreclosure prevention website. The site contains a printable resource guide to with information on ways to avoid foreclosure. Also available is a glossary of terms which may not be familiar to homeowners.

The town hopes to assist many of its residents who currently face foreclosure proceedings. There are currently over 400 homes in preforeclosure in Davie. The city commission has applied to the Florida Department of Community Affairs for $2.3 million in federal Neighborhood Stabilization Program funds to address the growing foreclosure problem.

Unlicensed contractors seek to profit from Florida's recession

A Florida homebuilder participated in a sting operation to expose unlicensed contractors who advertise home remodeling services. In the span of two days, the investigation revealed 15 unlicensed contractors advertising their services to, and gaining access into, Florida homes.

The process is simple: the illegal contractors advertise home remodeling services. Because they are not licensed, they do not pay insurance, taxes and other fees and are able to charge less for their services. This practice not only takes business and revenue away from licensed contractors, it places those who accept the services at risk. In addition to the lack of insurance, it is believed that many of the unlicensed contractors have criminal records, and some may be registered sex offenders.

Its no secret that everyone is trying to save money these days. But homeowners need to be more careful than ever about the ways they save money and who is allowed into their homes.

Foreclosure judgment entered against developer owner of Victoria Park condominium

The Broward Circuit Court entered a foreclosure judgment in favor of a Miami-based bank on July 14, 2009. The developer, ANM, acquired the Blux at Victoria Park and a related condominium project in 2006. The 15 unit Blux was nearly completely unsold- with one unit having been purchased in 2007. The neighboring Acqua at Victoria Park is a 5 unit condominium. Pursuant to the foreclosure judgment, the Victoria Park property will be auctioned off at a public sale on September 22, 2009 at 11 a.m.

Florida Foreclosure scams: how low can they go?

Four more South Florida mortgage loan modification companies have been sued this week for violations of the Florida Foreclosure Rescue Fraud Prevention Act. FHA All Day.Com, Inc., Safety Financial Services, Inc., Housing Assistance Law Center PA and Housing Assistance Now, Inc. were named in the suit, as well as FHA All Day and Safety Financial owner Jason Vitulano. To date, the Attorney Generals office received over 300 complaints about the Delray Beach and Boca Raton based businesses.

The four related companies allegedly targeted homeowners with telemarketing calls, using President Obama's voice, charged upfront "document review fees" and "legal costs".

Vitulano reportedly told the Sun Sentinel that said he only had rented space to Housing Assistance Law Center and denied any connection with Housing Assistance Now. He and the Attorney General's Office had discussed settling for $15,000 in investigative costs and $20,000 in restitution regarding FHA earlier this year but Vitulano said negotiations broke down when he refused to also permanently abandon the mortgage modification business.

While the Attorney General's office appears to be vigorously pursuing companies who violated the Foreclosure Fraud Prevention Act, it appears that these actions alone are not enough to prevent the widespread fraud and resultant damage from companies and individuals who seek to profit illegally from the misfortune of Florida homeowners. Until the public is sufficietly educated about the foreclosure fraud law, thus able to avoid paying large fees to companies who will do little or nothing to assist them, it appears that the fraud will continue.

Florida's economic recovery expected to be slow and unemployment expected to continue

In a further bout of good news, Florida Legislature's Office of Economic and Demographic Research revised its forecast for the Florida economy and predicted that Florida's economic recession will not hit bottom until next year. The economic forecast offered the additional gloom and doom news that unemployment is expected to remain at or near 11 percent through 2011. Keep in mind that those unemployment statistics reflect only those currently receiving unemployment benefits, and also do not take into account those who are working part time rather than full time.

But, take heart, South Floridians. State experts are predicting a faster recovery for us than our neighbors in the northern part of the state. Given the diverse economy of South Florida, which is less reliant on real estate development, South Florida could rebound faster and stronger than the predictions.

The numbers and predictions seem to be little more than educated (or not so much so) guesses on when things will get better. One thing is certain: without some type of state-wide or national reform, the foreclosure rate, which experienced a small decline last month, will continue to soar.