Home > Avid Law Center, Foreclosure > Study Finds 84% of Foreclosures in SF Erroneous

Study Finds 84% of Foreclosures in SF Erroneous

An audit commissioned by the San Francisco city assessor found that of almost 400 foreclosures conducted in San Francisco, 84% appeared to have missing documents or signatures or otherwise violate the law. An attorney at the National Consumer Law Center told Reuters that the San Francisco audit is the most detailed and comprehensive to-date but its numbers are likely to comparable nationally.

A majority of the foreclosures in question showed signature irregularities, in-line with the illegal practice of “robosigning” documents.

The study examined properties subject to foreclosure sales between January 2009 to November 2011, of which, 45 percent were sold to entities improperly claiming to be the owner of the loan.

According the Reuters, the report states “It is not impossible that there are homeowners who are alleged to have defaulted on loans to which they never fully agreed to and, further, are being foreclosed upon by lenders that might not even own such loans.”

The San Francisco Assessor-Recorder, Phil Ting, commented that while many of the errors were technical, the number of fraudulent forecloses demonstrates the need for the state to change its antiquated real estate regulation.

  1. No comments yet.
  1. No trackbacks yet.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s