What is the point of foreclosure defense? MONEY!

Tonight we talk about how to be persuasive in court so that the Judge realizes that the foreclosure might not result in any proceeds being used to pay down the debt. 

The point of defending a foreclosure is saving the house or getting compensation for losing the house. Saving the house means defending it. Getting compensation means filing a lawsuit for damages. In nonjudicial states you need to file for a TRO in order to challenge the foreclosure. 

The central point of foreclosure defense in the current era is to reveal the fact that the foreclosure will not result in payment of the debt. Everyone seems to think that the central point is to avoid paying the debt. There used to be only one defense to foreclosure: payment. In the current era starting in the late 1990’s there is another defense — lack of payment. 

The issue is wrapping your head around something that is completely counter-intuitive. Why would anyone foreclose unless they were looking for money to pay down a debt?

The answer to that question sends most people into a tailspin, stumbling over their own words. In the end the judge doesn’t know what your are talking about and you lose your home unless you present a clear and persuasive reason to prevent foreclosure — namely that the party claiming foreclosure is not in fact the owner of the debt and probably has never seen nor possessed the original promissory note. 

That claimant has never loaned any money and they don’t say that they have loaned you money. That claimant has never paid value for the debt, note or mortgage, they don't say they did. In most cases you were mislead into believing that the Payee named on the promissory note was lending you money.