Washington becomes the third state in the Union to adopt foreclosure protection for homeowners, which will go into effect next month.
Joining Nevada and Maryland, Washington state now provides homeowners facing foreclosure another option to help save their home. Washington (like Texas and Utah) is one of 27 states where the banks can foreclose without going to court. In our experience, this forces the homeowner to bring a lawsuit to stop the foreclosure as most national banks and mortgage servicers have little interest in negotiating once foreclosure proceedings have begun. Now, in Washington, the banks will be required to enter into mediation before they can proceed with a non-judicial foreclosure. While this won’t solve the current foreclosure crisis, it will give homeowners in those states a little more time, and a few more options in determining whether or not it is feasible to save their home.
While such options are not mandated by the legislature in Texas, it does show the tide is shifting not only in public opinion, but in the legislatures of the land, toward the homeowners. If you are lucky enough to live in Washington, Nevada or Maryland, use the tools available to you. If not, an experienced attorney may be your only hope.