A foreclosure rescue operation was sued in Broward County Circuit Court on allegations of fraud. National Foreclosure Management Inc., which also does business as American Home Rescue Inc. was charged with violating Florida’s deceptive and unfair trade laws.
About 80 homeowners were affected, representing approximately $1.7 million in equity. Most of these homeowners had substantial equity in their homes, yet were facing foreclosure. It is believed that they were targeted specifically because of the higher equity they held.
Homeowners thought that they were getting a deal. They were allowed to remain in the homes while the rescue company held the property titles for a year. Homeowners were expecting to refinance as part of the deal.
Instead, many homes were sold to investors that would in turn rent the homes back at an inflated rental rate. Homeowners lost their equity and ownership interests.
The legislature has proposed House Bill 643 and Senate Bill 992 which are expected to make mortgage rescue scams harder to operate. These bills would require a 5 day cancellation period, additional disclosures and limitations on payments received prior to service.
My husband and I lost our home in dealing with National Foreclosure Management approximately six (6) years ago. NFM told us that they could help us to save our home from foreclosure at 4285 Timber Rise Rd, Memphis, TN. We were mislead and thereby lost our first and only home, in which my husband and I resided along with my niece and nephew, that we inherited as a result of my sister’s unfortunate death due to cancer. My mother came along with us to help out with the kids.
Having to rush and move out of our home of thirteen years was a nightmare that I would not wish on my enemy. My husband sustained an on the job injury, after which he was not able to return to his job. This was so frightening as well as overwhelming for our family. I suffered from this devastingly, traumatizing, unbelieveable life’s issue. Our family has never been the same.