A New Twist on How to Pay a Foreclosure Lawyer

Bankruptcy lawyers probably have a much easier time getting paid than foreclosure lawyers. That's because a bankruptcy lawyer knows that a client has a lot of excess cash if that client is not paying their bills. Sometimes they come right out and tell the client to write a check to their law firm instead of to a debt collector.

Foreclosure lawyers don't have it so easy. Just because a homeowner is in foreclosure doesn't mean the homeowner has any extra money to give to a lawyer. Or does it?

David Streitfeld, who writes for The New York Times, uncovered a practice gaining popularity in Florida. According to RealtyTrac, the only state in the country with more foreclosures than Florida right now is California. Florida has half the population of California.

Streitfeld reports that lawyers are accepting second mortgages as payment for their foreclosure prevention services and for pulling homeowners out of foreclosure proceedings. These lawyers have, in fact, become the banks.

More Articles by Elizabeth Weintraub:

• How to Stop a Foreclosure
  
• Tips for Stopping a VA Foreclosure
  
• Should You Walk Away From Your Home?

Technorati tag: foreclosure lawyer

_{At the time of writing, Elizabeth Weintraub, DRE # 00697006, is a Broker-Associate at Lyon Real Estate in Sacramento, California.}