Studies undertaken for Freddie Mac have shown that pre-foreclosure loss mitigation intervention can reduce the number of defaulters who go on to lose their homes by 80%. The earlier in delinquency that mitigation efforts are started, the greater the likelihood that foreclosure can be avoided and the lender/borrower relationship maintained on good, sustainable and profitable terms.

Attorney communications carry more weight and tend to focus the minds of delinquent borrowers more effectively than internal or lay communications. We provide a fixed fee service for mitigation work. Our attorneys and paralegals manage the fact-finding and negotiation by letter, telephone and face-to-face meetings. Throughout the process we seek to achieve the best solution for our lender client, but also for the borrower. Naturally, as experienced commercial lawyers we comply at all times with Freddie Mac, Fannie Mae and HUD guidelines and the terms of the Fair Debt Collections Practices Act (FDCPA). Our approach is non-threatening yet firm, courteous yet realistic, and designed to mend relations between lenders and borrowers wherever this can be done within a sustainable framework acceptable to both parties.

Generally, our lender clients determine how quickly delinquent accounts are referred to us for mitigation, and specify the parameters into which any settlement must fall. For those new to mitigation, however, we offer assistance with design of mitigation programs and specifications. For more information on common techniques used to mitigate exposure, click here.