As the mortgage foreclosure crisis continues to spread throughout the United States, state legislatures have enacted new laws that are designed to provide homeowners with additional opportunities to save their homes. In Michigan, which ranks sixth in the nation for foreclosure, the state legislature recently enacted the “Lifeline Law,” which provides homeowners with an extra ninety days to work with their banks for solutions. Similarly, in June, 2009, California enacted the California Foreclosure Prevention Act, which includes a ninety-day moratorium on foreclosures.

In many jurisdictions, the court systems have enacted measures intended to provide a homeowner with the chance to stop foreclosure from happening. Efforts by courts include: (a) mandatory mediation; (b) stricter evidentiary requirements, including new rules that require banks to produce original loan documentation as a precondition for obtaining judgments of foreclosure; and (c) counseling and pro se assistance programs for homeowners in distress.

In some jurisdictions, the efforts to stave of foreclosure are aimed specifically at holders of sub-prime mortgages. In New York, borrowers and lenders are now required to meet with judicial hearing officers.

In virtually every jurisdiction, efforts aimed at assisting homeowners in the fight against foreclosure have run against a common roadblock: the reluctance of many homeowners to file the court forms that are required for them to take advantage of the new, anti-foreclosure initiatives. Many homeowners mistakenly believe that filing an answer to a foreclosure complaint, or a complaint to delay a foreclosure sale, is too complicated or expensive. In fact, filing an answer to a bank’s foreclosure complaint is a simple process that involves filling out an easy-to-understand form with the local courthouse. Answers to foreclosure complaints are available from a variety of sources, and can be completed and filed by homeowners without paying high legal fees.

In addition, legal forms required to request mortgage modification and/or bank approval of a short sale are also widely available, affordable, and easy to use. As the mortgage foreclosures crisis intensifies, lenders have shown increasing flexibility in responding to requests for loan modifications or short sales.

There are affordable alternatives for homeowners seeking to stop foreclosure. However, the success of the new foreclosure prevention initiatives homeowners will avail themselves of the various foreclosure defense forms and options that are available to them, and enter their appearances in local courts to save their homes from the tragedy of mortgage foreclosure.

Marc A. Rapaport is an attorney in New York City. He was formerly a Staff Attorney with the United States Department of Justice. He is presently the Managing Member of Rapaport Law Firm, PLLC. Mr. Rapaport is also the founder of http://www.StopForeclosureForms.com, a website that offers downloads of foreclosure defense forms, including answers to foreclosure complaints, designed to help homeowners stop mortgage foreclosure in all fifty states.

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