May 23, 2018

Zombie Foreclosures Haunt Homewners

Since the housing bubble burst seven years ago, almost 2 million properties have started but never completed the foreclosure process, according to Realty Trac. While no one knows the exact number, it is estimated that tens of thousands of properties could be “ zombie  foreclosures”.

zombie foreclosuers

Lenders have delayed taking possession of properties that may be difficult to sell to save money on property taxes and other costs that stay in the borrower’s name. So to add insult to injury, homeowners who have been displaced from their homes due to a foreclosure action are now finding that they owe back taxes and other fees related to a property they thought they no longer owned, further slamming their credit score and making life after foreclosure even harder.

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