Detroit, MI asked in Foreclosure for Michigan

Q: Why would our servicer close our foreclosure with their attorneys?

We are facing foreclosure, so we applied for a modification & our servicer put the proceedings on hold with their attorneys while a a decision is made. Saturday, my online account showed there was a decision made, but the mod Dept says there hasn't been any decision. I contacted the attorney firm today & they told me that my servicer closed the case with them at the beginning of the month but wouldn't tell me why. Why would they close it instead of place it on hold? Is this good new or bad news?

Related Topics:
1 Lawyer Answer
David Soble
David Soble
  • Foreclosure Defense Lawyer
  • Farmington Hills, MI
  • Licensed in Michigan

A: With the current pandemic, if your loan is an FHA or FNMA loan, there is an adjournment of foreclosures for 60 days right now. If the virus still lingers, then I speculate that further mortgage foreclosure relief will be coming. Nothing can happen in the foreclosure process and the lender will adjourn any sale. You need to remain vigilant during this time as the lender does not have to re-notice you for the sale date. But if your loan is a federally insured loan or FNMA, there is a delay. In the meantime, resubmit the modification package. Also, contact the lender one more time- not the attorney and speak with them to confirm that the sale has been stopped. Lenders control the attorney, and not the other way around.

Good luck. Also, you can see more about foreclosures by visiting

Justia Ask a Lawyer is a forum for consumers to get answers to basic legal questions. Any information sent through Justia Ask a Lawyer is not secure and is done so on a non-confidential basis only.

The use of this website to ask questions or receive answers does not create an attorney–client relationship between you and Justia, or between you and any attorney who receives your information or responds to your questions, nor is it intended to create such a relationship. Additionally, no responses on this forum constitute legal advice, which must be tailored to the specific circumstances of each case. You should not act upon information provided in Justia Ask a Lawyer without seeking professional counsel from an attorney admitted or authorized to practice in your jurisdiction. Justia assumes no responsibility to any person who relies on information contained on or received through this site and disclaims all liability in respect to such information.

Justia cannot guarantee that the information on this website (including any legal information provided by an attorney through this service) is accurate, complete, or up-to-date. While we intend to make every attempt to keep the information on this site current, the owners of and contributors to this site make no claims, promises or guarantees about the accuracy, completeness or adequacy of the information contained in or linked to from this site.