For many months, we’ve seen that Bank of America foreclosures have been completely stalled. There are a number of reasons for this, not the least of which is the fact that BOA took over a multitude of sub-prime loans when Countrywide went belly-up. More recently, however, the company BOA used (Recontrust) to conduct its foreclosure sales in Washington State (called “Trustee’s Sales”) ceased doing business in our state. Since that happened, I had not seen a BOA foreclosure start despite working with hundreds of files.
Last week I saw my first BOA foreclosure start in Washington State. It looks like BOA will now be using Northwest Trustee Services, Inc. to conduct its non-judicial foreclosures in Washington State. Hopefully this means that over time, the backlog of BOA foreclosures will clear up, leading to more timely foreclosures by BOA. This may benefit your association by shortening the length of an owner’s delinquency – when the bank forecloses, they take over paying the dues, which can ease some of the financial strain associations are under.
We’ll keep you posted as we notice more developments in the foreclosure world in Washington State!