A.G. Schneiderman Commends Governor Cuomo And Commissioner Lawsky For Issuing New Regulations To Help New York Homeowners Avoid Foreclosure

NEW YORK – December 11, 2013 – (RealEstateRama) — Attorney General Eric T. Schneiderman today praised Governor Andrew M. Cuomo and Benjamin M. Lawsky, Superintendent of the Department of Financial Services, for issuing new regulations permitting “shared appreciation” mortgage modifications in New York State. Under a shared appreciation modification, a bank or mortgage servicer agrees to reduce the outstanding principal balance on a borrower’s mortgage in exchange for a share of any future increase in the value of the home. For borrowers who are underwater on their mortgage, owing more than their home is worth, shared appreciation modifications can significantly improve their chances of avoiding foreclosure