Queens Homeowners Facing Foreclosure Begin To Fight Back; Are In "Better Position Than Ever" To Get Court Sympathy, Says Local Housing Advocate

In New York City, The Daily News reports:

• For years, the rapid judgments in favor of banks by Queens judges led housing activists and lawyers to grimly dub the process a "foreclosure mill." Even if the lenders were fly-by-night operations, borrowers rarely showed up in court to challenge them, said Josh Zinner, co-director of the Neighborhood Economic Development Advocacy Project.

• "The judges never looked carefully at these loans," Zinner said. But with new attention on the subprime lending meltdown, victims of shady mortgage brokers are more likely to see favorable judgments, advocates said. "The way the courts are seeing it right now, if there's fraud involved, you're in a repairable situation," said Peggy Morris, director of Jamaica Housing Improvement, an advocacy group. "If you have some money, you can stand your ground," said Morris, who has steered many homeowners to private attorneys. Morris said owners are in a better position than ever to get sympathy from the courts.

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• [Attorney Howard] Sherman, who has handled 40 cases in Queens and charges a set fee, said judges have come to "understand that the people who were wronged were the borrowers." "One judge summed it up: '14,000 Queens residents can't be wrong,'" Sherman said.

For more, see Justice on side of loan victims.

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