Good Neighbor Podcast: Delco
Bringing Together Local Businesses and Neighbors of Delaware County, PA (Delco"") and the surrounding Philadelphia Metro Region.
Good Neighbor Podcast: Delco
Daniel A. Pallen, Esq., of Media, PA: Navigating Mortgage Foreclosure Defense for Homeowner Empowerment
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Daniel A. Pallen, Esq., of Media, PA: Navigating Mortgage Foreclosure Defense for Homeowner Empowerment
What if you could turn the tides of a looming foreclosure in your favor? This episode of the Good Neighbor Podcast considers that question during an eye-opening conversation with Daniel A. Pallen, Esquire, a seasoned mortgage foreclosure defense attorney from Media, Pennsylvania, who shares his expert insights on navigating this complex legal landscape. Daniel's experience in representing homeowners in Delaware County brings to light the critical role of timely legal intervention in slowing down foreclosure processes and negotiating favorable loan modifications. With a deep understanding of Pennsylvania's legal framework, Daniel emphasizes the courts' potential as fair arbiters for homeowners caught in the foreclosure process.
In this episode, you'll hear how The Law Offices of Daniel A. Pallen is dedicated to empowering homeowners with practical strategies for avoiding bankruptcy, safeguarding credit ratings and tackling imminent sheriff sales. By defending foreclosure actions promptly as Dan explains, homeowners can circumvent default judgments, and with his expertise, homeowners gain a lifeline for those facing the loss of their home. Daniel A. Pallen's profound commitment to education and community support in Delaware County makes this episode an invaluable resource for anyone confronting homeownership hurdles when facing foreclosure and in need of legal acumen that can pave the way for financial recovery and homeowner stability.
The Law Offices of Daniel A. Pallen
Media, PA
484-550-7542
www.pallenlaw.com
facebook.com/pallenlaw
--- About The Show--- Good Neighbor Podcast is a spotlight on local businesses in and around Delaware County, PA (“Delco” ) and Beyond... The executive producer and host, Bob Blaisse, is a community sponsorship advocate, business branding specialist, and publisher of several hometown magazines, including: Newtown Square Friends & Neighbors, Marple Friends & Neighbors and Newtown Edgmont Friends & Neighbors, mailed monthly to more than 12,000 homes in Western Delaware County, PA, and also available for reading online.
Expert Mortgage Foreclosure Defense Attorney
Speaker 1Hello , delco . This is Michael Barkan , welcoming you to the Good Neighbor Podcast , where fans of local businesses and their neighbors come together . It's my pleasure once again to introduce my friend and neighbor , our host Bob Lacey .
Speaker 2Michael Barkan for that great introduction . I always appreciate Michael's efforts . On behalf of the Good Neighbor Podcast . Here we're coming to you from Delaware County , pennsylvania , and for those of you listening from far and wide we say Delco and beyond . Delaware County , Pennsylvania is that county in Pennsylvania that's most southeast , in the very southeast corner of Pennsylvania , just above the state of Delaware and the county that would say border the city of Philadelphia , philadelphia County . We have kind of a market here , that is the Philadelphia market on into New Jersey and the state of Delaware . There's three or four counties that surround Philadelphia . You've heard of them all Bucks County , chester County , montgomery County .
Speaker 2But we're coming today from Delaware County and we lovingly refer to Delaware County as Delco , delco and beyond . And what we're doing here is bringing the Delco vibe out to the nation and talking about Delaware County businesses that are really good neighbor businesses in our community and beyond that serve our people and do it with distinction and do it with integrity . And today really is a first for the Good Neighbor podcast , first time that we can introduce to you a good Neighbor business that is a guest for one of our episodes today . Let me bring to the stage Daniel A Pallin Esquire . Welcome to the program , daniel .
Speaker 3Well , thank you , bob , pleasure to be here .
Speaker 2Well , dan , most of our listeners would hear Esquire and know right away that you're an attorney . You're a practicing attorney in the county seat of Delaware County in Media Pennsylvania . Dan , you're the first attorney that we've had as a guest on the Good Neighbor podcast . I hope you know that that means something good here . Not that no attorney would want to be a guest , but we really found that in your nomination there was a little bit unique to your practice . One was that the practice was named after you . The second one was that it was all about you being the primary principal of your practice . So I don't want to call it a one-man shop , but you really are the lawyer that when someone needs a lawyer and they contact the law office of Daniel A Palin , they're going to get a chance to talk to Dan right .
Speaker 3That's correct . So I am the sole owner of the business and I'm the only lawyer here . So if somebody engages my firm , they are having me as their advocate .
Speaker 2Well , Dan , how long have you been practicing law then ?
Speaker 3So I was admitted to the bar in Pennsylvania in year 2007 . And I guess that makes it .
Speaker 2I guess 16 years yeah that's pretty impressive and , dan , I know those of us who might have lawyers in our family or in the neighborhood . We know that there's lawyers that can cross all kinds of practice . Really . Some are more like corporate lawyers or some are more lawyers that manage legalities that they have to interact with courts or counties , courthouses , laws , but some are trial lawyers . Does your practice cover sometimes finding you actually in the courtroom for a trial ?
Speaker 3Yeah , it does . I've handled numerous trials during my career . Primarily I do civil litigation and criminal defense , but really the focus on the civil litigation is mortgage foreclosure defense and hopefully we can explore that today .
Speaker 2Let's talk about that because , dan , if one thing that everybody's seeing these days is , you know , concerns about their mortgage , if not interest rates , or title theft or foreclosures because of you know , these interest rates being so high , we really need to get educated and maybe you can share with us that education , kind of through the lens of also what we hear , which is the issues of it's hard to get renters out of a property . We can't get renters out , but we can have banks foreclosed . So help us out a little bit in your defense . Are you defending the banks or are you defending the homeowner ?
Speaker 3in most times , I represent homeowners exclusively , and the type of individuals that come to my firm are people who are facing imminent sheriff sales or , preferable for me , would be somebody who's just been served with a complaint in mortgage foreclosure .
Speaker 2And how long have they been knowing that a problem's at hand ? Is it more than three months , four months , and then now it's really serious .
Speaker 3Well , it depends . I mean , if you're an individual who's just been served with a complaint and mortgage foreclosure , typically you've received various notices under Pennsylvania law , and it's the Act 6 notice and the Act 91 notice . By this point , if you've received those notices , you know that the bank or the lender is exercising their right to foreclose . That's the time when it is most advantageous for somebody to come to my office because I can slow down that foreclosure , in some cases for years . Now I have a number of people who contact me at the very end . They're almost like the ostrich that puts their head in the sand and they act like the problem is not there , because they can't see it . And that's when you get to that point . You're already facing a sheriff sale . So you get the notice that your house is going to be up for sale and it's going to happen within 20 to 25 days . People will call me then and say you know what can be done five days . People will call me then and say you know what can be done , believe it or not .
Speaker 3When you're at that stage of the litigation , you know most people feel like it's lights out . It's time for me to move , it's time for me to get out of here . But it's quite the opposite . The courts will sit as what we call courts of equity , courts of fairness . So the lawyer will go in there and not be making a legal argument as to why the bank can't foreclose or as to why the sale cannot go forward , but more as a matter of fairness . And the fairness would be listen . This individual would like to make an application for a loss mitigation application , a loan modification , or they would like to engage in what's called a short sale . But typically the way I give my clients the most value is by stopping a sheriff sale maybe one , two or three listings that buys them anywhere from , you know , 60 to 180 days that they're in their house , they're not paying the mortgage , but the lawyer is obtaining that reprieve for them so that they can then negotiate through my office with the lender or the bank to modify the terms of the mortgage . So in those situations the bank's typically going to extend the lifetime of the mortgage . They may alter the interest rate , they may calculate into there some attorney's fees for their attorneys and other things , for example the escrow , because the mortgage company is going to continue to be paying their property taxes while you're in foreclosure and you yourself are not making the monthly mortgage payments .
Speaker 3And for some people that can be very daunting because they're thinking well , what can I do ? I've already defaulted on the mortgage . They want to sell my house , they want me out of here . And when people come to me in that situation I really give them like a ray of hope and tell them that there is something that can be done .
Speaker 3You do have a chance to save your house , and I often tell people that I'm an alternative to bankruptcy , because if you file a bankruptcy , you will get the benefit of what's called an automatic stay , which means if my house is up for sale and it happens in Delco the third Friday of every month . So sometimes people will file that bankruptcy the morning of or the Thursday before and I will typically tell people that's . That's not the way to go . Try getting the extensions first , and I always inform my clients or potential clients . I can't make guarantees . I can't guarantee you that the judge is going to stay your sale , but you may have a 9 to a 9.5 out of 10 chance that that's going to happen , especially if you have a lawyer that's there in front of the judge and is representing to the court that not only are you seeking to stay the sale , but that you're going to go one step further and put in that application for the loan modification .
Speaker 2This is very interesting , dan , and I think that you've educated me . Definitely . But others who are listening to us , they all have homes , but they have friends that have homes , and we hear of people who suddenly get in a jam and they don't have anybody that they can call on to borrow money . Their credit line is exhausted . This is a homeowner you're talking about , who really loves their home and doesn't want to have to get out of it . Others maybe they're looking to get out of this mortgage . They're looking to get out of this . They want to run away from the situation . But you've really opened up our eyes here to the fact that when that second letter comes , when it seems very serious , when it seems like the sheriff's going to show up and lock the doors , it's time to come see Dan Palin and you can actually stop it , slow it down for a period of time . And what I actually heard there , dan , was you'll help with the negotiation process . Besides the legality of it all , you'll actually be a negotiator for these people .
Speaker 3Yeah , that's right . So I mean , getting a stay of the sale is just the first step .
Speaker 2I mean , once you have that accomplished , then the homeowner has some breathing room and during the period of time when the sale is basically stayed , that's when the application goes into the lender to modify the terms and conditions , and did I hear you say that the modification stage which you would be helping negotiate could actually include the possibility of , because of rates coming down , or they can make a lower rate , or because they can push the loan out on a further term , can they roll in to the loan the amount of money that hasn't been paid yet , so that it's kind of a fresh start that can happen with this negotiation ?
Speaker 2Or does the amount of money have to come up with to be able to get out of trouble ?
Speaker 3It's not that someone needs to come up with money right away . It's not as if they need to save up for a new down payment or something like that . Rather , what the bank or the lender is going to do is they're going to look at the total amount of debt that's outstanding and then they're going to compare that to the interest rate that's available now and they will look to see again , basically , whether or not the person is or could be credit worthy and they'll make an offer to have the person stay in the home . I mean , ultimately for the bank . The bank doesn't want to be an owner of real property . What they want are their payment streams . So if we can assist homeowners in getting back on track to making those payment streams , even with this interruption , which could be as long as a year or as short as 60 days , the plaintiff lenders are going to be happy and they're going to acquiesce to that because- .
Speaker 2During that period of time ? If the person hasn't been able to pay their mortgage up to this point , are they still able to not pay their mortgage while this is being negotiated ?
Speaker 3That's correct . I mean , while , while the negotiation is happening and while the sale has been stayed , there's no expectation that they will continue to pay on the mortgage unless and until a loan modification has been inked . Right , yeah , it actually occurs . I would just like to say this , though I mean , that's , that's like the back end , that's when , when we see the people that are in the most trouble . But what I really prefer is when somebody comes to me and says hey , I've just been served with this complaint , what , what ? What do I do ? And when , when people get served with the complaint for the first time , they don't necessarily think that the lawyer is the first person they should call , but they should , because we have various stages in the litigation and pleadings . You have the ability to file preliminary objections , like a motion to dismiss the complaint . That slows things down . Then you file an answer with your affirmative defenses and then , after that happens , then the bank has to file what's called a motion for summary judgment , where they're saying there's no genuine issue of material fact here .
Speaker 3We have the right to foreclose on this property , and what's amazing and that most people don't know about , is that the breadth of case law on mortgage foreclosure is actually very it's vast , and there's ways to beat summary judgment every single time , which would then force the bank to take you to trial .
Speaker 3And then , when the court administrator in the courthouse has to schedule your mortgage foreclosure trial , now that placement is competing with the medical malpractice cases and the car accidents , right , and so the court administrator may not necessarily see that your foreclosure case is the most important one and it's not going to come to the top of the list . So I remember I had one client who was very close with still am and he even came to my wedding in 2017 . And I've kept him in his house since 2016 . He's still there now , so we're talking like he's been in his home for eight years . He came to see me at the very beginning . We filed an answer to the complaint and we've been able to fight it , because one of the biggest things that's defensible is whether or not the plaintiff , the person that's claiming the right to foreclose , really has standing . Do they have possession of the promissory note ? Can they show the promissory note in court ? Can they bring the original one into court , which is a requirement ? That's a way to beat summary judgment every single time .
Speaker 2Sure , I guess we're all learning something in a big way here . I did not expect that I would get so educated into an area that I was not familiar with , but it's because , I guess you know , I'm paying my mortgage . But when someone cannot pay their mortgage , it's not just because they don't want to pay . A lot of times it's because some crisis has happened in their life and they've lost an income or something like that . But they love their home and there's got to be a way to figure this out , to get a negotiation going . So you know , really , listeners , we are listening to Dan Palin , who is an attorney in Media Pennsylvania , right there on Front Street , right across from the courthouse , the Delaware County Courthouse at 114 West Front Street in Media Pennsylvania , and Dan has a number of practice areas .
Speaker 2But it's obvious , dan , that what we've learned here is that this is a niche that requires a lot of specialty , understanding and experience , and you seem to have migrated from doing criminal law and personal injury cases and not that you won't still take those cases , but helping civil rights with certain orphans , court and prisoner cases and such . But because everyone kind of owns a home , there's a much bigger group of people and not just poor folks , people who are well off at one point struggling to stay in their home . And you really have a strong specialty here , dan the part that you mentioned about this being an avoidance of bankruptcy
Understanding Mortgage Foreclosure and Credit
Speaker 2. Tell us a little bit about how . Not only is it a way to avoid bankruptcy , because negotiation can come into the circumstance , but is your credit rating ? We all know which gets hurt and ruined in bankruptcy , but is your credit rating still affected by these slow pays or no pays that are happening while this negotiation is going on ? Or is it a whole different arena of nonpayment happening while this negotiation ?
Speaker 3is going on ? Or is there a whole different arena of non-payment , right ? So , um , if , if one is up for a share sale , at that point you've you've already been foreclosed on . The bank already has a judgment against you , so your credit rating at that point is already going to be unattractive . But the fact of the matter is , if you can get back on track , if you can get that loan modification , the bank , generally speaking , will , after a probationary period , agree to remove that judgment . So it's also a way to eventually repair your credit . And bankruptcy will stay on your credit report for seven years and it doesn't go away until that seventh year . So this is a way to avoid bankruptcy and at the same time , in some cases , maintain your dignity , because there is an aversion that people have mentally to that word bankruptcy .
Speaker 2Right . Well , there's definitely an aversion to losing the opportunity to stay in the house that you love . We're hearing this from Daniel A Pellin , who is an attorney in Pennsylvania . Dan , would you be willing to take a call from a listener from time to time here if we give your phone number out ? Absolutely , dan is really an expert in this mortgage foreclosure issue and I'm sure many lawyers are involved in it . But it's opened up my eyes and I'm sure it's opened up the eyes of a lot of listeners here . If you'd like to speak to Dan , his number in Pennsylvania , in Media Pennsylvania , is 484-550-7542 . And if you'd like to get a chance to see Dan , you can visit his website also at palinlawcom , and I'll spell it . Dan's last name is spelled P-A-L-L-E-N , so the web address is palinlawcom and you'll get a chance to read about Daniel's work and his practice . Dan , it has been a marvelous explanation . I'd like to have you back at some point so we can talk .
Speaker 2Good Neighbor podcast . You might be the attorney in residence now here for the good people of Delco and beyond , as we like to say , if you're someone that is listening to this podcast and you'd like to get a chance to talk to Dan . You've heard Dan is an expert in mortgage foreclosure issues and make it your work to talk to your friends . It's a tough subject to talk about , but if you know someone who is going through a mortgage foreclosure , think about what we've learned here in this episode and realize that the person that is struggling doesn't know this information . Tell them to tune into this episode but , more importantly , to reach out to Dan , daniel A Palin from Media Pennsylvania . Dan , anything else that you can tell us , any advice that like how to not get into trouble , just pay your mortgage on time . Is it as simple as that ? I guess .
Speaker 3Well , I mean , of course , if one's making payments , then the foreclosure is never going to happen . It's not going to happen in the first place . But all I can say is this if you're served with the complaint , you get that complaint because you're 60 to 90 days late on the mortgage and the bank files against you . That's that's really the time to pick up the phone and defend the action , because if you don't defend the action , then that , then what will happen is you will suffer a default judgment . And now you're behind the eight ball , because now you have to bust up that judgment in order to set the table back to the way it once was . And there are rules in Pennsylvania as to how you can open a judgment and they're pretty strict . You have to be timely , you have to assert a meritorious defense . But if you just contact a lawyer once you're served in the first place , now you don't have to go down that avenue , you don't have to play catch up . So I would say that's really most important .
Speaker 2Great advice , dan . Great advice and just the passion in your voice , the love of your art and helping people for a great cause to be able to stay in their house and to be able to educate them . When it seems like the world's coming at them with big tools to be able to hurt them and get them out of their house , you come in somewhat as a hero to be able to educate them , calm them down and give them a way forward . Thank you , dan , for the work that you do for homeowners and for the good people of Delaware County and beyond . Certainly , the law office of Daniel A Palin is certainly a good neighbor business here in Delaware County , pennsylvania . Thanks for being our guest today on the Good Neighbor Podcast , dan . Well , you're welcome and thank you too .
Speaker 1Thank you for listening to the Good Neighbor Podcast hosted by Bob Lacey . This is Michael Barkan inviting everyone to get on the Good Neighbor team . Nominate your favorite local business to be featured on an upcoming episode by going to gnpdelcocom or by calling Bob at 610-557-3745 .