“I’m really devastated here, I don’t understand how this can happen,” explained Golden Valley Minnesota homeowner Rose McGee.
She’s referring to her California Mission style home on a quiet corner of Duluth Street in the Minneapolis suburb of Golden Valley. Citibank, Rose’s lender foreclosed after months of telling her they were working with her on a plan to save the home. The process is called “dual tracking”. That’s when the lender says they’re working with the borrower to modify their loan, but is pursuing foreclosure.
Rose McGee’s troubles didn’t start with a foreclosure on her house. Her husband passed away in 2000, leaving Rose with only one income to pay all the bills. Then came major repairs due to a series of storms that hit the metro area a few years after that. Then, she lost her job. She was able to negotiate with Citibank to refinance her home and was able to keep up with the payments until 2011 when she lost her job, again.
“I’m thinking, ‘mortgage, how am I going to keep up with my mortgage.’ It’s awful when mortgage is the first thing that comes into your mind,” said Rose.
She immediately called Citibank and explained the situation. A representative said initially there was nothing they could do for her. After some pressing, another said that there were options of paying a percentage of what she owed. Rose agreed and worked with Citibank representatives. She called and called and called. Each time getting a different person on the line. Each time the person at Citibank said they were reviewing her case and they would get back to her. One representative said she should know something soon and call back the following week. Rose heard nothing. Finally, on June 4th, she reached the person who had the answer-just not the one she was expecting.
“They said, ‘Well ma’am are you aware that your house has been sold?’” recalls Rose.
She was stunned.
On a side note: In Minnesota, lenders may foreclose on deeds of trusts or mortgages in default using either a judicial or non-judicial foreclosure process.