Florida Consumer Lawyers

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Shining a light on a key member of our volunteer team: Meet Scott Stamatakis, a dedicated attorney from Florida Consumer Lawyers. Scott generously donates his time and legal expertise through our Volunteer Lawyers Program, making justice accessible to those in need.

As Scott puts it, "Sometimes, the best form of payment for helping those who need it is a simple hug or handshake."

We extend our heartfelt thanks to Scott and all our volunteer attorneys for their invaluable contributions. Discover more about our Volunteer Lawyers Program at bals.org/volunteer/about.

There is an insurance fraud problem in Florida. But it is the insurance companies committing the fraud. Unfortunately, these business practices are encouraged by Florida's government.

Florida regulators warned of insurance company manipulations years ago The state is now investigating allegations that insurers manipulated claims to pay homeowners less.

Facebook class action is settled. Click below to claim you money.

In re: Facebook, Inc. Consumer Privacy User Profile Litigation If you were a Facebook user in the United States between May 24, 2007, and December 22, 2022, inclusive, you may be eligible for a cash payment from a Class Action Settlement.

Here is a snap shot of lawsuits filed this week in Florida:
Saturday (3/19) - 3,868
Sunday - 5,900
Monday - 15,663
Tuesday - 32,493
Today (so far) - 6,577 and counting.

That makes nearly 65,000 lawsuits filed on behalf of Plaintiffs since Saturday. For those that don't know, this is being done to protect the rights of Florida's citizens as they come under attack by Governor DeSantis and the Republican legislature who are on the verge of passing HB 837.

Florida Consumer Lawyers is proud to have filed more than our fair share of cases and will do what is needed to protect our clients and all consumers throughout Florida.

RIP David, it was a pleasure doing business with you over the years.

It is with an extremely heavy heart that I share David Garside passed away this morning. David was such an awesome guy and caring man. David was an invaluable member of the CBS and LeavenLaw team.

Details regarding his service will be shared, when know . Rest In Peace, David.

Welcome to the new normal.

Application for student loan forgiveness now open. This application is simple and will only take 2 minutes to complete. Follow the link.

Federal Student Aid

The average 30-year fixed mortgage rate climbs to 7.14%. That's a new 20-year high.

Stage 2 of the housing downturn is here. Be careful who you take advice from.

The Next Stage of the Housing Downturn is Here Here is what you can expect as the housing downturn spreads across America

The biggest lie ever told is that you might actually pay off your credit card debt one day.

Most Americans Can't Shake Long Term Credit Card Debt A new report revealed that more than 60% of consumers carry credit card debt for more than a year and 25% if consumers use credit cards to cover daily costs of living.

Buy now pay later? More like "Buy now bankruptcy later."

Buy Now Pay Later Debt is Out of Control and Will Hit $15 Billion By 2025 The Buy Now Pay Later credit model is starting to compete against credit cards and costing consumers significantly more money than every before.

Mortgage rates are at their highest level since 2008 and may continue to rise for next 3 years.

Mortgage Rates Higher than 6 Percent for First Time Since 2008 Borrowing costs for mortgages have doubled in the last nine months as the Federal Reserve continues raising interest rates to fight inflation.

Florida's housing market looking at a possible 20% decline in home prices?

Most of America's Housing Market At Risk of a 20% Home Price Decline in 2023 Reports are now saying that the top 210 housing markets in America could suffer 20% home price reductions in 2023, with many large markets losing more than half their value.

Nursing home debt collectors will openly break the law to get your money.

Debt Collectors For Nursing Homes Are Going After Family Members for Debts They Do Not Owe Nursing home debt collectors don't care about the law. They only care about money and are coming after family members of residents even though they are not responsible for the debts.

Ready or not, foreclosures are making a comeback.

Foreclosures Making a Comeback in 2022. Primed for a Breakout Year in 2023. U.S. Foreclosures Reach Pre-Pandemic Levels Nationwide with Florida Entering the Top 5 Nationally in Foreclosures.

Student loan forgiveness coming in October.

STUDENT LOAN FORGIVENESS COMING IN OCTOBER Student loan debt relief will be here in October. This is a great program that people should apply for without delay.

THE NEXT STAGE OF THE HOUSING DOWNTURN IS HERE.

If you are planning on buying a home, or thinking about doing so, you need to get a bit of a reset, according to Federal Reserve Chairman Jerome Powell. He said that the country needs to get back to a place where there is a steady supply of housing and inflation is low.

When the central bank stops supporting monetary easing, it affects the interest-sensitive sectors of the economy, such as real estate. When the monetary tightening comes, the impact on residential real estate will be even greater. In June, Powell admitted that the increase in asset prices over the past two years would have an impact on the housing market. However, he was not ready to predict how the rate shock would affect the prices of homes.

Back in June, it was still unclear if the housing market was going to get a boost from the reset. After a sharp drop in housing activity in June, various indicators started to show signs of a recovery. However, as data for August started to roll in, it became clear that the housing market was in the second stage of its decline. This means that the decline in housing activity and home prices is now more pronounced.

According to Rick Palacios Jr., a real estate consultant, the rising interest rates will continue to have an impact on the housing market. He said that there are several markets where home prices are expected to fall by double digits.

In this post, we'll take a deeper look at the various elements that will affect the housing market as it enters the second phase of its decline.

THE HOME PRICE CORRECTION IS NOW EVERYWHERE

After the rising interest rates caused mortgage rates to increase from 3.2% to 6.3% this year, industry insiders warned that it would have a negative impact on the housing market. However, many housing bulls believed that it wouldn't cause prices to fall. In March, real estate website Zillow predicted that home prices would increase by 17.7% over the next year.

According to John Burns Real Estate Consulting, almost a hundred housing markets have experienced home values falling from their 2022 peaks. Only 50 markets have remained at their peak.

The Burns Home Value Index has already dropped by 5% in 11 markets. Among the cities where home values have dropped are San Francisco, which experienced a 8.2% drop. While it's common for prices to fall around this time of year, it's not usually for comps or home values to fall. The housing market is now more widespread than previously believed.

A growing number of research firms, including Zelman & Associates, Zonda, and John Burns Real Estate Consulting, predict that the housing market will continue to decline until 2023. According to a report released by credit rating agency, Moody's Analytics, home prices in the US could fall 5% to 10% in the next couple of years.

A recession could cause home prices to drop by double digits, according to estimates by credit ratings firm Moody's Analytics. Even though this scenario would be below the 27% decline that occurred during the peak of the housing market, it's still expected to happen.

Despite the various factors that have affected the housing market, some firms still believe that the home price correction will continue until 2023. For instance, real estate website, Zillow, noted that 62% of housing markets are expected to see home values decline in the third quarter of 2022. But, its economists believe that only around 28.5% of the country's housing markets will experience year-over-year price drops starting in August 2022.

THE HOUSNG DOWNTURN WILL SPREAD TO OTHER AREAS OF ECONOMY

Economist Bill McBride of the blog, Calculated Risk, noted earlier this summer that the housing market is not the target of the economy. It's actually expected to continue declining.

The home-shopping moratorium has caused many people to put their plans on hold, which has led to a reduction in demand for various homebuilding materials such as windows, doors, and refrigerators. These economic contractions are expected to help rein in runaway inflation.

According to a report released by Goldman Sachs, the housing market will continue to decline until 2023. It's not surprising that the Federal Reserve would increase interest rates in an attempt to slow the economy.

In a paper released by Goldman Sachs, the investment bank noted that the US housing market will continue to decline until 2023. It predicts that the country's gross domestic product (GDP) will drop by 8.9% in 2022 and 9.2% in 2023. During the peak of the housing market, the country's housing GDP fell by 7.4% in 2006.

Despite the various factors that have affected the housing market, most of the financial pain caused by the crisis has been concentrated in the real estate industry.

The housing market has already experienced a year-over-year decline of 29.6%. Multiple real estate firms, such as Redfin, Realtor.com, and Compass, have already laid off employees. Builders are also calling off projects due to the lack of demand. Some mortgage lenders are also experiencing issues.

SELLERS ARE LEAVING THE MARKET

In May, the number of homes for sale on Realtor.com increased by 106,900. In June and July, it rose by 102,900 and 128,200, respectively. However, in August, the increase in inventory only slowed down to around 31,900. According to a study by the firm, the number of homes for sale will eventually fall throughout the year.

After the housing market started to decline this summer, the number of homes for sale increased significantly across the country. In some areas, such as Austin and Las Vegas, the inventory of homes increased by more than 300% during the March and August period.

We're entering the next stage of the housing market downturn—3 things to expect heading forward The housing market downturn will spread beyond housing.

THE HOUSING DOWNTURN IS OFFICIALLY HERE. WHAT COMES NEXT FOR YOU?

The U.S. entered into its first housing downturn of the post–Great Financial Crisis era. But the worst still awaits.
What can we expect in 2023:
1. The U.S. is now entering its first housing downturn of the post-Great Financial Crisis era.
2. According to Goldman Sachs, don’t expect any recovery until 2024 at the earliest.
3. Goldman Sachs latest forecast of the U.S. housing market predicts an 8.9% housing GDP drop this year and a 9.2% drop in 2023.
4. The economic consequences of 6% mortgage rates in 2022 is more severe than the 5% rates of 2018.
5. Predictions for home sales, according to Goldman Sachs:
a. 22-30% drop in new home sales in 2023
b. 17-30% drop in existing home sales in 2023
6. Why the downturn? Two main reasons. First, the Fed Reserve intentionally policy to fight inflation and slow down prices and housing market by raising interest rates. Second, the pandemic brought about the largest spike in household formation in history. Now that life is back to normal, that trend has stopped and will likely reverse.
7. How will the housing downturn impact home prices? There is great debate here amongst analysist. Goldman thinks price growth will be flat in 2023, but other major analysts, who were right in predicting the last housing crash think that overvalued areas, like Florida could see 10-15% price drops. If there is a recession, price drops could go as high as 20-30%.
8. Will there be a flood of inventory due to homeowners rushing to sell their homes? Yes and No. On major difference between the current housing market and the last housing crash is that the job market remains strong. People continue to make money and are able to pay mortgages. As long as that holds we may only see slightly above normal supplies. However, one factor working in the opposite direction is that home prices and monthly mortgages are at historic highs. At what point will the mortgage burden be too much to bear for consumers? That is the wildcard.
There is quite a bit of guessing go on and you could also argue that many of these financial analysts are mixing sound research with corporate propaganda. This housing downturn won’t be like the last housing crash because the job market is strong and there is not the sam level of toxic debt in the marketplace. But those factors have been replaced by historically high mortgages and household debt levels. At some point something has to give. I believe we will see a 10-20% price decline in many parts of Florida in 2023 and an increase to slightly above average, pre-pandemic foreclosure levels, along with a continuous 10+ month inventory in the housing market.

Affordable rent is a thing of the past.

Freddie Mac: Almost 60% of renters saw increase during past 12 months The federal home loan giant released new study data, which showed that about 1 in 3 renters saw increases in their monthly rent payments.

Alert🚨 The Department of Education is canceling all remaining federal student loans to borrowers that attended ITT Technical Institute from 2005 until it closed in 2016.

Education Department approves $3.9 billion group discharge for 208,000 borrowers who attended ITT Technical Institute | U.S. Department of Education Today, the U.S. Department of Education (Department) announced that it will discharge all remaining federal student loans that borrowers received to attend ITT Technical Institute (ITT) from January 1, 2005, through its closure in September 2016. The decision, which follows Departmental findings bas...

Rent protections are here for much of Hillsborough and Pinellas counties.

Rent Protections Are Here for Hillsborough and Pinellas Counties Rent Protection Laws are now in effect in Hillsborough and Pinellas Counties. Enforcement to start October 1.

The current reality of the housing market:

June 2022 witnessed the second largest monthly decline in average new home prices in 50 years.

April 2022 - June 2022 marks the fastest decline from an all time high in US history.

Since May 2022, average new home prices have experienced their steepest price drop since 2008.

If you're in the market for a new home, its important not to take advice form the professionals that only make money if you buy the home. Florida Consumer Lawyers is your one stop shop for all matter related to your mortgage and real estate matters.

HOA Problems? Call us.

A couple fed nearby ducks. Now, their HOA is threatening to foreclose. A Texas couple refuse to stop feeding ducks in their neighborhood. Their homeowners' association filed a lawsuit that seeks to foreclose on their house.

We have come across a number of cases recently where apartment complexes are billing tenants one to two months rent for liquidated damages just for moving out, on-time at the end of their lease. Most corporate owned apartment complexes place provisions in their leases requiring tenants to give 60 days' notice prior to the end of their lease if they plan on moving out. Most tenants don’t realize this and get hit with bills running between $2,000 - $4,000 upon moving out. We recently filed suit in a case where this happened. The tenant paid all their rent, moved out and then saw a negative mark on their credit from a debt collector when applying for a loan. After looking in to it they found out it was the apartment complex charging a liquidated damages fee just for moving out on time. After contacting us we investigated the case and found that that if an apartment complex is going to put in a 60 days' notice clause that puts burden on tenant to notify complex they are moving out at end of lease then the apartment complex has the duty under law to give the tenant at least 15 days' notice prior to the expiration of the 60 day window. Of course, the apartment complex did not so we brought a claim under Florida's Consumer Collections Protection Act. The case resulted in a waiver of the debt, deletion of any reporting on credit and $10,000 in damages and attorney fees. These cases can be very valuable for consumers and in this instance the result was the client going from being in collections, owing $4,000, and having a negative mark on credit to having all of that erased and putting cash in their pocket. Any time some one is trying to collect money from you call us before you pay. There's a good chance we will make them pay.

Apartment Complex Hitting Tenants with Illegal Fees in Debt Collection Lawsuit Debt collectors are everywhere and with the rise of investment groups and hedge funds buying up massive apartment brands we have seen an uptick in shady collection tactics and the charging of illegal fees to consumers.

Dealing with debt collector scams.

Identifying and Dealing with Debt Collection Scams Asking questions without disclosing any personal information is the best way to smoke out a scam debt collector. These cowards and con-artists typically only go for the easy scores so a serious of pointed questions will probably chase them away.

The idea that regulating content on social media platforms is a denial of free speech is laughable. Social media platforms should be liable for intentionally delivering dangerous and harmful content to people, children in particular.

Parents Sue TikTok, Saying Children Died After Viewing ‘Blackout Challenge’ The suit, involving girls ages 8 and 9, claims TikTok knew or should have known that its product was “addictive” and was directing children to dangerous content.

Credit reporting agencies are undermining our military members.

US Military Members are Losing the Battle Against TransUnion, Experian and Equifax More than 43,000 complaints for inaccurate credit reporting were filed by active service members in 2021. These inaccuracies are risking security clearances, jobs, and our military's ability to effectively do the job.

Are you being charged "pay to pay" fees?

Debt Collectors Charging "Pay to Pay" Fees Violates the FDCPA Debt collectors latest scam involves charging convenience fees for online or over the phone payments. These "pay to pay" fees are a clear violation of the Fair Debt Collections Practices Act and the Florida Consumer Collection Protection Act.

There is no question that private equity firms and other corporate landlords buying up single family homes has undermined homeownership, driven up rents, and is destroying the ability of the working class to build wealth in the future. These firms dominate markets by making cash offers that aren't really traditional cash offers. First time homebuyers simply cannot compete. Recently Congress took up the issue and the subcommittee assigned to this issue published a list of findings. Here are ten facts that caught our attention:

1. Corporate ownership of single-family homes began to increase after the last recession, with these firms initially targeting foreclosed homes.
2. The 3rd quarter of 2021 showed the biggest year over year increase in corporate ownership of single-family homes in 16 years.
3. There are five private firms that own the majority of all the single-family homes purchased, they are: Invitation Homes, American Homes 4 Rent, FirstKey Homes, Progress Residential, and Amherst Residential.
4. These 5 companies purchased 76,235 rental homes between March 2018 and September 2021.
5. If they sold their homes they almost exclusively sold to other private firms and not individual buyers.
6. These 5 firms specifically targeted Black neighborhoods.
7. While the average Black population in the US is 13.4%, they represent 40.2% of all tenants in homes owned by these 5 corporate landlords. That is three times the Black population and a staggering number.
8. These 5 private firms are also targeting neighborhoods with higher percentages of single mothers.
9. Between 2018 and 2021 these private firms increased rents and fees by 40%. This doesn't include rental increases in 2022, which have been extreme.
10. The number of tenants that have fallen behind on rent since 2018 has doubled under the thumb of these corporate landlords.
Specifically, tenants behind on rent increased from 11.3% in 2018 to 19.1% in 2021. Tenants that fell behind on additional fees increased from 10% to 20.7% during that time.

In lay terms, think of it like Amscot applying their business model to home ownership and becoming your landlord. Corporate ownership of single-family homes is a threat to every working family and consumer in America. Financially instability, hardship and an inability to save and build wealth will continue to rapidly increase and will become the new normal for millions of working families and consumers. By taking away a family's ability to build wealth through homeownership, these companies are guaranteeing a generation of working Americans that will live paycheck to paycheck with no chance of saving enough money to raise their economic profile. If you are renting a homeowners by a corporate landlord and they are hassling you or overcharging you then call us today.