State moves to halt foreclosures and sales of foreclosed property

According to the Houston Chronicle/San Antonio Express-News

Texas Attorney General Greg Abbott called for a halt on foreclosures Monday amid nationwide scrutiny over the way they are processed.

Notices to suspend foreclosures were sent to 27 loan servicers doing business in Texas, including Bank of America and JPMorgan Chase, the Attorney General’s Office said. It did not have the full list of companies available late Monday. …

Gregg Stanley of, a San Antonio-based foreclosure listing service, said that the 23 other states where foreclosures have been suspended require lenders to go to court to foreclose.

Texas has non-judicial foreclosures, which don’t require court orders. But in its letter, the Attorney General’s Office said the state nonetheless requires various documents with foreclosures and wants to be certain that paperwork is handled properly and in compliance with state law.

“It could be a bit of an October surprise,” Stanley said, noting that foreclosure auctions are scheduled across the state today. Harris County’s auction is scheduled to start at 10 a.m. in the Family Law Center downtown.