Fazzio Law / The law beyond the headlines
Legal Breakdown
What happened. Why it matters.
Court decisions, bank oversight, and mortgage and real-estate news — explained through the questions that matter to property owners.
THE OCTOBER BRIEFING / Updated October 3, 2026
01 / Court Watch
Who keeps the equity after a tax foreclosure?
The New Jersey Supreme Court heard Lynette Johnson v. City of East Orange on September 23. The case asks whether an owner may pursue just compensation for surplus equity retained after a tax foreclosure that occurred before the U.S. Supreme Court’s 2023 Tyler decision, when the claim falls within the relevant limitations period.
New York · Decision issued September 30, 2026
A default can block the defense you want to raise.
In U.S. Bank Trust, N.A. v. Aprile, the Second Department affirmed the denial of relief from an earlier order allowing service by publication and appointing a guardian ad litem. The borrower did not establish a reasonable excuse for the default or a basis for relief in the interest of justice. Because the default remained in place, the borrower could not assert a statute-of-limitations defense.
The practical point: A potentially significant defense does not eliminate the need to address the procedural posture of the case. This ruling turns on its record and New York procedure.
New / Foreclosure Watch · October 10, 2026
Foreclosure pressures, close to home and nationwide.
Two new reports illustrate why a missed mortgage payment can become much more expensive to resolve when meaningful assistance comes too late. Here is our analysis of what the reporting means for homeowners in New York and New Jersey.
Bronx Foreclosure Filings Are Rising. Homeowners Need Help Before They Reach the Courthouse.
Gothamist reports on homeowners seeking help as foreclosure pressures grow in the Bronx. Our analysis explains why early legal advice, careful loss-mitigation submissions, and attention to home equity can make a real difference.
Bank Repossessions Rise 42%: What the Latest Foreclosure Numbers Really Mean
Completed bank repossessions rose 42% year over year in August. That does not mean all foreclosure filings result in lost homes. We examine the important distinction and the practical options available to New Jersey borrowers.
02 / Market Watch · August 2026 data
The national trend is not the whole New Jersey story.
About 13% above August 2025
About 22% below August 2025
17th-highest state foreclosure rate
ATTOM’s August figures show national activity rising year over year while New Jersey filings declined. Foreclosure filings include default notices, scheduled auctions, and bank repossessions; they do not all represent completed sales or homes lost.
Published September 18, 2026. ATTOM state analysis ↗August state table (PDF) ↗
03 / Property & Finance
A postponed auction is time, not a resolution.
Signorello Estate’s October 2 auction was postponed to October 16 at 1:30 p.m. at the beneficiary’s request, the San Francisco Chronicle reports. A new sale date provides time; it does not establish that the debt is resolved. This commercial-property story illustrates the distinction between a postponement and a negotiated settlement.
Showboat foreclosure suit puts commercial debt in focus.
NJ.com reports that Computershare Trust Company filed a foreclosure complaint involving Atlantic City’s Showboat Hotel, alleging $13.6 million in debt and missed payments. A complaint states the lender’s claims; it is not a final judgment or a completed sale.
The distinction: Reporting on a lawsuit should identify its stage before drawing conclusions about who owns or controls the property.
From our analysis archive
Pung v. Isabella County
Our published examination of tax foreclosure and the questions surrounding a homeowner’s equity.
Read our September 25 analysis →