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Local Indymac lawsuit freeezes home foreclosures

When Luis Armando Benito purchased the home on Cherry Canyon Avenue in October 2004, the Las Vegas real estate market was still skyrocketing toward the stratosphere.

The four-bedroom, two-bath home's $475,000 price was high, but Benito was able to secure an adjustable rate mortgage (ARM) loan with surprising ease from Indymac Bank. It appeared his dream of home ownership had become a reality.

A few months later, Benito was jilted from his reverie in a story that's become hauntingly familiar in a state that leads the nation in home foreclosure. When Benito's ARM came due and his interest rate went up, his mortgage payment doubled.

Benito is part of a federal class-action lawsuit filed by Matthew Callister and Brooke Bohlke that, so far, has delayed some homeowners from slipping into foreclosure.

Read more about it in my Tuesday column.

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