Just over seven months ago, the real estate market was hit with a prediction: there would be nearly one million delayed foreclosures that should’ve hit in 2011 but instead would arrive in 2012. This prediction was based off of the virtual halt in the national foreclosure process in 2010 caused by foreclosure fraud scandals that rocked the market and sparked the nationwide debate and controversy over robo-signing, rubberstamping, and other illicit practices.

Many lenders desired for the robo-signing damages and the results of other sketchy foreclosure processes and procedures would end with the conclusion to mortgage negotiation talks. However, the agreement failed to protect these lenders from future litigation, which has opened up the flood gates as everyone from investors to government officials are filing lawsuits against major lenders.

The Chairman of the Federal Reserve, Ben Bernanke stated today that he believes his organization is being hindered in its efforts to restore stability to the economy because of the poor performance of the U.S. housing market.

The long-awaited foreclosure settlement for years of robo-signing, rubberstamping, and other fraudulent foreclosure practices is here, and over 40 states have signed the agreement calling for $25 billion from five major lenders (Bank of America, Wells Fargo, Citibank, Ally Financial, and JPMorgan Chase).

Did you know that debt forgiven during a short sale or debt-forgiveness program is subject to tax (since the IRS considers the amount of the forgiven debt as income)? Most people don’t – and that could result in significant financial stress come tax time.

Today, Freddie Mac, one of the two largest owners of mortgages in the United States (along with sister company Fannie Mae), reported that homeowners who opted to take cash out when refinancing their homes during the fourth quarter of 2011 was at the lowest point in the 26 years the company has been keeping up with those numbers.

Investors have been heavily interested in buying foreclosure properties in stricken real estate markets across the country since the foreclosure crisis began in 2007, but lately investing in foreclosures has picked up considerably due to the eminent implementation of a federal foreclosure-into-rental program.

Victims of the foreclosure crisis and underwater homeowners alike will be pleased to know that the federal government is extending the mandate for the Home Affordable Modification Program (HAMP) through 2013, and will also expand its role as the government continues to combat the housing crisis.

As the 2012 Republican primary season rolls on, with the next primary in Florida on Tuesday, January 31, foreclosure victims, underwater homeowners, and owners of distressed properties in the Sunshine State look to the slate of candidates for proposed solutions as they tour the state in advance of the election.