Past Foreclosure Resurfaces in Maryland School Board Race
Former homeowners who lost property to foreclosure in 2010 may still see that history shape public records years later.
Updated on Nov. 2, 2026 in Residential
Live Poll
Should a candidate's past foreclosure or tax liens affect your vote for school board?
A bank foreclosed on Omar Lazo's Montgomery Village home in 2010, a property he had bought in 2001 and rented out after moving to Silver Spring in 2007. The story is retrospective and centers on a Montgomery County school board candidate whose past foreclosure is now part of the race.
Why it matters
Lazo attributes the foreclosure to the 2008 recession, the housing bubble's collapse, and the closure of his lender, which illustrates how a single mortgage default can follow a homeowner for years. Montgomery County recorded 6,744 foreclosures filed in 2010, so the experience was far from unusual for local households.
Montgomery County recorded 6,744 foreclosures filed in 2010, and Maryland ranked 11th-highest nationally for homeowner default in the second quarter of that year. These are 2010 figures and do not describe current conditions in the county or state.
The players
Omar Lazo
A Montgomery County school board candidate who lost a 2010-era foreclosure on his Montgomery Village home and finished first in the June 2026 primary.
Brenda Diaz
A Montgomery County school board candidate who finished second in the June 2026 primary and has two tax liens totaling $9,906 from 2021 and 2022.
The details
Lazo held a Federal Housing Administration loan on the Montgomery Village home, which he bought in 2001. He moved out in 2007, cashed out the home's equity that year, bought a Silver Spring home, and rented out the Montgomery Village property. The lender that held his mortgage later went under and became unresponsive, and a financial institution foreclosed on the home in 2010. Lazo said the foreclosure was the only way the bank would listen to him.
Timeline
2001: Lazo buys the Montgomery Village home.
2007: Lazo cashes out equity, moves to Silver Spring, and begins renting out the Montgomery Village property.
2010: A financial institution forecloses on the Montgomery Village home.
Money Landscape
Maryland's 11th-highest default ranking in Q2 2010 placed the state among the harder-hit areas during the post-2008 foreclosure wave. The 6,744 filings in Montgomery County that year show how widespread mortgage distress was locally at the time.
A past foreclosure or default can remain on a homeowner's record and affect later borrowing, so households with mortgage trouble in their history may want to review their credit reports. Anyone with a past default who is considering a new loan should discuss options with a qualified financial professional.
The takeaway
A single mortgage default can carry consequences for years, even after a homeowner has relocated and rebuilt finances. Households with a foreclosure or tax lien in their history can check their credit reports and talk with a qualified financial professional before taking on new debt.
Further reading
For more on how foreclosures and past mortgage trouble affect homeowners, explore Residential coverage.
Source note: This article includes information reported by Bethesda Magazine.
Live Poll
Should a candidate's past foreclosure or tax liens affect your vote for school board?
