Foreclosures down 34% market is saturated

[lookinupn09]

Yes and no. Understand, all the settlements with the State's AG offices are going to allow foreclosures to proceed notwithstanding paperwork issues. Here is the thing, at some point, the homeowner stopped making the mortgage payment, that means "someone" has the right to foreclose. So at the end of the day, the foreclosures WILL happen. Judges are starting to go the other way on this issue, recently out of CA, a case was decided in favor of the homeowner, but the homeowner DID NOT get the house back. Substantive facts will always trump technicalities. Standing is a technicality in this issue, the homeowner is still in default of their mortgage. I am not saying that the banks did nothing wrong, but the end game scenario is NOT going to be a millions of people (or even hundreds of people) getting a free house.

Right, they won't be getting a free house. They won't be able to sell it because there will be clouded title issues. The banks may have to continue paying the taxes on it until the two parties can agree to settle the ownership issue. If that happens, then I believe the process will move forward.

[HHM]

[/COLOR]
Right, they won't be getting a free house. They won't be able to sell it because there will be clouded title issues. The banks may have to continue paying the taxes on it until the two parties can agree to settle the ownership issue. If that happens, then I believe the process will move forward.

Not likely. The idea of clouded title is being over blown. A waive of the pen is going to make all questionable foreclosures legitimate and the banks may pay a fine to the states, and that will pretty much be the end of it. However, we still have years of foreclosure backlog. Home prices will be stagnant for the next 10 years or so.

[lookinupn09]

Not likely. The idea of clouded title is being over blown. A waive of the pen is going to make all questionable foreclosures legitimate and the banks may pay a fine to the states, and that will pretty much be the end of it. However, we still have years of foreclosure backlog. Home prices will be stagnant for the next 10 years or so.

Wow! Although you are probably right, since the Constitution is being dismantled every day, it is truly sad that real estate laws over 100 years old and court cases proven on mortgage/note requirements will be erased. But who am I kidding, big banks, wall street and the current administration will prevail.

[HHM]

I know, but at the end of the day, it will still come down to the fact that the homeowner defaulted on the mortgage, that gives the secured lender the right to foreclose. Substance almost always trumps technicalities.

Also, as a factual matter, this is not a nationwide problem. This is only an issue in "mortgage" states. In Deed of Trust states this is practically a non-issue because the note is irrelevant to the proceeding. And even in mortgage states, most services have evidence of the notes, the only "technical" point is who actually owns it. But with all the "assignment" of rights to the loan servicers, the note owner is mostly irrelevant since the servicer has the same rights as the note holder, and that is the lesson the courts and attorney generals are learning right now. The main issue is not whether the notes exist, the issue that has been raised is who is the proper party to actually foreclose, and that is what is going to be swept under the rug because of what I stated before, if the homeowner defaults, and a note exists, "someone" has the right to foreclose, so no one is actually harmed by the foreclose.

[IamOld]

In my humble opinion, this is a symptom of a far worse economic disease - throwing people into the streets, making folks more and more desperate does not lead in a direction that will ultimately benefit "the system." See Germany 1930's...OR see Russia, 1917...etc etc etc

[HHM]

In my humble opinion, this is a symptom of a far worse economic disease - throwing people into the streets, making folks more and more desperate does not lead in a direction that will ultimately benefit "the system." See Germany 1930's...OR see Russia, 1917...etc etc etc

Well, let's not be melodramatic, these people are not becoming homeless, they are going off to rent something that is actually within their means.

[IamOld]

Well, let's not be melodramatic, these people are not becoming homeless, they are going off to rent something that is actually within their means.

I like melodrama!!!

It is a destabilizing factor...

[lookinupn09]

I like melodrama!!!

It is a destabilizing factor...

To continue the drama, I add:

To recover on a promissory note, the plaintiff must prove: (1) the existence of the note in question; (2) that the party sued signed the note; (3) that the plaintiff is the owner or holder of the note; and (4) that a certain balance is due and owing on the note. See In Re: SMS Financial LLC. v. Abco Homes, Inc. No.98-50117 February 18, 1999 (5th Circuit Court of Appeals.)

There are many more cases, even recent cases like this, where judges have had to rule based on case law. That pen HHM spoke of might work best at midnight on a Saturday, where the media won't know or be able to get a photo op or ask questions.

Put simply, in a title state, If I own a car and give it to you, without the title, you can't sell it. If you sell it to someone based on another form of paper, and that person stops paying you, you really can't sue because you don't really own the car in the first place. You didn't have the title (note) JMO and at this point, drama works for me too

[helpme2010]

I have been foreclosed upon and my mortgage company sold my mortgage to Fannie Mae. They gave me 6 weeks of cash for keys options and none will likely work out, so I am attempting to work out a rental option on my house. They told me no, but I am attempting again through a non-profit credit counselor. All this while I look for a place to rent and a job to hopefully fix this entire mess.

[helpme2010]

Well, let's not be melodramatic, these people are not becoming homeless, they are going off to rent something that is actually within their means.

HHM, you have quoted this type of post with me as well. But you need to see this from a foreclosed victims point of view. Lets take mine for example. You mention that you just go out and rent. But so far every place I am talking to wants proof of income and a good credit score. Some will ignore the good credit score only with proof of income. I am unemployed and am getting interviews, but haven't landed a job yet. So in my situation, I am bordering becoming homeless or perhaps renting a motel??? So this is as serious and as stressful as it gets.

[IamOld]

Right, serious and very disgraceful in the "wealthiest country in the world." I know = I'm sure you've done this, but did you look at craigslist?

HHM, you have quoted this type of post with me as well. But you need to see this from a foreclosed victims point of view. Lets take mine for example. You mention that you just go out and rent. But so far every place I am talking to wants proof of income and a good credit score. Some will ignore the good credit score only with proof of income. I am unemployed and am getting interviews, but haven't landed a job yet. So in my situation, I am bordering becoming homeless or perhaps renting a motel??? So this is as serious and as stressful as it gets.

[overspent]

Recently, in 5 Federeal court cases in Oregon the banks can not foreclose by advertisement ( recording NOD then auction). The only way they can foreclose is by judicial mean. That 's taking the home-owner to court. If they do that they must prove their standing, not just anybody can foreclose on anybody. If you surrender the house to anybody, what if the real lender eventually shows up? My loan was refinanced in 2005. I filed Chapter 7 couple months later. Ameriquest sold it to Residential Funding (subsidiary of GMAC) but the loan never made it to the trust because of my bankruptcy filing (non-comliant loan). No assignmnet from Ameriquest ever indorsed on the note and recorded untill recently. straight from Ameriquest to BAC (signed by BAC employee who pretended to be Ameriquest employee, Ameriquest folded shop in 2007). I found out she also signed for Bank of New York, MERS. I wrote an QWR to BAC stating that the Asignment of Deed of Trust was fraudulent and I will file complain with the State court against person who signed my fraudulent assignment, class C felony. I also will file complain against Jim Taylor, president of BAC for giving permission for manufacturing a fraudulent Assignment, also a class C felony.
The reason the banks still keep pumping out fraudulent paperwork is only 1 out of 20 homowenrs challengin the banks. The uninformed 19 just assume that I stop paying so somebody can foreclose on me might as well the servicer. If you got a business that has an 95% success rate on hundreds of thousand of dollors and all you have to do is printing out a bunch of notices would you do it? Howerver, iif you track the money it's likely that the originator ( Ameriquest in my case) got money form the underwriter (GMAC in my case) who got money from the investors of the bonds. When the trust went default, the bond investors got reimbursed by mortgage insurer (MBIA for GMAC trust in my case). So the only party who lost money was the insurer. The underwriter and originator and servicer got no skin in the game and already compensated. When the borrower misses 3 payment the collection right is sold to disstressed debt buyer (Cavalry Investments in my case) for pennies on the dollar and this guy together with the servicer trying to make big bucks on you selling you foreclosed house. I called my disstressed debt buyer and he confirmed it. Don't make it easy for the banksters. They got the bailout, the bonus, and now they want my house too? Over my death body.

[IamOld]

More power to you!!!! (You and Treehugger need to compare notes.)

Recently, in 5 Federeal court cases in Oregon the banks can not foreclose by advertisement ( recording NOD then auction). The only way they can foreclose is by judicial mean. That 's taking the home-owner to court. If they do that they must prove their standing, not just anybody can foreclose on anybody. If you surrender the house to anybody, what if the real lender eventually shows up? My loan was refinanced in 2005. I filed Chapter 7 couple months later. Ameriquest sold it to Residential Funding (subsidiary of GMAC) but the loan never made it to the trust because of my bankruptcy filing (non-comliant loan). No assignmnet from Ameriquest ever indorsed on the note and recorded untill recently. straight from Ameriquest to BAC (signed by BAC employee who pretended to be Ameriquest employee, Ameriquest folded shop in 2007). I found out she also signed for Bank of New York, MERS. I wrote an QWR to BAC stating that the Asignment of Deed of Trust was fraudulent and I will file complain with the State court against person who signed my fraudulent assignment, class C felony. I also will file complain against Jim Taylor, president of BAC for giving permission for manufacturing a fraudulent Assignment, also a class C felony.
The reason the banks still keep pumping out fraudulent paperwork is only 1 out of 20 homowenrs challengin the banks. The uninformed 19 just assume that I stop paying so somebody can foreclose on me might as well the servicer. If you got a business that has an 95% success rate on hundreds of thousand of dollors and all you have to do is printing out a bunch of notices would you do it? Howerver, iif you track the money it's likely that the originator ( Ameriquest in my case) got money form the underwriter (GMAC in my case) who got money from the investors of the bonds. When the trust went default, the bond investors got reimbursed by mortgage insurer (MBIA for GMAC trust in my case). So the only party who lost money was the insurer. The underwriter and originator and servicer got no skin in the game and already compensated. When the borrower misses 3 payment the collection right is sold to disstressed debt buyer (Cavalry Investments in my case) for pennies on the dollar and this guy together with the servicer trying to make big bucks on you selling you foreclosed house. I called my disstressed debt buyer and he confirmed it. Don't make it easy for the banksters. They got the bailout, the bonus, and now they want my house too? Over my death body.

[lookinupn09]

Recently, in 5 Federeal court cases in Oregon the banks can not foreclose by advertisement ( recording NOD then auction). The only way they can foreclose is by judicial mean. That 's taking the home-owner to court. If they do that they must prove their standing, not just anybody can foreclose on anybody. If you surrender the house to anybody, what if the real lender eventually shows up? My loan was refinanced in 2005. I filed Chapter 7 couple months later. Ameriquest sold it to Residential Funding (subsidiary of GMAC) but the loan never made it to the trust because of my bankruptcy filing (non-comliant loan). No assignmnet from Ameriquest ever indorsed on the note and recorded untill recently. straight from Ameriquest to BAC (signed by BAC employee who pretended to be Ameriquest employee, Ameriquest folded shop in 2007). I found out she also signed for Bank of New York, MERS. I wrote an QWR to BAC stating that the Asignment of Deed of Trust was fraudulent and I will file complain with the State court against person who signed my fraudulent assignment, class C felony. I also will file complain against Jim Taylor, president of BAC for giving permission for manufacturing a fraudulent Assignment, also a class C felony.
The reason the banks still keep pumping out fraudulent paperwork is only 1 out of 20 homowenrs challengin the banks. The uninformed 19 just assume that I stop paying so somebody can foreclose on me might as well the servicer. If you got a business that has an 95% success rate on hundreds of thousand of dollors and all you have to do is printing out a bunch of notices would you do it? Howerver, iif you track the money it's likely that the originator ( Ameriquest in my case) got money form the underwriter (GMAC in my case) who got money from the investors of the bonds. When the trust went default, the bond investors got reimbursed by mortgage insurer (MBIA for GMAC trust in my case). So the only party who lost money was the insurer. The underwriter and originator and servicer got no skin in the game and already compensated. When the borrower misses 3 payment the collection right is sold to disstressed debt buyer (Cavalry Investments in my case) for pennies on the dollar and this guy together with the servicer trying to make big bucks on you selling you foreclosed house. I called my disstressed debt buyer and he confirmed it. Don't make it easy for the banksters. They got the bailout, the bonus, and now they want my house too? Over my death body.

Overspent, you just gave me a thought. Maybe the reason we have not heard very much about foreclosure cases and standing is that the banks know they get bad publicity when they get stopped with standing issues. So, why not just put there efforts into the ones, like you said, who just bend over, or more appropriately, just give in and move out. Lots of work for the lawyers, and less money spent on the ones that have the bad paperwork. JMO

[Martha31]

http://www.cbsnews.com/video/watch/?id=7361572n&tag=related;photovideo

Watch this video on the lost/forged mortgage notes foreclosure crisis.

If you want to save your home check out foreclosurehamlet.org --- lots of folks there can give you help and advice on saving your home from foreclosure.