HAMP BORROWERS SHOULD HAVE HAD THEIR MORTGAGE TRANSACTION EXAMINED

Approximately half a million homeowners who received a mortgage loan modification in 2010 through the government’s Home Affordable Modification Program, commonly known as HAMP, are due to reset in 2015. Chief Financial Analyst Greg McBride, who said in 2009 that homeowners receiving a modification through HAMP were simply “kicking the can down the road” and now that we are in 2015, “we’re at the end of the road” because of all the HAMP mods due to reset this year. Furthermore, … Continued

MORTGAGE FRAUD EXAMINERS PREDICTED TILA WIN IN SUPREME COURT

Jesinoski v. Countrywide Home Loans Date Filed: January 13, 2015 Case #: 13-684 Scalia, J., delivered the opinion for a unanimous Court. Full Text Opinion: http://www.supremecourt.gov/opinions/14pdf/13-684_ba7d.pdf Mortgage Fraud Examiners has argued and taught for years that the plain meaning of the TILA statute and Regulation Z was unambiguous that under the Truth In Lending Act a borrower only needs to give written notice to his lender within three years when the borrower chooses to rescind a loan; the borrower does not … Continued

CONGRESSIONAL ACTION GIVES TAX RELIEF IN 2014, NOT 2015

For David Foster of Chicago, it was a stunning and welcome early Christmas present for him, his wife and three young children. The Senate’s 11th-hour extension of the Mortgage Forgiveness Debt Relief Act through Dec. 31 will save Foster, who works for a nonprofit ministry group, from having to pay the IRS about $28,000 next year on $100,000 of mortgage debt canceled by his bank as part of a short sale on his condo. Before the Senate’s action, he told … Continued

MORTGAGE FRAUD EXAMINERS WARNS: CONDO-FEE FORECLOSURES BOOTING HOMEOWNERS

If you’ve fallen behind on your condo or homeowner association (HOA) fees, this might be a shocker for you: Your HOA or condo association might have the right to foreclose on your property. And even for the vast majority of homeowners who never face foreclosure, the ripple effects of this little-noticed legal development could eventually be costly — in the form of higher interest rates and fees on your mortgage. The number of Americans who live under the rules of … Continued

JUDGES CALL SECURITIZATION AUDITORS CHARLATANS

“Frankly, the Court is astonished by Plaintiff’s audacity. Instead of providing the ‘short and plain statement’ of facts required by the Federal Rules of Civil Procedure, Plaintiff requires the Court to scour a poorly-copied, 45-page ‘Certified Forensic Loan Audit’ in an attempt to discern the basic facts of his case. This alone would be sufficient for dismissal. However, the Court is equally concerned by Plaintiff’s attempt to incorporate such an ‘audit,’ which is more than likely the product of ‘charlatans … Continued

FHFA ISSUES WARNING ON HOA LIENS

The Federal Housing Finance Agency has issued a warning to homeowners, financial institutions and state authorities, citing its concern with super-priority liens created by homeowner association priority status. Recently, a ruling from the Nevada Supreme Court upheld a law allowing homeowner’s associations to foreclose on homes ahead of first-mortgage providers, solidifying “super lien” priority for HOA claims in Nevada. The FHFA issued the warning because in some cases a secondary lien on a property forces the Freddie Mac or Fannie … Continued

Happy Holidays From Fannie Mae & Freddie Mac–No Evictions During The Holiday Season

The GSEs said evictions will not be enforced from December 17, 2014, until January 2, 2015, for single-family homes that have been foreclosed on, meaning that families living in those homes will be able to continue to live there during that two-week period. “Today’s announcement will bring some holiday relief to borrowers who went through foreclosure and were preparing to move,” said Chris Bowden, SVP of REO at Freddie Mac. “We strongly urge homeowners with financial challenges to start the … Continued

INCORRECT LEGAL DESCRIPTION LEAVES BANK UNSECURED CREDITOR

A Chapter 13 trustee and the debtor sought to use the strong arm powers of a hypothetical bona fide purchaser of real estate to avoid a mortgage based on the fact that an incorrect legal description was attached to the mortgage and it was indexed in the land records using the incorrect description. Under Section 544 of the Bankruptcy Code, a trustee may avoid a mortgage that is voidable by a hypothetical bona fide purchaser under state law. Under applicable state law, … Continued

FREDDIE MAC ANNOUNCES NEW FORECLOSURE PREVENTION GUIDELINES, REVISIONS

Government-sponsored enterprise Freddie Mac has announced a set of new loss mitigation and foreclosure prevention guidelines and revisions in Guide Bulletins 2014-19 and 2014-20 that include a new deeds-in-lieu of foreclosure incentive, increased foreclosure timelines, and additional foreclosure relief for service members and their dependents. Freddie Mac is offering a supplemental incentive of up to $7,000 for new borrower evaluations for deeds-in-lieu of foreclosure that are conducted on or before December 1, 2015. Borrowers in Connecticut, District of Columbia, Illinois, Maryland, Massachusetts, New … Continued

MORTGAGE FRAUD EXAMINERS WARNS: FORECLOSURES HAVE INCREASED FOR TWO MONTHS STRAIGHT

Foreclosure filings, including default notices, scheduled auctions and bank repossessions, increased 15% from last month but are still down 8% from a year ago levels, RealtyTrac’s October Foreclosure Market Report said. This is the largest month-over-month increase since U.S. foreclosure activity peaked in March 2010. In October, a total of 59,869 properties were scheduled for foreclosure auction during the month, up 24% from the previous month and up 7% from a year ago to the highest level since May 2013. … Continued