APPRAISAL FRAUD IN DETAIL

APPRAISAL FRAUD IS THE ACT OF GIVING A RATING OR VALUE TO A HOME THAT IS WRONG — AND THE APPRAISER KNOWS IT IS WRONG. This can’t be performed in a vacuum because there are so many players who are involved. They ALL must be complicit in the deceit leading to the homeowner signing on [...]

Credit Card Companies geting tougher? FIGHT BACK with securitization defenses!

See the thing about the arrogance of these non-bank and bank financial institutions is they are rushing to get under the wire before the truth is revealed: they are not the creditor and they never were. Send your debt validation letters and don’t let them sue without filing a motion to dismiss the same as [...]

Principal Reduction: A Step Forward by BofA, Wells Fargo

Editor’s Note: Better late than never. It is a step in the right direction, but 30% reduction is not likely to do the job, and waiting for mortgages to become delinquent is simply kicking the can down the road. The political argument of a “gift” to these homeowners is bogus. They are legally entitled to [...]

Wave of Voluntary Strategic Defaults Coming: 20% Under water

Editorial Comment: Actually the number is far higher. We compute it as around 45% when all is said and done. First of all there is consensus that property values are actually around 15% less than seller’s are asking. Second costs of selling the home makes up the rest, taking another 6-10% off the selling proceeds. [...]

Irrational Economics: What You Should know About Money

Gambling establishments know it, amusement parks know it, retailers know it — anything that separates your perception of spending your own money from the reality results in your spending more. And in the case of the American consumer, we are spending consistently more than we earn and more than we could ever pay back.    [...]

Mortgage Meltdown + Inflation + Dollar Devaluation

Trouble for American Consumer is building and the perfect storm threatens our tenuous economy.  DEEP RECESSION LOOMS WITHOUT FUNDAMENTAL CHANGE IN OUR POLITICS AND ECONOMIC POLICIES   The inevitable outcome was always the same: eventually we would hit the the top, like in any Ponzi scheme.  Consumers, who maxed out their credit cards, and maxed [...]

Mortgage Meltdown and Credit Crisis: News and Comment 4-2-08

U.S. economy in ‘very difficult period,’ Bernanke says By Greg Robb Last update: 9:30 a.m. EDT April 2, 2008 WASHINGTON (MarketWatch) – The outlook for U.S. growth has worsened since January and the possibility of a recession can’t be ruled out, Federal Reserve Chairman Ben Bernanke said Wednesday. “It not appears likely that real gross [...]

Mortgage Meltdown: Remedial Legislation

Mortgage Meltdown Remedial Legislation Barney Frank has a good idea that will work. Mortgage notes must be reduced without penalty to borrowers, and of course continue the tax exemption for short sale.  Cooperation will be needed by FDIC, Federal Reserve, SEC, FASB, IRS, Controller of Currency and Treasury Department.  I would add the following AFTER [...]