Winning in Real Estate Crisis

by Robert Jones Construction workers are re-tiling their bathrooms, real estate agents are taking jobs as waiters and waitresses, and mortgage brokers are sitting around watching TV. The collapse of the housing market has been brutal on just about everyone, it seems, with any connection to the industry. Well, almost everyone. Attorneys are busier than ever. As condo prices collapse in many markets, buyers who long ago signed … [Read more...]

Housing Recession or Worst U.S. Economic Disaster Likely

The nation's mortgage melt down has evolved into America's real estate crisis amid falling home prices, record foreclosures and weakening consumer confidence and threatens to produce the nation's worst economic disaster in history, a Housing Predictor study reveals. The catastrophic damage could be so widespread that the crisis could reach $600 billion in losses to home owners, Wall Street investors, mortgage companies and banks. The number … [Read more...]

A Third of Mortgages Missing

By Kevin Chiu Legal paperwork determines the ownership of real estate. If those documents are not passed along to a new owner of a mortgage, investors or banks holding a loan on the property have no legal right to it. Up to a third of all mortgage “notes” or $3.7-trillion in U.S. mortgages are likely to be missing or lost, according to the American Bankruptcy Institute. The finding was determined earlier this year in a little publicized … [Read more...]

Secret Code Separates Mortgage Approval

By Riekie Karstens A loan officer submits a mortgage application for approval from the automated underwriting system, which is used in the mortgage industry to quickly separate the wheat from the chaff to determine whether applicants qualify for a mortgage. A secret code separates the wheat from the chaff in the loan approval process. Creditors and credit bureaus communicate via a network. Credit bureaus use codes to provide information … [Read more...]

Bankruptcy Drop Shows Economic Upside

By Mike Colpitts Consumer bankruptcy filings declined through the latter half of 2011 and have now reached pre-recession levels, indicating a positive sign for the U.S. economy, according to credit report bureau Equifax. The drop in bankruptcy petitions paralleled a similar decline in foreclosures. Consumer and commercial bankruptcies dropped steadily from the second quarter of the year. Commercial filings dropped 28% through the final … [Read more...]

Open Letter on Foreclosure Mills

By Betty Delisle My name is Betty Delisle and I live in New Hampshire. I am self employed and work every day to provide for my family. I bought my first home in October of 2005 and was so excited because I finally had a chance to get off the government programs that I had been receiving for years. After finally buying my first home, I had no idea that someday I would be faced with foreclosure. My business had a fire and I suffered a loss … [Read more...]

Hard Money Lending at Record Clip

By Mike Colpitts Despite home prices continuing to decline in much of the U.S., hard money lenders are funding home mortgages at the highest rate on record as nervous homeowners attempt to hold on to their homes. Banks and conventional mortgage lenders are rejecting refinances and new home purchases at alarming rates. Source Capital Funding, Inc., a San Diego-based hard money lender made $11.5-million in mortgages in 2010 and expects to do … [Read more...]

Mortgage Company President First Sentenced in Financial Crisis

By Mike Colpitts More than three years after the financial crisis erupted on Wall Street, a New Jersey based mortgage company president is the first person to be sentenced to federal prison in the government's efforts targeting criminals in the financial crisis. The sentence was imposed as a result of a major conspiracy to defraud investors of more than $136-million. Michael J. McGrath, 47, of Montclair, New Jersey was sentenced to 14 … [Read more...]

Home Bankruptcies Soaring

By Chris Tyler Consumer bankruptcy filings are already topping the near record pace set in 2008 this year as a result of the real estate crisis, and the number of consumer bankruptcies may set a new record in 2009. The fall out from the credit crisis, triggering the epidemic of foreclosures has homeowners scrambling to protect assets. National Bankruptcy Research Center numbers show consumer bankruptcy filings for 2008 were 1,064,927, … [Read more...]