65 Briar Lane
Views at Longboat in Newport Coast.
If not one new home was built, it will still take three years to move all the inventory cuurently on the market.
That does not factor in all the new foreclosures coming down the pike in the next two years as the Obama depression suffocates Americans who will not be able to afford underwater homes and skyrocketing property taxes.
65 Briar Lane
Views at Longboat in Newport Coast.
If not one new home was built, it will still take three years to move all the inventory cuurently on the market.
Yep. This latest "government-political-legal-industry complex" and "social justice"-induced mortgage and "property title" mess in the states is all but guaranteed to shut down the remnants of real estate activity for at least a few months until this issue is dispensed with. The banks will lose a lot of money while deadbeats and "strategic defaulters" scream "mortgage fraud" and live rent-free in "their" homes. The banks will have to recover these losses with higher fees and cut services to their contracts-abiding "paying" customers... er, suckers... Just because there may have been a few legitimate cases where mistakes on the part of the banks, which are overwhelmed by sheer volume of defaults and related paperwork, have led to improper eviction proceedings.
Excerpt from Let’s Not Start Lionizing The Anti-Foreclosure Deadbeats - CNBC, by John Carney, 2010 October 13
The typical person who is fighting foreclosure on “show me the note” grounds is someone who has stopped making payments on their mortgage but refuses to surrender their house to the bank. Some of them may not even be suffering from financial hardship—other than having taken on debt that they cannot afford. ..... < snip > < snip > ..... know there are cases—or at least, one case—where people have been wrongfully foreclosed upon. But there is little evidence that banks are engaged in any systemic practice of throwing people who do not have mortgages or are current on their mortgages out of their homes.
The magnitude of losses for the banks is analyzed here:
JPMorgan Says Real Estate Could Wipe Out $3 Billion - CNBC, by Ash Bennington, 2010 October 13
What it means for future sales / real estate activity:
Foreclosure Fraud: It's Worse Than You Think - CNBC, by Diana Olick, 2010 October 12
It concludes with "..... Quite the can of worms. Anyone who says that the banks will fix all this in a few months is seriously delusional."
Excerpt from A Primer On The Foreclosure Crisis - CNBC, by John Carney, 2010 October 11
< snip >..... This issue has been quietly simmering in the background of the housing crisis for quite some time. Gretchen Mortgenson of the New York Times wrote about it back in 2007. It gave rise to a “show me the note” movement of people contesting foreclosure proceedings. ..... < snip >
Of course, many investors in MBS which are now underwater, could be using this newest legal crisis to try and shift the blame to the sellers of the securities for not doing their "due diligence" or the "inadequate disclosure" (SEC vs Goldman-Sachs) especially now, when the losses could be mounting due to the foreclose mess:
Foreclosure Halt 'Catastrophic' to Investors Says Group - CNBC / Reuters, 2010 October 11
The last word is from our newest consumer czar and protector Elizabeth Warren:
No More Tricks to Boost Bank Profits: Obama Adviser - CNBC / Reuters, 2010 October 12
< snip > ..... "The room for anybody in the financial services industry to make their money by squeezing you here and squeezing you there, tricks and traps, that is going to go away," she told an online White House forum to which the public submitted questions. Obama appointed Warren last month to stand up a new consumer protection bureau to ensure fair play in lending, in order to prevent a repeat of the abuses that led to a subprime mortgage crisis and a severe U.S. recession. ..... < snip >