Foreclosure

Why RoboSigning and AG Investigator Firings Don't Matter

http://bobhurt.blogspot.com/2011/07/foreclosurewhyrobosigningandag.html To:KimberlyMiller,RealEstateReporter,PalmBeachPostkimberly_miller@pbpost.com http://www.palmbeachpost.com/money/foreclosures/foreclosurefraudinvestigatorsforcedout atattorneygenerals1603854.html
Re:

WecandeploretheAG'sfiringoftopinvestigatorsintomortgageforeclosurefraud,andthebanks' continuedrobosigninginspiteofOCC'spunishment.ButI'lltellyouwhynoneofthatreallymatters withrespecttothecoreissueofforeclosure.

Foreclosure Happens Because it Should

Thenoteandmortgagebindtheborrowertorepaytheloanorforfeitthehousetoforeclosuresale,and stillremainsubjecttoajudgmentlienforthebalance. WhydoIwriteyou? Ibelievethepublicoughttoquestionforeclosuredefensesthatdelaytheinevitableforeclosurewhile costingtensofthousandsofdollars.Onthebrightside,theykeeptheirclientsintheirhomesafew monthstocoupleofyearslonger.Onthedimside,fewifanyofthemEVERactuallywinacasetothe extentofpermanentlyundoingtheforeclosure.Evenifthecourtdismissestheforeclosurecomplaint foranerror,theforeclosureplaintiffeitherappealsorrefiles,andultimatelyWINStheforeclosure. FromthisyoucanseewhythecourtsgiveshortshrifttorobosigningorAGattacksonforeclosuremill lawfirms.Theywillgranttheforeclosurebecausetheborrowersignedthenoteandmortgage,bought thehousewiththeloan,paidforawhile,andstoppedpaying.Themortgagegrantstherighttoforcean auctionoftherealtytopaythenotebalance.

Foreclosure Victims Can Delay Foreclosure without a Lawyers Help

Foreclosurevictimshavethreewaystodelayforeclosureformonthstoayear.

Loan Modification Haggle ONLY

Foreclosurevictimscanstoptheforeclosurebyhagglingoveracrookedloanmodification.TheLoan Modtypicallyleavesthebalanceatitspresentvalueinspiteofthecollapseofthevalueoftherealty. Thatmeansthelenderwillgetafraudulentappraisaltosupportthenewloan.Italsoallowspaymentat

the40yearrate,andrequiresabigballoonpaymentin5or10years,apaymentthetypicalborrower willnothavetheabilitytomake.

Short Sale
Then,theforeclosurevictimcanstophagglingandrejecttheloanmodatthemomentbeforesigning, anddoashortsale.Mostlendershateshortsalesbecausetheygetmoremoneybyforeclosing.Buta foreclosuresalewillproducelessrevenuethantheshortsale,andthatwillendupcheatingthe mortgageinsurer.So,theforeclosurevictimshouldasktheservicerforthecontactinfoonthe mortgageinsurerandasktheinsurertohammerthelenderintoapprovingtheshortsale,thereby avoidingafederalcrime.Thelendermust,bylaw,mitigatetheinsurersloss.

Keys for Cash

Atthelastminute,theforeclosurevictimcanstoptheshortsaleandaskthelenderforordeedforcash inlieuofforeclosure.Inthisarrangement,thelendergivestheforeclosurevictim$5,000or$10,000to leavethehousebroomcleanandhandoverthekeystotheservicer.ShortSaleandDeedinLieuboth gomucheasieronthecreditratingthanoutandoutforeclosure.

Use Savings to Buy an Auction House

Theforeclosurevictimcanexecutetheabovethreestalltacticswithouttheassistanceofanattorney. Meanwhile,thevictimcansavethemoneythevictimwouldhavepaidtotheattorney,thesamemoney thevictimwouldhavegiventothemortgageservicerashousepayments.Aftertakingthosesavingsof $20,000to$30,000,plustheKeysforCashmoney,thetypicalforeclosurevictimwillhaveenough moneytobuyanicehouseforcashataforeclosureauction.Propertiessellatauctionfor1/5to1/6of their2007values.Ineffect,thecraftyforeclosurevictimcanwalkawayfromanastyforeclosuremess withnomortgage,ahousefreeandclear,andsufficientcollateraltoqualifyforsmallloansevenwith badcredit.

HOW TO WIN and Permanently Defeat the Foreclosure.

Withproofoftortsorbreachesunderlyingamortgage,thedefenderattorneycannegotiatefora settlementwiththelender.Lendersavoidpublicattentiononsuchoffensesbecausetheyknowthe publicwouldotherwiseRUSHtouncovertheviolationsandsueaccordingly.Thiswouldmakethe lendergobrokebecauseofexposureofyearsofpredatorylendingpolicies.Suchpoliciestoleratedlies bymortgagebrokers(whofalsifyloanapplicationstomakeunqualifiedborrowersappeartoqualify)and appraisers(who,throughouttheUSA)havejackeduprealtypricesunjustifiedly.Appraisersand mortgagebrokersfunctionsasagentsofthelenders,makinglendersculpableforthoseerrors. Ifyouwanttoseeanexampleofwhathappenswhenalenderdoesnotsettle,lookhere: QuickenLoansonlosingendof$3millionpredatorylendingverdict http://www.wvrecord.com/news/233771quickenloansonlosingendof3millionpredatory lendingverdict

Seemorefactssupportingthetruthofmycomments: FDICSuesLPSandCoreLogicOverAppraisalFraud;ShowsInvestorsLeavingMoneyontheTable http://www.ritholtz.com/blog/2011/05/fdicsueslpsandcorelogicoverappraisalfraudshows investorsleavingmoneyonthetable/

Confusinglawyerfeescomplicateforeclosurebattles http://www.tampabay.com/news/confusinglawyerfeescomplicateforeclosure battles/1173271 "Ifightlikehellforpeople,butI'malsoconstantlytellingmyclientsthatattheendyou're probablygoingtoloseit,''saysMarkStopa,aTampaBaydefenselawyer.

MortgageBankingGiant,DeutscheBankAgreestoPayHomeowner$30,000asPartof SettlementAgreementReachedinaNewJerseyForeclosureCourt http://www.prnewswire.com/newsreleases/mortgagebankinggiantdeutschebankagreesto payhomeowner30000aspartofsettlementagreementreachedinanewjerseyforeclosure court123804609.html Juryreturnsguiltyverdictonallcountsagainstappraiserinmortgage http://blog.cleveland.com/metro/2009/02/jury_returns_guilty_verdict_on_1.html

Mortagefraudcaseshowshowrealestateinsidersscammedthesystemforprofit http://seattletimes.nwsource.com/html/localnews/2008791870_brooks27m.html ForeclosureScamsUpas'Piranhas'Circle http://abcnews.go.com/Business/Economy/story?id=6966576&page=1 FBIMortgageFraudReport2006 http://www.fbi.gov/statsservices/publications/mortgagefraud2006

How to Make Courts Hold Lenders Accountable for the Realty Value Collapse
TheUSGovernmentsownFinancialCrisisInquiryCommissionreport(http://fcic.law.stanford.edu/) explainedindetailhowgovernmentandthefinancialindustrycolludedtobringaboutthefinancialcrisis andtheconsequentcollapseofjobsandrealtyvalues.Inpointoffact,lendersbroughtonthecrisisby preyingonignorantborrowerswhomthelendingindustryhadluredforadecadewithirresistible televisionadstoborrowmoney,moneywhichmillionsofborrowercouldnotrepay.

Courtsshouldholdlendersgenerallyaccountableforcollapsingthevalueofrealtythroughbogus lendingpractices. CourtsWILLdothatifforeclosuredefenderssuefortheRIGHTreason: Tortiousconductandcontractbreachesunderlyingthemortgage. Ifyouwanthardcoredetailsonhowtomakethishappen,contacttheONLYfraudexaminerIknowof whodoesaproperdiscoveryofthetortsandbreaches: StormBradford MortgageFraudExaminers.com 7036225181 Ihavewrittenconsiderablyonthistopicinthese: Manysocalledforensicauditorsrunacomputerprogramintowhichtheyenterinformationfromthe mortgagedocuments,andthenproduceareportshowinguselessviolationsofTILA(TruthinLending ACT)andRESPA(RealEstateSettlementProceduresAct)laws.Mostsuchviolationswillproducelittleor nobenefitfortheforeclosurevictim,andthevictimtherebywastesmoneyonthephonyaudit. EVENIFanauditjustifiesarescissionforrecentTILAviolationonarefinanceloanonavictimshome,if thehousehascollapsedinvalue(andithas,asmuchas40%),thecourtwillnotrescindthemortgage andrestorethelenderandborrowertopreloanconditions.Why?Becausetheborrowerdoesnot havethemoneytorepaythelendertheborrowedamount,evenafterthelenderreturnsALLthe borrowerspaymentsandfees. Bradfordsserviceproducesareport,optionallystyledasacomplaint,revealingallrelevantTILA,RESPA andOTHERrelevantviolations,pluscontractbreaches,appraiserfraud,mortgagebrokerfraud,and lenderfraudevidentinthedocumentsrelatedtothemortgage.Andhedeliversthereportwithin7to 10businessdays. LawmenGoogleGrouphttp://groups.google.com/group/lawmen;and BobHurtBloghttp://bobhurt.blogspot.com.

MortgageRelated Issues of Serious Concern to All

Asarealestatereporter,youreallyoughttobringupothershiftycharacteristicsofthetypicalmortgage loan: 1. PressuretosignthepurchaseagreementrequiresclosingoftheloanIFthebuyerobtains funding.Mostbuyershavenotimetopreviewtheclosingdocumentsandhavetoreadand discussthemattheclosingtable,whichtheyalmostneverdo. 2. NocontractwiththelenderThelenderandborrowershouldsignanagreementinwhichthe lenderagreestolendmoneyandtheborroweragreestoborrowandrepaymoney,andwhich

statesthevarioustermsofthenoteandmortgage,wellinadvanceofclosing,togivethe borrowerthechancetoreviewthedocumentswithaqualifiedtitle/loanattorney.Without suchprivityofcontract,alenderactuallyhasonlylimitedrighttoenforcethenoteand mortgage. 3. NomoneyUSlawmakesFederalReserveNotes(FRNs)intolegaltenderunconstitutionally. ArticleISection10providesthatNoStateshallmakeanyThingbutGoldandSilverCointender inpaymentofdebt.EventhoughtheUS5thCircuitruledthatadollarisadollar,itcosts$35 inFRNstobuyaUSMintedSilverEagledollar.USLawmakesFRNsredeemableinlawful money,butdoesnotsettheredemptionrate,leavingpeopleconfusedaboutitseverchanging valueingoldorsilvercoinage.UseofFRNshasbecomeacustom,onethatmakesitdifficultto evaluatetheeffectoflackofrealcirculatingmoneyonrealestatepurchasesorloanrepayments intheseveralstates.AFRNdoesnotconstitutemoney.Asanotewithnodefiniteterms writtenonit,suchassilvercertificatesusedtohave,whichmostAmericanshaveneverseen,it doesnotevenconstituteavalidnote. 4. Unconscionabilityfewborrowerswouldsignthenoteandmortgageunderthestandardterms iftheyknewtheimplications.Thelenderneversignstheseunilateraladhesionagreements,and neveractuallycovenantswiththeborrower. 5. IntheNote,theborroweragreesForaloanIhavereceivedeventhoughtheborroweratthe timeofsigninghasnotreceivedanyloan. 6. IntheMortgage,theborroweragreesIamseisedoftheestateeventhoughtheborrowerat thetimeofsigninghasNOseisinoftheestate. 7. IntheMortgage,theborrowertransferstherealtyandassociateditemstothelender.Thisis unconscionablebecauseitmeanstheborrowerdoesnotowntherealty;thelenderownsit. 8. Atclosingthecloserhandsthechecktotheseller,nottotheborrower.Thebankaccountofthe closerhasnofundsinitfromthelendertocoverthecheck,soitisahotcheck,inspiteof wet/dryfundinglaws. 9. Theabovefactsseemtomeanthattheborrowerborrowsonlytherealty,andnotthemoney forpurchasingtherealty.NothingintheMortgageorNoteassertsorimpliesthatthelender hasnopossessoryrighttotherealty.Butlanguageinthemortgageallowthelendertoenter therealtytoverifyrepairsmade. 10. TheMortgageprovidesanonrefundablelossreservefundintowhichtheborrowersmortgage insurancepremiumgoesifthemortgagedecidestodroptheinsurance.Thisamountstoan extracostoftheloanwhichdoesnotappearontheHUD1SettlementReport,anditthereby seemstoanticipateaRESPAviolation. 11. TheborrowersignsaMortgageprovisionwaivingrighttonoticeintheeventofassignmentof thenote.Thispreventstheborrowerofknowingwhobenefitsfromthemortgagepayment. 12. Thenoteactuallybelongstothemakerunlessthemakertransfersownershiporsellsitto anotherparty,likethelender.Theholderinduecoursemerelyholds,anddoesnotown,the note,andmustreturnittothemaker(borrower)uponsatisfactionofthenotesterms.The mortgageallowsthelendertosellthenote,butthatdoesnotmeantheownergetstokeepthe proceedsofthesale,sincethenotebelongstotheborrower.Thismesseduplanguageinthe mortgageconstitutesafraud.Itseemstomeanthelenderownsthenote,butitactuallymans thelenderownsthebeneficialinterestinthenote,therighttoreceivethepaymentstream.

AttorneysaroundAmericahaveallowedthisinsanelanguagetocreepintothemortgageto implyanuntruthandnonfact.Thelenderdoesnotownthenote.ThelenderownsONLYthe righttoreceivepaymentsofprincipalandinterest,andtherighttoassignthatrightinwholeor parttoothers.ReadArticleIIIoftheUCC(UniformCommercialCode). 13. Anynotewithatermlongerthan9monthsbecomesasecurity,invokingtheprovisionsof ArticleVIIIoftheUCC. 14. Securitization,whenitearnsmoneyforthelendertrusteechainofnoteholders,constitutes conversionofthechatteloftheborrower(thenote)tothelendertrusteechainspersonaluse, therebyentitlingtheborrowertoalltheprofitearned.Attorneysforborrowersoughttosuefor suchprofitsinatroveraction. Youalsooughttobringupcrookednessinthetypicalforeclosure 1. Phonyloanmodificationswhichtheservicerofferseventhoughtheservicerdoesnotownthe loanandthereforecannotmodifyit.Usually,thesecuritizationtrusteeownstheloan,and whenitgoesintodefault,thetrusteeassignsittoabankwillingtoforeclose.Suchan assignmentgoesformuchlessmoneythannormalbecauseallknowthatthedefaultedloanwill losealotofitsvalueinlegalfees,lostinterest,andotherexpensesovertime,andpossibly requiremultiplelawsuits.Theservicerlobbiestobuythebadpaperfromthetrustee,and sometimeswins.ThenandONLYTHENcantheservicermakealoanmod.Untilthen,the servicerstringstheforeclosurevictimalongwithhopesofaloanmod,andmostofthetime foreclosesanywaybecauseoffailuretobuytheloanorbecauseofsomeadvantagein foreclosing,suchasgettingmoneyfromtheauction,themortgageinsurer,ANDtheFDIC. 2. Puttingashillattheauctiontobuytheforeclosedrealtyfor1/6oftheloanamountofless,and thenflipitbacktothelenderforafewthousanddollars.Nowthelendercancollectthe mortgageinsuranceandFDICbenefits,andaddtheforeclosedrealtytoitsREO(realestate owned)cache,orflipitafastprofittoanotherinvestor. 3. LenderswhoknowinglyputbadloansinthetrustCHEATEDthebuyersofthesecurity certificates(oftenbigbanks).Seethisexample.

European financial group Dexia SA (DEXI.BR) sued Deutsche Bank AG (DBKGn.DE) for losses on $1 billion of bonds that it bought from the German lender, which it accused of simultaneously betting against home loans backing the securities. http://www.reuters.com/article/2011/07/14/usdexiadeutschebanklawsuit idUSTRE76D5GC20110714

Iwontgetintotherobosigning,phonynotarizationsandassignments,andsecuritizationfraudor irregularities.Whilesuchargumentshavelegalvalidity,theyonlyprolongtheinevitableforeclosureand wasteeverybodysmoney.Andsecuritizationfraudcannotevendelayforeclosure.Icanthinkofonly onepurposefordelaystostallforforeclosurevictimswhohavenomeansofincome.And,asIhave pointedout,suchvictimscanstallwithoutpayinganattorney.

Why This Should Matter to Foreclosure Defense Attorneys

Inthefinalanalysis,attorneysowetheirclientstheverybestWINpossibleforthemoney.Forfarless than$5000,IFFtheygototherightserviceprovider,theycanpurchaseamortgagefraudexamination andreceiveareportstyledasafinishedcomplaintwithin10businessdays,readyfornegotiatinga settlementorfilingwiththecourt,regardlessofthestateoftheUSA.IhaverecommendedStorm Bradford,butanywhogiveserviceofquality,completeness,andlegalsufficiencyequaltoorbetterthan hisshouldsuffice.Mostattorneyscannotorwillnotdosuchaninvestigation,andmostwillcharge $5,000to$10,000todraftsuchacomplaint.Thus,Bradfordsservicefitseasilyintotheirpricing structurewithroomforthemtoprofitfromit.

A Little Extra Help if Needed

IrecentlyspokeonthephonewithBradfordabouthelpingneworinexperiencedattorneyssettleor sue.Hesaidthathehascoacheddefensecounselfor35yearsinbeatingtheiropponentsinlitigation.I foundmoredetailsaboutthatserviceathttp://instantlawpartner.com.Itfollowsthathecanhelp foreclosuredefenderswinforeclosurebattlesjustashehasfordecadeshelpedcriminaldefenselawyers beatprosecutors.

Bob Hurt

bh BlogEmail f 2460PersianDrive#70Clearwater,FL33763USA

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