Posted on 10/04/2010 7:35:15 AM PDT by Chunga85
There's no polite way to put this. A growing cancer is infecting the backlogged legal process of foreclosing on hundreds of thousands of homes in Florida.
It's endangering the legal and economic stability of this state. And it's exposing an appalling lack of leadership, first for allowing such a breakdown in the legal system and, now, for failing to own up to this mess and get it fixed.
How bad is it? Laws governing who actually owns a foreclosed home are becoming so suspect a new buzzword is emerging: blighted titles. Even the tepid rebound of Florida's economy may face crippling delays in resolving hundreds of thousands of foreclosures in the Sunshine State.
What's wrong? The accuracy and truthfulness of an immense flood of legal documents and affidavits some lenders and their hired lawyers use to foreclose on homes have come under such critical attack that some major banks are suspending their court cases pending internal reviews.
(Excerpt) Read more at tampabay.com ...
One has to start wondering how many times THEIR mortgage obligation was used as a vehicle of unjust enrichment.
While you may have signed your on your loan docs just once and dutifully remained current with your payments despite the crushing effects of taxes, unemployment, etc., how many times has your "lender" copied your name with an "Autopen" to unjustly enrich themselves?
Speaking of taxes...the biggest tax cheat of them all...MERS...had better watch out. The next CAT 5 finacial hurricane is headed right their way.
The headline should explain it all.
Community organizing and CRA follwed by illegals aliens - this will destroy FL.
This is nothing more than the government telling the mortgage holders to leave the home owners(?) alone....These home will be given to the occupants free...watch and learn. Those of us that pay our bills are about to get screwed.
Cloward Piven ...
Read Karl Denninger’s analysis at “The Market Ticker.”
While this is a plaintiff’s complaint, and the defense to it isn’t stated, it looks pretty damning. There’s been a lot of rumbles about poor record keeping behind securitization.
Normally, someone who did such a bad job of documentation would get hosed by the courts. But, as seems so often the case these days, this is so huge that it is systemically destabilizing. The whole MBS market rests on sound title tracking, and here we have possibly trillions that have clouded ownership (never mind the underlying soundess of the loans) due to one of the biggest examples of the Peter Principle in action I have ever seen or heard of.
So I am seeing Rep. Grayson (D-Nutjob) on record as fighting this thing but no GOP? Is this MSM bias (and there is a Republican on the right side of this — and if so who?) or are the Florida GOPs so clueless that they are not trying to fix this? Hoping it is the former and not the latter. We should be the party of property rights, not yanking homes away from people prematurely.
I remember the phrase: The title insurance company insuring the mortgage.
We are already screwed, FRiend! Try NOT paying your mortgage for the next couple of months. Unlike the low-lifes who currently occupy a home they've not paid into for the last few months/years, those of us responsible homeowners are the only reason that the banks are staying open. If you're a white family, you'll likely be dragged to court quicker than existing foreclosures and be forced to pay earlier than any of those out there crying hardship.
Plus, if you're in a homeowner's association, I can personally guarantee that you have people living in their homes without paying their association dues, leaving your money and the money of those who do pay to maintain properties, etc.
I've not been on this planet very long, but I can see from the wide view that being disadvantaged is actually advantageous!
Those of us that pay our bills are about to get screwed.
It's called Leftism. Bludgeon the Responsible, cultivate the Irresponsible, Spin the ethics, for your own power.
Political leadership is a matter of values, not verbal gymnastics.
You already have. That's what I'm trying to explain.
Oh, more than that. The Rule of Law's two pillars are the sanctity of legal rights of the individual, and enforcement of binding contracts. If we can't even get the sanctity of contracts right anymore, we might as well all move to Zimbabwe.
There have been a few news stories coming out of Utah in the last year or so about some problems with foreclosures there. These stories don't seem to have gotten a lot of attention, but the implications of the events out there are enormous. The issue at hand involves mortgages that were extended to home buyers over the years and later bundled and sold off by the original banks. It turns out that some of the companies that now hold these mortgages may have to meet some onerous requirements before they can foreclose on them, since in those cases the mortgages were originally cast under Utah state law and are now held by investors or other banks that don't meet Utah's banking standards. There are some people in Utah living in their homes for months after the banks have started foreclosure proceedings, simply because they're trying to figure out how to unravel that convoluted mess.
This mortgage situation could get very muddled. - Tom
R’s need to get on top of this fast. It’s complex and can’t be explained with a 10 second sound bite.
The title says it all.
I don't think that helps here. They are responsible for what happened before the sale, not afterwards. So, they would defend title problems to the original mortgage holder, but if subsequent mortgage transfers screw up the title, how can they be liable?
I don’t have a left-wing bone in my body but I’ll tell you this...I’m going to need a bottle of “No-Doze” before heading to the ballot box. I can’t figure out who to vote against.
” It turns out that some of the companies that now hold these mortgages may have to meet some onerous requirements before they can foreclose on them,”
Like having a copy of the signed mortgage they plan to foreclose on? Banks have it covered. Pay a company to forge the documents, problem solved.
Posted 2010-09-29 14:34
by Karl Denninger
Just Counterfeit Documents... No, Really!
http://market-ticker.org/akcs-www?singlepost=2190795
Rule of Law & Private Property Rights? What is that? Ask GM Bondholders.
They've been getting away with a whole lot of crap on the basis of "the whole system will collapse unless you let me do this". The whole 2008 TARP fiasco was based on "too big to fail".
Well, I don't see a good way out -- they need to let the system collapse. It's rotten to the core, no use pretending and trying to string it along endlessly.
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