Overview of the Government’s Programs to Reduce Principal on Underwater Mortgages

Via ProPublica, Dec. 17, 2010, by Karen Weise The Obama administration has been increasing its support for programs to induce banks and others to trim loan balances for homeowners that owe more than their homes are worth. Here’s an overview of the three programs trying to increase the number of underwater borrowers who can get help. See related story: Fannie …

Fannie and Freddie’s Regulator Opposes Reducing Mortgages for Struggling Homeowners

Via ProPublica, Dec. 17, 2010, by Karen Weise The Obama administration has been pushing for banks and investors to cut mortgage balances for homeowners who owe more than their home is worth. But the regulator for the biggest investors of them all — the government-controlled Fannie Mae and Freddie Mac — won’t let the two do it. The administration and some …

On the Mortgage Mess, Fannie and Freddie Point Blame Elsewhere

Via Marian Wang ProPublica, Dec. 2, 2010 Testifying before the Senate Banking Committee this week, executives at Fannie Mae and Freddie Mac—the two government-controlled mortgage giants—blamed other players in the foreclosure mess, noting that that they’re not responsible for the day-to-day management of mortgage loans but instead rely on banks to do so fairly with borrowers. Fannie Mae’s executive vice …

Don’t Just Tell Us. Show Us That You Can Foreclose.

Boot Camper David Shaev is quoted by Gretchen Morgenson in this New York Times piece. AFTER examining their foreclosure practices for flaws in mortgage documentation and other procedures, many of the nation’s largest banks have resumed — or will soon resume — trying to evict defaulted borrowers. … “If we find any foreclosures in error, we will fix them,” JPMorgan …

Secrets of Florida’s “Foreclosure King”

From the Huffington Post by David Callahan. New insights into how foreclosure mills operate have emerged in Florida, where the state attorney general is going after David Stern, a lawyer known as the “Foreclosure King.” Stern’s business model was based on volume and his firm was paid $1,400 to produce documents for each foreclosure. That put a premium on churning out …

One Set of Rules for the Rich and Powerful, Another for the Rest

Boot Camp graduate April Charney has been making the rounds with the news media because of her high profile in successfully defending foreclosures. In the following segment, a very calm April has a back and forth with Dan Mitchell of the Cato institute. A couple of things jumped out at me about Mr. Mitchell’s comments. When the CNBC reporter asked …

The Mortgage Foreclosure Crisis

From The New American by CHARLES SCALIGER. Let us be blunt: The mortgage foreclosure crisis, which first burst into full public view with Bank of America’s suspension of all foreclosures only a few days ago, has the potential to completely destroy the American real estate sector in an epic legal and economic meltdown that would make the crisis of 2007-2008 look …

For foreclosure processors hired by mortgage lenders, speed equaled money

When Max teaches his classes to attorneys, he tries to explain to the attorneys how and why the financial industry are doing the things they do.  One of the things he teaches about is APR.  No, not annual percentage rate.  It stands for Attorney Performance Rating.  The three most important things the mortgage servicers want from the attorneys are speed, …