Being foreclosed upon? Challenge it in court. Already foreclosed upon? Contact your attorney

[Better Believe It]

The Foreclosure Crisis Explained – as Sausage Making
By: Becca
October 8, 2010

The only way out of this is going to be a wiping out of the toxic garbage, mortgage cramdowns, and some kind of government and/or legislative resolution for all the tainted titles. And no — handing them all to the sausage makers won’t stand. At that point, the farmers will take to the streets with pitchforks and torches.

The only advice I have for anyone who’s made it this far in my extended metaphor is this: If you’re underwater, go ahead and consider a strategic default. Rich people do it all the time, as do corporations. I’m not saying "do default" — but rather it is worthwhile to consider it as a rational option.

The other advice is if being foreclosed upon, even if you’ve not been paying your mortgage or they’ve saddled you with insane penalties and fees — challenge it in court. Demand they produce every piece of original documentation they are required to do by law. And demand they show the judge (or gov’t administrator) your original wet-ink signatures on the mortgage contracts. At the worst, you might delay these parasites a few months and keep your property that much longer; at best, you might find yourself suddenly in full possession of your home, free and clear.

If you’ve already been foreclosed upon? Now might be a good time to contact your attorney for a consult.

Read the full article at:

http://seminal.firedoglake.com/diary/75666

[Canuckistanian]

1. "Produce the note"

I've always heard that a demand to produce the proof of ownership often stops them cold dead.

A lot of times, the deed has been passed without the actual document changing hands.

[customerserviceguy]

2. Couldn't afford the mortgage any more?

Then just forget about it and move on. Your feeble attempts to gum up the system just prolong the recession for the rest of us.

Unless, of course, you have a need to prolong other peoples' pain to make your own loss seem to feel better.

[Waiting For Everyman]

11. "prolong other peoples' pain"? yes, how dare these homeowners bother you with this

It's only their RIGHTS. Oh, but only yours matter.

And you only have to hear about it - that's the "pain" of the comfortable. While those you refer to are becoming homeless - that's nothing.

Rrrriiiiggghhhhtttt-eeee-ooooo.

You know what? Homeowners are going to damn well "gum up the system" for quite a while - just as they have been doing. And there's not a damn thing you can do about it. Homeowners have been bringing their cases to court all long and that isn't going to stop, even if no officials get active about this. This isn't going away. Deal with it. And oh by the way, by doing this they're protecting all future buyers as well, with no thanks at all (and no contribution to the legal bill from those who will be helped either btw). Homeowners are taking it on the chin for all current and future homeowners. They are the only hope for the legal system. Investors are beginning to sue too, and they should. Since the Justice Department would not bring prosecutions in an organized way, this is the only justice there is. If it wasn't for the actions of homeowners, we wouldn't even know what we just found out about systemic fraud last week. Consider that for a moment. Journalists and regulators and office-holders didn't break this story, a lawyer did - suing for a homeowner.

Instead of just pumping spin and coverup, if people like this commenter (in the government and the public) had heeded a continual stream of reports and legal cases concerning fraud and illegality a long time ago, this would never have happened. It was avoidable, all of it.

This was being fought out in court for the last 5+ YEARS. What's different as of last week is that proof on a scale that can't be ignored has surfaced. And it isn't going away. If you don't want to watch the reports then don't. Nobody's forcing you to. The recession is the doing of these perps and these same actions, so don't even DARE try to lay that at the feet of homeowners. Crime has been done here, and it wasn't the homeowners. Crime matters.

The homeowners who have hung on this long are the resolved and the relentless. And more are going to join us now.

[customerserviceguy]

14. These are homes where the loans shouldn't have been made in the first place

The lenders used even less care in doing that, than they have in foreclosing.

Have it your way, we'll see this recession last until way after Caribou Barbie takes the oath of office. And the result will be the same for the affected mortgages.

[DemocratSinceBirth]

13. Charged With A Crime

You probably did it. Don't gum up the system by contesting the charge. Just plead guilty, serve your time, and move on...



:sarcasm:

[customerserviceguy]

15. Are we talking about somebody who was paying their mortgage

or even needed a bit more time to get another refinance here? Or are we just talking about situations where people have already mailed in their keys, and moved on?

The longer that vacant houses sit in a neighborhood, the worse it is for those folks surrounding that property. They become places for kids to get in trouble, and they don't do anything for property values, which is the point here.

When you're on a downward spiral, the best thing to do is to figure out how to reverse it, not just keep on spiraling down in slow motion.

[Ruby the Liberal]

16. So what is your advice to the buyer of a foreclosure who finds out after the fact

that there wasn't a true clear title and a court finds for the foreclosed homeowner?

We need to put the brakes on NOW and do an RTC-style cleanup before we end up with an even bigger mess.

[customerserviceguy]

17. My advice is

Go collect on your title insurance policy. In most jurisdictions, it's paid for out of the seller's proceeds, and in this case, that's the bank who foreclosed, who sold you the house. Also, when that bank deeded the property to you, they should have used some sort of warranty deed, which warrants the title to be free and clear, especially from a lien that they had control over.

It's the title industry refusing to be the fall guy on this mess that's responsible for the moratoriums, and I don't blame them. Also, I'm sure that some potential buyers have backed away from buying foreclosure properties, just for fear of having to go through the hassle of getting either the bank or the title company to have to pay off whoever is necessary to obtain clear title.

[upi402]

3. film: "Capitalism, A Love Story"

mentioned this as an option... from a true Democrat, a brave Congress-woman.
Thanks Michael Moore, good work!

[sabrina 1]

6. Yes, I remember that. Marcy Kaptur and Elizabeth Warren

The two stars of MM's movie. Kaptur has been giving this advice for a long time because she knew how corrupt the banks were.

[ORDagnabbit]

4. I dont think you can challenge it in oregon can you? n/t

[taught_me_patience]

5. Waste more money on attorneys and gum up the courts

If you can't afford the mortgage, just turn in the keys and take your credit hit. This will just delay the inevitable.

[trumad]

9. Your post is pure ignorance....

and you clearly miss the point here.

Do you turn in the keys to a mortgage mill that can't prove they own your property?

Is that what you're saying?

[flyarm]

7. go see all my posts at this thread..I am too tired to repeat them here..

http://www.democraticunderground.com/discuss/duboard.php?az=show_mesg&forum=389&topic_id=9291379&mesg_id=9293803

[Better Believe It]

8. Thanks for the information

[flyarm]

10. K&R :)

[flyarm]

12. Now a post of research there has gone ..poof....