The Anguish Of Foreclosure

[fhmesq44]

What evidence do we have that any lender took advantage of them?

The only fact in that article indicating anything about their purchase and loan is:

Police believe that when the Balderramas bought the house in a stronger market, the family chose an adjustable rate mortgage, confident they would be able to keep up the payments. But as the housing market plummeted and the rates rose, the family fell behind, O'Berg said.

The only fact (which is actually only the opinion of the police) in there implies they bought a home they couldn't afford.

 

[quantumleap]

The woman was obviously not very smart if she thought life insurance would pay off on a suicide.

We don't have details, she could have been blowing money on coke or something.

That's correct Doug, we don't have the details. Thousand upon thousands of people default yet don't kill themselves. She may have been mentally or emotionally unstable as well.

 

[Buster]

That's surprising !

There might be some martyr types that will off themselves for the benefit of their families then.

i was getting ready to say the same thing...while stupid of her to do,it is a selfless act...but how many families could live in a house where there was a family member that committed suicide?

 

[Doug]

I have a neighbor that can't sell his place, I think partially due to a tenant hanging himself there. I think that stuff is required to be disclosed.

 

[Buster]

I have a neighbor that can't sell his place, I think partially due to a tenant hanging himself there. I think that stuff is required to be disclosed.

i am pretty sure it is....maybe joey can chime in...but am pretty sure if there was a murder or something at the house you must tell prospective buyers

 

[fhmesq44]

most states require a disclosure of that, latent defect.

 

[Timetopay]

Where are all the guys happy the country is falling to shit...


I think they busy is some other Sell Sell Sell thread

Lets Party

 

[gtc08]

TTP, get out while you can bra.

 

[ParanoidAndroid]

i am pretty sure it is....maybe joey can chime in...but am pretty sure if there was a murder or something at the house you must tell prospective buyers

FULL DISCLOSURE - I have a CA RE license

Yes, you do have to disclose this to perspecitve buyers. In CA, you have to disclose a death in the home within the last 2 years. There's also some lays, in some states, regarding certain ailments in the home that must be disclosed.

 

[Doug]

most states require a disclosure of that, latent defect.

I guess as a buyer I'd want to know, but it its not really a fault in the home, like a cracked foundation.

 

[romer]

"I have no sympathy for people who couldn't afford their house when they bought it and are now losing it."

Me neither. Thats kinda like people who charge their credit cards to the max and then are like I don't have any money.

 

[3peet]

The lenders shouldn't be making loans to people that can't afford it.

Fuck that, the LENDERS were the ones who PUSHED these products to us. The LENDERS AND BANKS underwrote and approved the applications we submitted. To offer 100% financing with stated/stated or NINA products and allow us to make 3% on a loan amount, you cannot squarely put this on the brokers.

I've been in the business now for 10 years so i'm not one of these stupid amateurs who were in it just for the money. But lets be real here. An underwriter knows damn well by looking at a credit report that the average Californian DOES NOT make over 10k a month as a single business owner.

I'm so sick of everyone blaming the brokers and giving us a bad name. YES i'll admit during the 03-05 wave there were a lot of shaddy motherfuckers out there who got into the business who had NO IDEA what the fuck they were doing. I'm glad many of them are jailed to be honest.

But its not squarely on the mortgage broker.

 

[CapNCash]

i hate this country

LOL some idiot kills themselves and you blame George Bush

They filed Bankruptcy 3 TIMES IN 3 YEARS.

I wish we could force idiots like you to leave the country. Then we wouldnt have dumbasses who couldnt read buying houses they couldnt affod.

 

[CapNCash]

Where are all the guys happy the country is falling to shit...


I think they busy is some other Sell Sell Sell thread

Lets Party

Its a cleansing of sort. People that are too stupid to understand cause and effect will hopefully leave the country.

 

[tech1515]

i hate this country

cya then nobody is holding you hostage here.

 

[fhmesq44]

Fuck that, the LENDERS were the ones who PUSHED these products to us. The LENDERS AND BANKS underwrote and approved the applications we submitted. To offer 100% financing with stated/stated or NINA products and allow us to make 3% on a loan amount, you cannot squarely put this on the brokers.

I've been in the business now for 10 years so i'm not one of these stupid amateurs who were in it just for the money. But lets be real here. An underwriter knows damn well by looking at a credit report that the average Californian DOES NOT make over 10k a month as a single business owner.

I'm so sick of everyone blaming the brokers and giving us a bad name. YES i'll admit during the 03-05 wave there were a lot of shaddy motherfuckers out there who got into the business who had NO IDEA what the fuck they were doing. I'm glad many of them are jailed to be honest.

But its not squarely on the mortgage broker.

You live in San Ramon too?

Everyone is complicit in it, lenders/brokers for churning loans and selling products they knew borrowers couldn't afford, borrowers/brokers for putting down b/s numbers on stated income loans, lenders for accepting them and letting them do it, borrowers for taking all the equity out of their homes to by $500k "investments" in Stockton, Modesto, and Gilbert, Arizona, boats and Escalades. Having said that, it is ultimately incumbent on the borrower to know what they can afford notwithstanding what someone will give them.

 

[3peet]

You live in San Ramon too?

Everyone is complicit in it, lenders/brokers for churning loans and selling products they knew borrowers couldn't afford, borrowers/brokers for putting down b/s numbers on stated income loans, lenders for accepting them and letting them do it, borrowers for taking all the equity out of their homes to by $500k "investments" in Stockton, Modesto, and Gilbert, Arizona, boats and Escalades. Having said that, it is ultimately incumbent on the borrower to know what they can afford notwithstanding what someone will give them.

4 years now. fhmesq.
its also the brokers responsiblity to educate the borrower. thats why where the experts. Thats why were "consultants". Atleast 70% of the borrowers out there dont' understand that paper work they're signing. How should they? 70-100+ pages of signatures and initials full of legal and financial disclosures?

Its the brokers responsibility to explain the terms of the loan as if the borrowers were sixth graders.

That being said, the lenders still put out a shitty product and aggresively marketed it. 30yr mortgages were probably at most 18% of my business during that 3 year run.

 

[fhmesq44]

Very true, how many actually did that is another story.

Everyone got caught up in the "it will keep going up, we will refi you out in a year" madness. In truth it is pretty basic though, 99% of that paperwork is garbage. It breaks down to here is your rate, here is your payment, here is your term, here is your reset at the end of the fixed term, if you can't pay, they can take your house. I am surprised to hear you did that many 30 yrs.

Where abouts are you?

 

[quantumleap]

Very true, how many actually did that is another story.

Everyone got caught up in the "it will keep going up, we will refi you out in a year" madness. In truth it is pretty basic though, 99% of that paperwork is garbage. It breaks down to here is your rate, here is your payment, here is your term, here is your reset at the end of the fixed term, if you can't pay, they can take your house. I am surprised to hear you did that many 30 yrs.

Where abouts are you?

The only way I can put some sense to it is that they got greedy. The brokers knew that interest rates were going up 1/4 % per quarter for the last few years. They had to have known that the borrowers would default at a high rate when the notes came due. They deserve everything they get.

 

[SoCal]

during the mortgage boom, everyone here in SO CA knew somebody in the industry that was cleaning up. loan officers working for brokers were just CRUSHING commissions. 150k- 200K per year. everyone was in that shit. and ya know what... the word was always about how easy it was. selling that shit with little to no documentation of income. i distinctly remember an assoicate telling me he had college buddies just raping and pillaging for a brokerage. they would doctor shit up if need be. so little regulation. everyone wanted to make a buck.

i blame the banks for greed and creating that environment. yea, those loan officers were filth too, but this was a game the banks created. it was their game and their rules.