More Foreclosure Freezing To Happen, Says Experts
The recent weeks have been about a stoppage on foreclosures by one of the biggest mortgage lending servicers and one of the country’s largest banks. The flurry of notices to suspend foreclosures was brought about by reports that some were signed off without looking at and verifying information in the borrower’s documents. The recent news has certainly given hope to the many who are currently facing foreclosure.
Both JPMorgan Chase and GMAC have frozen some foreclosure proceedings because of investigations on “robo-signing”, a term recently coined for foreclosures signed without reviewing and verifying document accuracy. Attorney, educator, and FrontlineSeminars.com President Lance Churchill says this should no longer come as surprising. According to him, the volume of underwater homes is so staggering that attorneys cannot have personal knowledge of each and every one of them.
For JPMorgan Chase, 56,000 foreclosures will be affected. MarketWatch reports that a JPMorgan Chase employee said in a disposition that she and her team did not review the reports on the 18,000 monthly foreclosures that were signed off. GMAC, on the other hand, has a reported 500 affidavits per day that were signed without having signatures notarized or files reviewed.
The news may have come as a shock to some industry insiders but homeowners should take advantage of it. This is according to real estate finance professor Susan Wachter from Wharton School at the University of Pennsylvania. Talking to MarketPlace’s Bob Moon, Wachter said the current delay on is going to afford homeowners the needed time to sell homes rather than face foreclosures.
How does robo-signing affect the buyers in the foreclosure markets? Depends on where the house was purchased, says Churchill.
“If I as an investor bought a foreclosure at an auction and it turned out it’s a robo-signing type situation, I shouldn’t have any problem or suffer any consequences from it because virtually all state laws provide that if you’re a good faith purchaser for value at the auction, you get good title. If there’s a screw up where the lender didn’t protect the borrower or didn’t do something right, that’s a lawsuit between the two of them now,” Churchill explains.
For now, Churchill and other real estate experts are expecting more companies to freeze foreclosures because of flawed paperwork.
Wells Fargo and its army of attorneys knew it is Category C felony to make mortgage loan and foreclose home based on fraudulent appraisal. However they chose to defraud us by foreclosing our home.
Wells Fargo committed prosecutable crime against us. We lost our home. Something is wrong with this picture.
Here are the facts.
1. it is illegal for Wells Fargo to make mortgage loan to us based on hugely inflated appraisal.
Fact: - Wells Fargo’s fraudulent appraisal valued our home at $718,000
- Wells Fargo’s own review appraisal valued our home at $475,000
- Nevada Attorney General’s office suspended the appraiser’s license for committing appraisal fraud on our home.
- Nevada Appraiser Licensing Board mandated the appraiser to complete appraisal fraud course before regaining his real estate appraiser license.
- Nevada Revised Statue NRS 205.372 states that it’s category C felony to make mortgage loans based on fraudulent appraisal.
- Cases of Attorney General’s indictments against attorneys, loan brokers for teaming up make fraudulent loans to defraud homeowners.
2. it is illegal for Wells Fargo to wrongfully foreclose our home based on fraudulent appraisal and mortgage loan.
You can find all the facts on our website. http://www.wellsfargomortgagefraud.com.
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