Tag Archives: foreclosure defense attorney

WILL THERE BE AN UPTICK IN FORECLOSURES ONCE THE CORONA-CRISIS IS OVER?

(OP-ED) — The author of this post is a consultant to attorneys on foreclosure and chain of title matters and none of the following opinions should be constituted as legal advice or seek to guarantee a legal outcome. It posits what this author sees as what is to come.  It may not be the “whole new way of life” everyone thinks is going to take place due to this pandemic. 

This post is not for the faint of heart nor is it designed to make you more paranoid than most of you probably already are.  It is designed to impart some common sense rationality into dealing with the post-traumatic issues of what we collectively are all perceiving as a “crisis”.

Some of us think this whole thing is overblown.  The majority however have unknowingly allowed the “crisis” to replace common sense with survival fear … and rightly so.  It’s one thing to think that the coronavirus was just going to stay put in China when in fact, we have such an upwardly mobile society that everyone has been instilled with traveling to different parts of the world, be it on a plane, on a cruise, whatever … no one expected this would hit America and I believe we were all duped as to the “numbers” and the “purpose” for COVID-19.

Here are some interesting “takes” I’ve picked up on over the last couple of weeks …

  1. Chinese-Americans who are loyal to this country have stated to me that China well understated the numbers of dead and infected as the result of the viral spread there.
  2. The understatement was intentional, to lull us all (and I mean the World Health Organization (WHO) and the countries affected by the virus, including America) into a false sense of security so we would continue to go on about our daily lives as if this virus really didn’t matter.
  3. Knowing that we were already embroiled in political turmoil in this country, we’ve been “played” by the Chinese in a further effort to destroy the credibility of many of our elected leaders and further create political dissension in our every day lives.
  4. Most of the world was not medically ready for another pandemic.  If WHO was really concerned with the spread of this virus, it should have reacted more quickly when it was observed that the virus was spreading outside of China’s borders.
  5. We can all point fingers at our government for being “reactive”, because that is how our government has always been … reactive instead of proactive.  We weren’t ready for the virus when it hit our shores and we sure as hell aren’t ready for it now.
  6. Our medical systems in this country rely too much on non-essential and boutique surgeries and were not ready to deal with massive shortages in critical care supplies and labor.
  7. Our government’s medical “advisories” and social “responsibilities” were lacking in keeping its undisciplined citizenry safe from each other, allowing for Darwinistic opportunities to avail themselves upon an unsuspecting public.
  8. Instead of heading off the pandemic “at the pass”, state and local governments were slow to react to contain the virus and identify the “vectors”, which is what South Korea did when it first became aware of the invasion of the virus.
  9. The saving grace was that most state governments went above and beyond the federal measures enacted to stop evictions and foreclosures during the coronavirus outbreak.
  10. The not-so-saving grace is what happens after the fallout rears its ugly head, the supply chain breaks down in certain quarters and the economy can’t put enough people back to work fast enough to recover from the shock the country took in the 30-60 “stay in place” periods.

This is where thinks get “quirky”.

As was explained in some “insider” memorandums which I managed to retrieve through my back channels, the mortgage loan servicers (especially on these MERS-originated mortgages) have to pay advances on the distribution dates to the investors who funded the loans through the various REMICs (Real Estate Mortgage Investment Conduits).

There were (at last count) roughly 6.6-million people that applied for unemployment benefits, despite the economic “stimulus” package.  In my twisted mind, this is like getting a hand job by a hooker, wherein the “wham bam” happens and then you realize the relief was only temporary and you’re right back at the stress level you started from before “the act” happened.

The mortgage loan servicers who handle the payments to the REMICs (the advance payments of principal and interest on every securitized loan) every month on the distribution date, have to pay those advance payments whether borrowers make those payments or not.  I hope you got that.  No matter (during this crisis) whether you made your monthly mortgage payment or not, you are NOT in default because the servicer has been making your payments anyway.  They just won’t tell you that.

The problem becomes worse however when the servicers have to make these payments regularly over time, believing that they can collect the the past due payments from the borrowers (who are out of work or close to being out of work or short on funds) who are wanting a forbearance on their mortgage loans.  This means the servicers would have to consider putting the payments (including interest) on the back end of the loan.  This means that for those of you who (for example) were on “Payment 22” of your amortization chart on a 30-year fixed rate loan, you’re asking for Payments 22, 23 and 24 (plus interest) to be put on the back end of your loan, which is compounding interest upon principal upon interest.  Let’s face it, most Americans do NOT have the reserves to make the mortgage payments past one month, which is why they had to borrow the money to buy the home in the first place.

Now the mortgage loan servicers are stressed financially because the payments have to be paid into the securitized trust pool every month, regardless of the borrowers’ circumstances.  The servicers may be forced into “having to rob Peter to pay Paul”, which means the servicers will borrow from escrow accounts all over their servicing network of mortgages, in the hopes that they’ll be able to repay those escrow accounts back over time.  The problem is, when that doesn’t happen (and even at the time funds were borrowed from escrows), there is still a shortage in the escrow accounts that the servicers borrowed from to pay the REMICs their monthly payments to.  A prolonged period of these payments (6-9 months; if this crisis were to continue) would put the servicers in jeopardy.

Fast forward to the end of the corona-crisis … 

The mortgage loan servicers are out of pocket all of the advance payments they had to pay during the crisis, which means they’re going to be on an all-out campaign to try and recover as much of the shortfalls as possible to reimburse all of the escrows they borrowed from to keep everything looking “current” on the books (this is why servicers get in trouble).  This is one of the reasons why Ocwen got into trouble and ended up having to sell $600-million in securities to bolster its “advance” payment funds to investors.  That’s like chasing a large, lump-sum credit card payment, making minimum payments every month.  The debts just never seem to get paid off.  Most borrowers can understand that.  Now, factor that into a much larger scale.

By now, you’re beginning to see the “crisis” occurring within the ranks of the mortgage loan servicers.  They will be reluctant to do loan mods because that means more perks for the borrowers. Extensions the servicers really aren’t interested in “affording” because they’re already swimming in borrowed time.

Couple that with the borrower’s payment history of already-missed payments BEFORE the crisis was declared and you’ve just dumped gasoline on the already burning flame.  My suggestions here, which are simple to ascertain and follow:

  1. During the crisis, check your land records EVERY WEEK to see whether or not the servicer has “manufactured” any assignments using MERS (Mortgage Electronic Registration Systems, Inc.) as a means to assign, transfer or convey a mortgage loan into a REMIC trust in anticipation of having to do a foreclosure.
  2. If the assignment was done BEFORE the foreclosure and you’ve already become aware of it, use this opportunity to research your chain of title and see whether or not the information contained within the assignment is false and misrepresentative.
  3. Look up the state statutes to see what felonies were committed by asserting the false and misrepresentative information into the assignment, which was subsequently recorded into the public record and begin to document all aspects of it (who created the assignment, who executed the assignment, who notarized the assignment, who are the parties named in the assignment, who caused it to be recorded, etc.) for reference.
  4. DO NOT attempt to contact any of the parties creating the allegedly-bogus assignment. This is like tipping your hand in a high-stakes poker game.  I cannot stress that enough (as a consultant to foreclosure cases).  Telling the other side of your game plan is going to jeopardize your chances for recovery down the road.  What is important is to gather as much information as possible about all of the parties mentioned within the assignment without contacting them directly.  (There will be plenty of time for that in court-controlled discovery).
  5. Obtain a certified copy of your REMIC from the United States Securities and Exchange Commission while the ink is still fresh and you can take advantage of the time lapse created by the corona-crisis which allows you some advantage in preparing a suit for cancelling and expunging the suspect assignment.

For those of you that don’t get the “gist” of attacking documents, I have a kit available (in limited supply) online at CloudedTitles.com/shopThe C&E on Steroids!   This will give you a blueprint as to how to successfully challenge the phony documents in the land records.   It’s an 8-DVD video set plus a book containing the information you’ll need to arm yourself for the upcoming “fight” I think many of you are going to be involved in.

Why is this important?   If you’re facing foreclosure, even before the crisis, this moratorium will give you time to: (a.) think about Plan B; and (b.) act on that plan.  Even the 60-day window, which has already started ticking (courtesy of the federal government and extended by various state governments) will give you enough time to get your case files together, analyze them and more forward with retaining counsel (if you haven’t already) to “fight the good fight” because the corona-crisis itself was just not enough … we’ll be seeing another wave of foreclosures when it’s over because when it comes to reimbursement of an already-depleted money supply, the servicers (who are tasked with stealing the home) will stop at nothing to take your home away from you … and sadly, the government won’t be there to bail you out.

1 Comment

Filed under OP-ED, Securitization Issues

REMEMBER WHO THE ENEMY IS …

(BREAKING NEWS) — The author of this post is issuing this update to give you a bit more incentive to participate in the upcoming online COTA Workshop.  The information presented here is for educational purposes only; however, it’s based on years of research by this author and through discussions with attorneys who have utilized this material to their benefit. 

For those of you who are being exposed to COTA (an acronym for Chain Of Title Assessment) for the first time, or wish to intensify the study into the COTA for future use in helping others (and making a sideline income from your knowledge you’ve obtained here), let’s briefly delve into what the chain of title is and how the COTA differs from a simple “title report” issued by today’s title companies across America.

(1) Assists in identifying all known potential claimants to property

It doesn’t matter whether you’re buying a home for the first time or putting your faith in a landlord who claims to own the home he’s renting to you, it pays to understand “who’s on title”. In this day and age, more and more issues of fraudulent transfer and assignments of lien have permeated hundreds of thousands of land records, if not by crooks attempting to commit identity theft by recording false deeds, but by the very banks and secondary players “in the game” that created assignments out of thin air and caused them to be placed into the public record, all since the 2008 financial collapse!  Simply looking at the deed to a piece of property isn’t enough. The aftermath that followed the collapse (2009-2015) has been proven by this author and others to have been one giant scheme to steal property across America by some very unscrupulous sponsor-sellers on Wall Street using phony documents to get their way.  If you or this author ever attempted to do what the banks did, we’d be in jail, because the government is in bed with the banks!  The COTA helps you to identify those person(s) who say they have an interest in the property, whether by claim of ownership or by lien interest.

(2) Assists in identifying potential unknown intervening assignees

Many do not recognize the word “mesne”.  It’s pronounced “mine”.  It’s a legal term that means unidentified players within the chain of title and these players became unknown “assignees” through the use of an electronic database called Mortgage Electronic Registration Systems, Inc. (or “MERS”).  If you’ve read Clouded Titles, you know that MERS is currently operating under its third incorporated version, taken over in October of 2018 by the same corporate outfit that owns the New York Stock Exchange, ICE (an acronym for Intercontinental Exchange, Inc.). The mesne assignees entered the chain of title to millions of pieces of property through the use of the MERS System®.  This workshop will teach you the fundamentals of how securitization operates and just how the silent invasion of millions of phony documents entered the public recording system. It’s knowledge that has cost over 10-million Americans their homes because they didn’t have that knowledge when they took out their mortgage loans way back when.  If this workshop could save you tens of thousands of dollars in mistakes, wouldn’t that be worth it?

(3) Assists in identifying abuse to the title by lien holders & clients 

It goes without saying that millions of Americans have fallen prey to the scheme of obfuscation within the chain of title by parties that all of a sudden “claimed” an interest in any given piece of property in America simply by creating an assignment of mortgage (or deed of trust) with the intention of giving the recorded instrument legal effect for the purposes of foreclosure.  The banks and the financial industry supporting the use of MERS then proceeded to infiltrate all 3,041 public records through the use of legislation, which more than likely came into being through the use of “monetary incentives” (i.e., “the best congress money can buy”) to get legislation passed to allow a “book entry system” to permeate the land records all across America through the use (and abuse) of documents that were vague and ambiguous, which this author first discussed in the very first COTA Workshop he ever taught, as a CLE to attorneys in Texas. Now you can have access to that same information, which could help you in making what could be life and death decisions!

(4) Assists in identifying potential causes of action for use in litigation

The one thing for certain in America is that these abuses within “the system of things” has made the greater percentage of the citizens in this country litigious in one way, shape or form. The remains of those who have been foreclosed upon in the past have paved the road with bad case law because they (and their attorneys) fought with bad information, information that was passed through the legal forums throughout America by attorneys who became part of a very widespread network of what are known as foreclosure mills.  Some have fallen by the wayside, while others have only gained in strength by setting case law in their favor before most Americans (who were foreclosure victims, and their lawyers) realized what kind of legal charade was being falsely portrayed within the judicial venues throughout this country.  This author is convinced that all of this was by design, to give these foreclosure mills lots of work and as one attorney this author knows put it, “How to steal people’s homes for fun and profit.”  Sadly, 97% of all affected homeowners cut and ran, leaving the system to its own devices.  Those who fought the banks and their servicers found out the hard way that claiming “fraud” costs money … more money than the average American homeowner anticipated spending to stay in their home. There’s a right way and a wrong way to understand “the game” … and you’ll learn that in this workshop!

(5) Establishes proof of ownership in the chain of title (deraignment)

Here’s a term (deraignment) that most people don’t understand the concept of.  In this workshop, the author is going to show you not only what this term means, but how it’s applied in law!

(6) Establishes parameters for given time periods of recordation (laches)

The doctrine of laches kind of works like a ticking clock.  Many Americans have been duped into believing that once they’ve found out that they were “screwed over” by the banks, they attempted to file lawsuits against the banks and MERS, something the banks were geared up in advance to wage a winning war against these unsuspecting homeowners and their attorneys, who soon found out that there were more ways of making money than by doing simple wills and estate planning.  Welcome to the understanding of what makes a foreclosure defense lawyer tick … your paycheck in his trust account!  Laches is further explained in the COTA Workshop … which can be taken via the internet right from your very own home computer.

(7) Establishes proper document recordation value (as to sequence)

It’s not just a recorded document that makes a difference … it’s how all of the documents in the chain of title interrelate to each other.  We’re going to go into detail by showing you case studies within the COTA Workshop so you can gain an understanding of how these abuses within the chain of title occurred and how the COTA is used to formulate litigation.

(8) Establishes proper evidence to identify potential problems with title

If you had a way to identify issues within your chain of title, wouldn’t that make your understanding of future litigation more practical?  This is why so many attorneys across America have read Clouded Titles. In fact, this book (written by the author who is teaching this online COTA Workshop) was recommended to homeowners by U.S. Bankruptcy Court Trustees!  This means that the information contained within this book (and this author’s subsequent teachings) was very quickly picked up by “the system” and integrated into its database of legal knowledge.  As a bonus … for those of you taking the online COTA Workshop … you’re going to receive a complimentary copy of this book that has gotten the attention of even the federal judiciary!  Suing for everything under the sun (including the kitchen sink) is a big waste of time and money.  This online COTA Workshop will teach you the basics of understanding what the aspects of litigation are and how you, as a past, present and future homeowner, can benefit from understanding the fundamental issues within chains of title that have been affected by the schemes perpetrated by the banks and their henchmen.  This goes way beyond what title companies will ever reveal … because the title companies are “in on it”!

(9) Raises potential legal issues based on research of statutory violations

This author has written other publications which explore the universe of legal claims based on violations of statute.  Your mission, should you decide to accept it, is to understand how and where to find this information … and the author will show you how in the online COTA Workshop!

(10) Raises potential legal issues based on unproven but evident fraud

Fraud! Fraud! Fraud!  That’s all this author hears homeowners bleat (like sheep to the slaughter).  Learn what the potential legal issues are without becoming a victim of them!  It’s a very expensive proposition … something this author knows could save you tens of thousands of dollars in legal fees just by your gaining an understanding of how you (as a homeowner) have been duped.

(11) Raises awareness of concern by the Preparer as to legal consideration

If you were going to help others (while making a living doing COTAs) avoid these same pitfalls, wouldn’t it be nice to know exactly HOW the author came to understand the fundamental concept of how the chain of title works?  Spending tens of thousands of dollars in litigation costs makes everyone but you (the homeowner) rich.  Why drop that big dime if you can possibly avoid it?  We’ll even be discussing quiet title and the use of declaratory judgment actions as a part of the common strategy to get to the truth of the matter involving chain of title!

(12) Raises the stakes of potential legal claims for damages

Out of these dozen reasons why you should consider taking this online COTA Workshop … if you had a clear and concise understanding of what you were up against and knew the real issues within your chain of title (or could research the chain of title for a prospective property you wish to acquire as a means of building equity), wouldn’t it be nice to know that once you’re all settled in, you’re not going to become a victim of foreclosure by some unscrupulous lender, based on those mesne assignees this author talked about in the beginning of this post?  If you knew which legal claims were more profitable than others, wouldn’t that be a good thing?

The online COTA Workshop begins February 1st (that’s this coming Saturday) … why not start out the New Year with a chunk of knowledge that can not only save you thousands of dollars in legal fees, but also give you the opportunity to make a decent living while helping others avoid the pitfalls that have cost millions of Americans dearly.

Click here to register to attend! 

In addition, if you missed something … after taking the online COTA Workshop … we’ll make these sessions available to you online so you can further your studies and pick up the nuggets you may have missed while attending the online COTA Workshop … all of which you can access FREE OF CHARGE, with your paid attendance to the workshop!

Plus, by attending the online COTA Workshop, you get a complimentary copy of the book Clouded Titles!

The webinar platform will give you a chance to ask questions at the Q&A breaks in the class too!  

Knowledge is power!

The clock is ticking … what are you waiting for?

A summons to appear in court or a notice of default?

Don’t be a victim!

Arm yourself with education!

Click here to register to attend! 

 

2 Comments

Filed under BREAKING NEWS, Securitization Issues, webinar, workshop

THE SYSTEM OF THINGS: ANOTHER MINI-VICTORY IN FLORIDA!

(BREAKING NEWS — OP-ED) — This is not legal advice!  The author of this post is bringing you the latest mini-victory courtesy of Florida Criminal Code § 817.535 … and its applicability to defeating the banks’ servicer’s motions!  Read these briefs for your own educational benefit and understand that we are using “the system of things” to move the cases forward! 

(VOLUSIA COUNTY, FLORIDA) — A judge in Volusia County Circuit Court has DENIED the Defendant’s Motion to Strike in a mortgage foreclosure case.

SEE THE COURT’S ORDER HERE: motiontostrike-denied

The arguments posited in this case deal with what I’ve previously discussed on this blog site … statutory violations!

Not every state has the same kind of statutory components as Florida (some do) that offer a civil component that could bolster a homeowner’s claim that the bank and its servicer AND its law firm knew of should have known that what they proffered to the court through their pleadings and exhibits could come back to bite them.

Whether you are an investor who is faced with a legal conundrum  over an acquired property or a homeowner who is facing foreclosure, you should understand that there are statutes, which I explain in detail in the back end of THE QUIET TITLE WAR MANUAL, on a state-by-state basis, that covers statutory violations as well as your common law right to bring an action under consumer protection act statutes or based on a criminal component that could be brought into the mix in the civil realm.   For example, perjury is a felony.  If you are in a civil trial and you commit perjury giving false testimony, the matter now becomes a criminal matter … subject (of course) to the discretion of the court.   If the attorney representing the bank or the servicer lies to the court and misrepresents the truth or relies on false and misrepresentative exhibits as part of their presentation and pleadings, then what do you think the court should do to them?   It happens all the time in court yet homeowners’ attorneys seem to turn a blind eye to it.  Well, not EVERY foreclosure defense attorney turns a blind eye to it, but a lot of them do because (after all) we can’t “rat out the brotherhood now, can we?”

If an attorney for the bank tells the bank’s witness to misrepresent the truth on the stand (or in a deposition) and it is discovered through an evidentiary hearing that the attorney suborned perjury … well, that’s a felony too!

If you’ve read my posts on “Gutting the Underbelly of the Beast” … I’ve explained the process of what happens (and what’s available) by running a misconduct complaint up to the state bar’s disciplinary board.  You (as a pro se litigant) will NOT have the same results as a bar-licensed attorney who files the same complaint before the tribunal.  Statutory violations can thus be turned into ethical violations when the bank’s attorney doesn’t play fair and doesn’t tell the whole truth or misrepresents the truth in his pleadings and exhibits.

Now for the real slice and dice … 

Here’s the motion put forward by the homeowners, as Plaintiffs, which prompted the bank’s motion to strike:

amend_cc_08.20.18

This is WHY the judge denied the motion to strike and placed this matter for trial.

The way I’m reading this, it’s the perfect set-up for the ethical violations and eventual reporting to the bar of the charges so the bank’s attorneys would stand to be disciplined.  It’s the way the system of things is supposed to work!

1 Comment

Filed under BREAKING NEWS, OP-ED

THE SYSTEM OF THINGS IS IN PLAY IN ORANGE COUNTY, FLORIDA!

(BREAKING NEWS — OP-ED) — URGENT!      URGENT!      URGENT!       

The author of this post is relaying the latest information as it’s coming to us out of the court record as it relates to the way “the system of things” is supposed to operate.  This is for your educational benefit as it shows where the judge did the right thing! 

(ORLANDO, FLORIDA) — A Florida Circuit Court Judge has put the brakes on a foreclosure sale by setting an evidentiary hearing after a Motion to Vacate was filed by the homeowner’s attorney and an emergency meeting was held to determine the legal objections of an attempt by Nationstar Mortgage LLC and the real party in interest (Fannie Mae) to steal a property belonging to Jonathan Mack, the defendant homeowner in this case.  I am not simply regurgitating the excitable phone call I received early this afternoon (on the 15th of January, 2019) from parties familiar with the case.  It appears there will be expert testimony presented in this upcoming hearing.

It is a known fact that the foreclosure mill of Robertson, Anschutz & Schneid is involved (representing Nationstar).  Through the pleadings and assignments, they managed to get a judge (Weiss) to agree with them and the judge allowed the foreclosure.  See the Certificate of Sale below:

certificate of sale_mack

It is amazing how other bidders attempted to purchase the property, only to be beat out by $100 by Fannie Mae (ain’t that something).  I surmise that it wasn’t over the objection to the sale by the then-homeowner’s attorney, Chris Lim:

objection to sale_mack

bid log_mack

My understanding is … is that the former attorney wasn’t doing much of anything (typical of the way most foreclosure mill attorneys treat their annuity clients), until a new attorney that “gets it” stepped in, filed the motion and set an emergency hearing.

If the proof is in the pudding (as it were), the attorney obviously got through to the judge:

court minutes_mack_evidentiary hearing set

We anticipate expert witness testimony will take place at this hearing, followed by a formal Bar Complaint by the expert witness attorney against all lawyers from the foregoing law firm who participated in this fraud on the court (once determined).  Only a judge can “do the right thing” and make that determination.

If you’re an attorney … and you lie to the Court … you should be dealt with before the state bar.  THIS is how the system of things is supposed to work.

You have to get to this point in the proceedings.  It does NOT have to come to full steam at the point that THIS case did.  This point does NOT come all by itself.  This point is part of a strategy that sadly, most homeowners don’t want to consider until it’s too late.  This could have been dealt with in discovery, IF foreclosure defense attorneys (I’m not saying they’re all ignorant of how to conduct proper discovery) did the right thing when they were supposed to.  Some foreclosure defense attorneys have taken clients’ money and done nothing.

7 Comments

Filed under BREAKING NEWS, OP-ED

WHEN THE NOT-SO-OBVIOUS BECOMES OBVIOUS …

(OP-ED) — The author of this post is not an attorney.  I hate having to put disclaimers on here, but some people can’t separate common sense from what might be termed “legal advice”; thus, given the behavior of  “the system of things” to always backfire at some point in time, caveats are always necessary in any walk of life.

Happy New Year!

Being as it’s 2019 still doesn’t change the fact that on many an occasion, mortgage loan servicers are the parties actually conducting the foreclosures both judicial and non-judicial settings.  We’re seeing an uptick in the number of cases where assignments of mortgage or deed of trust show the “assignee” as the benefactor of the mortgage loan (ONLY) which is when the conveniently-manufactured “excuse” for paperwork is discovered in the land records around the time of the foreclosure action.  This does not excuse the fact that you have no contract with the servicer, but the lender does … maybe.  Some sort of authority has to represent what the servicer can do and cannot do; however … no one bothers to check limited powers of attorney to see if such authority was ever granted.  Are we by-passing that evaluation all because of desperation, which causes us to overlook detail?

The Not-So-Obvious … 

Roughly about a year ago, a sailboat waterfront property in Punta Gorda, Florida was sold at auction.  The winning bidder paid the fees and went to closing, only to find out Select Portfolio Servicing, LP, the mortgage loan servicer behind the auction, wasn’t the proper party to be selling the foreclosed home.  The deal fell through.  Who discovered it?   The title company that was trying to close the deal!

The Obvious …

It looked like all the paperwork was there, except when it wasn’t.  And look who discovered it … the title company.  They weren’t going to insure the home because the seller didn’t have the authority to sell it, nor did the seller (SPS) have an interest in it.  How can a party with no interest in foreclosed property sell it?   Which brings me to another point.  Since this foreclosure auction was in Florida, which is a judicial state … in order to get to the point where it went to auction, a final judgment of foreclosure had to be obtained from the circuit court, which it was. This means that someone had to lie to the judge to get the final judgment in the first place!  Did the attorney(s) who made the misrepresentations in court, both in the pleadings and in oral arguments, get sanctioned or punished?  Hell, no!  Why?  Because the Borrowers (who were from Michigan; Florida has a lot of “snowbirds” that own property there that don’t bother to check condition of title when they purchase Florida property) didn’t bring it up … and …

The Not-So-Obvious …

Because Florida judges only care about the bonuses they get from the State Legislature for kicking people to the curb any way they can!  Generally, that’s done through some overlooked procedural process … or in cases where the Borrowers show up in court, the judge then ambushes the Borrowers (and their attorneys) by asking, “When’s the last time you made a mortgage payment?”  or in the alternative … “Are you in default?”  (as if you know the legal meaning of default).  You blindly answer because of intimidation.

The Obvious …

Instead of objecting to the judge’s question by fundamentally answering that the servicer may have been making the payments for you all along, there is no firm proof of when the last payment was made on the account; and there’s no real proof that anyone is in default, except maybe the servicer, for failing to make the payments as part of their contractual obligation to the lender.  No one ever goes there, especially when there’s a REMIC trust involved.  What the judge is doing is trying to justify the foreclosure by side-stepping your due process rights to discovery.  When you let him/her do that, they get a bonus … AND … you get kicked to the curb!

The Not-So-Obvious … 

The banks already know and assume, because it’s a numbers game, that homeowners don’t have the money to fight and that 95% of them will run if given the opportunity, instead of fighting for what’s theirs.  The banks may be aware that the servicer is the real party retaining the foreclosing attorney or law firm, but they simply look at the complaint caption and take what’s written in the pleadings as the gospel truth, when it is far from it.  This is why it’s disadvantageous to live in a deed of trust (non-judicial) state than in a judicial (mortgage) state, where you get your day in court … because all foreclosures are deemed to be legal until otherwise challenged.

The obvious … 

If and when you find yourself with more month at the end of the money and the mortgage payment is going to be late or short in dollar amount, it is certain your account will be red-flagged after the 10th of the following month when the mortgage payment isn’t received.  As per the patterns discovered in the OSCEOLA COUNTY FORENSIC EXAMINATION, it is also highly likely that the mortgage loan servicer will direct its employees to manufacture a phony assignment, using MERS to cover up the chain of title, to convey your property (along with the note, which MERS cannot do since it admittedly doesn’t have an interest in the note) into a REMIC trust.  This will happen within the 90-day period of you not making timely mortgage payments.  This is all done because the servicer wants your home because it’s going to get reimbursed for all of those payments (principal and interest) it made for you!

The Not-So-Obvious … 

What the servicer doesn’t tell you is that when it starts sending you loan modification paperwork, the foreclosure paperwork shuffle affecting your home is already in progress.  It is at this point in time that borrowers are distracted by distress and frustration, all by design planning on the part of the servicer.  This is why there are so many complaints against mortgage loan servicers these days.

The Obvious … 

You have a limited amount of time to prepare … either to run or to fight the good fight.  Your research should include talking to at least two different foreclosure defense attorneys.  Within 90 days to six months, you can expect to get a notice that the proceedings just got traction and are moving forward.  I can guarantee you 100% that if you do nothing, you lose your home.

The Not-So-Obvious … 

Mortgage loan servicers really hate discovery.  They have limited information in the Borrowers’ Collateral Loan Files.  Most Borrowers take the path of least resistance, which is what the servicers are counting on, and send them a Qualified Written Request under RESPA § 6, expecting to get a document dump of everything in their file, which is NOT what the servicer wants to see or hear.  Borrowers seem to forget that a QWR is not real discovery.  Servicers side-step all sorts of issues in answering QWR’s outside of a court case.

The Obvious … 

The chain of title has evidence which you can readily obtain in certified form, especially the assignments!  The devil is in the details and that is exactly where you’ll find your false and misrepresentative statements!   The Borrower should seek out counsel that is versed in discovery in order to craft questions and statements that are likely to have to set the stage for a Motion to Compel to get the servicer to answer them.  No discovery = No truth!

And the truth shall set you free!

 

3 Comments

Filed under OP-ED