How to Downsize from Rich to Poor Lifestyle | Personal Finance | FireHow.com

How to Downsize from Rich to Poor Lifestyle | Personal Finance | FireHow.com: "Downsizing your lifestyle form a rich to a poor status is not an easy task however many people have been thrown into this situation due to bad investments, loss of jobs, home foreclosure, divorce or an illness that has wiped out their savings and forces them to change their lifestyle. Whenever you undergo a change in your income there will be a degree of depression followed by stress.

The mere shock of the change in wealth will not only affect your lifestyle but it will also affect relationship with friends, spouse and children. Many people in this situation believe that they will overcome their hardship, they will become gainfully employed in a matter of 30 days, and will be able to budget or work two jobs to keep their rich status. People have good intentions"

Man Forecloses On Bank - And Wins - Home - The Daily Bail

I previously reported this but this site has the actual respa letter he used. AWESOME and KUDOS to the homeowner.

Man Forecloses On Bank - And Wins - Home - The Daily Bail: "Video - How to beat your bank and stop foreclosure - Feb. 21, 2011

A Philadelphia resident foreclosed on Wells Fargo's local lending office and won.

Yes, we said 'foreclosed.' How did he do it?

He utilized a RESPA letter, which we have included below."

Nicholas Cage, Erin Moran and more fall to foreclosure

Nicholas Cage, Erin Moran and more fall to foreclosure: "The star: Erin Moran, best known as Richie Cunningham's freckle-faced little sister Joanie on the 1970s sitcom 'Happy Days.'
The house: Los Angeles County court records posted on the entertainment website TMZ.com show that Moran owed $315,930 on the Palmdale, Calif., home. The Bank of New York Mellon Trust Co. bought the house at auction for $291,150 in July 2010. According to TMZ, Moran stayed in the home after losing it to the bank and had to be evicted."

Rich and famous also face foreclosures | Oddly Enough | Reuters

Rich and famous also face foreclosures | Oddly Enough | Reuters: "NEW YORK (Reuters) - Although sales of foreclosed homes dropped last year, they still account for a quarter of U.S. home sales and the rich and famous are among them.

Basketball legend Julius 'Dr.J' Erving, actor Nicolas Cage and hip-hop artist Chamillionaire have all gone through foreclosure proceedings in the last six months, according to forbes.com.

'All price points have been hit by the foreclosure crisis. The rich and famous have not been excluded from that. There are a handful of people in the luxury real estate category that are experiencing foreclosures as well,' said Morgan Brennan of forbes.com.

Former Detroit Red Wings hockey star Sergei Federov and Patricia Kluge, the ex-wife of the late media mogul John Kluge, have also lost their homes.

The bank foreclosed on the Kluge's estate in Virginia. When the palatial re"

WRAPUP 3-US home sales rise, price slump points to weakness | Reuters

Lowest prices since 2002 - are they crazy??? We know one home that auctioned off for 15,000 less than in 1993. And another that auctioned off for 70,000 less than in 2000. Don't fool yourselves homes in Arizona are the lowest they have been in about 20 years. And the slide continues.

WRAPUP 3-US home sales rise, price slump points to weakness | Reuters: "WASHINGTON, Feb 23 (Reuters) - Surging sales of distressed
properties pushed prices for previously owned U.S. homes to a
near nine-year low in January, even as they helped to lift
overall sales to an eight-month high.
The National Association of Realtors said on Wednesday
existing homes sales climbed 2.7 percent to an annual rate of
5.36 million units, marking the third straight month of gains.
Economists had expected a fall to a 5.24 million-unit pace.
But foreclosures and short sales, which typically occur
below market value, accounted for 37 percent of the
transactions and suggested further price declines ahead. The
median home price fell 3.7 percent from a year ago to $158,800,
the lowest since April 2002.
'What this shows is that there will be an ongoing
adjustment to prices to the downside. Housing fundamentals are
still weak,' said Neil Dutta, an economist at Bank of America
Merrill Lynch in New York."

Ex-judge convicted of jailing kids for cash - Crimesider - CBS News

NOTE: Followers of this blog and those involved in foreclosure defense, witnessing judicial corruption on daily basis - should not be shocked by this. Judges selling out our youth for $$$$. Many juveniles were only 10, constitutional rights were trampled - including right to an attorney. GEEZE if it had been here they would have been denied the right to a jury - it sounds so familiar.

This is heinous and the judge selling off the children's rights should be locked up for life. This is worse than robbing people of money, worse than stealing a home, it is STEALING A LIFE.

Ex-judge convicted of jailing kids for cash - Crimesider - CBS News: "The 61-year-old Luzerne County ex-judge left the bench in disgrace two years ago after prosecutors charged him with engineering one of the biggest courtroom frauds in U.S. history by using juvenile delinquents as pawns in a plot to get rich.


Federal prosecutors accused Ciavarella and a second judge, Michael Conahan, of taking more than $2 million in bribes from the builder of the PA Child Care and Western PA Child Care detention centers and extorting hundreds of thousands of dollars from the facilities' co-owner. Ciavarella insisted the payments were legal and denied that he incarcerated youths for money."

Home prices falling - Vultures still picking at the corpses

Home prices are falling, but to followers of foreclosure defense and related topics that is not a mystery.  Investors are about all that is propping up sales given the credit crunch and the huge economic blows given to the normal consumer.    With prices dropping we are not certain what will happen with investor's who are in it just for the quick flip.  Those investor's who are able to hold out and be landlord's will lose equity but gain cash flow.   All in all the homeowner's are still evicted an the vultures take over.

The picture here,  is one of vultures at the courthouse buying foreclosed homes in Arizona on trustee sales. This is just at the courthouse - law firms are holding trustee sales in their back rooms.  One friend noted that there are very few minorities taking advantage of distressed homeowners. Interesting observation.  I wonder if these people have any idea that by buying a foreclosure they are contributing the demise of property rights in America? True Confessions: Once upon a time, I wanted to flip homes. I could never again desire to do that, knowing what I know now. 

Many of these homes auctioned off today will be in litigation,  due to modification failures on the bank's part, fraud involved in the foreclosure, or fraud involved in original deed of trust.  Almost every home has a break in the chain of title. 

As one friend says, "If everyone would stop buying the foreclosed homes, the foreclosures would stop." 

Everyone but the homeowner makes money on foreclosures.  Banks are paid off, lawyers and real estate people make money evicting homeowners (who lose every penny put into house).  The vultures buying the property make money.  The State makes money in recording fees, taxes, and yes on settlements with banks for foreclosing wrongly in the first place.  (dont' ask me why but instead of passing  the million of settlement onto those who proved the fraud; the state spends the settlement on future prevention, and allowing those still in homes a reduced interest rate or some such nonsense.)

Home prices have fallen in past few months - In Arizona you can now buy homes for quite a bit less than their original purchase price when freshly built.  For instance a home could cost 15,000 less than when first built in 1990. People were sold homes based on a false bill of goods. Would you have rented instead - if you had known the truth?

Home sales up but prices down

Christian Science Monitor - ‎

The National Association of Realtors report shows single family home sales up 5 percent from last year with prices down 3 percent. This chart shows the number of single family home sales from November 2005 through January 2011. ...

Business Highlights

BusinessWeek - ‎

WASHINGTON (AP) -- Home sales are starting to tick up after the worst year in more than a decade. But the momentum is coming from cash-rich investors who are scooping up foreclosed properties at bargain prices, not first-time homebuyers who are ...

Ahead of the Bell: New-home sales likely fell

Bloomberg - ‎

By AP WASHINGTON (AP) — Sales of new homes likely fell in January, a sign that the housing industry hasn't improved after the worst year for that sector in nearly a half-century. The consensus forecast among economists is that new-home sales fell to a ...

Copper Building proclaims Justice is duty: Law and Justice

If you have been following this blog you know that I spend time going to court to watch hearings about foreclosures.  Often we see other types of hearings as well, federal, state, you name it.   The news is filled with reports of wrongful convictions, wrongful foreclosures and today even "cash for kids."

Suicides are on the rise and families are being shredded.  Almost all points back to a justice system that is not necessarily following the law - what else can explain the things that are happening. Sometimes it seems as if the law and justice are not necessarily the same thing.

There is an interesting building in downtown Phoenix, AZ . It bears the inscription "The first duty of society is ...JUSTICE."

You can't see the phrase totally in this picture, but take a look this was taken last week. In downtown Phoenix, the building is located  just behind the East Courthouse building on Washington St.
For many Justice is not swift - in court rooms you can sit and watch as hearings are continued time after time  or as people are sentenced that have already served months to years in jail awaiting sentencing. Apparently Justice is incomplete just as this court building demanding Justice is incomplete.


Justice for those evicted from their homes using paperwork that is signed by robo-signers, denies the very concept of Justice. The denial of jury trials by those foreclosed upon denies people their civil rights and sidesteps Justice.   Maybe instead of building ornate buildings with expensive copper the state should spend money investigating wrongdoing and corruption.It lends serious doubt to state or federal economic woes and lack of money, when you see such frivolous wasteful spending.  How can we lay off firefighters, teachers and other public employees when we spend money on COPPER for decorating a building?

Justice does not necessarily equal fairness according to some definitions found on line.    Black's Law Dictionary online, defines many terms such as Justice,  I am not affiliated with the website or product in any way.

Banks Receive Suicide Prevention Training

KTLA Special Report: Reaching Out: Survivors of Suicide - ktla.com: "'Our calls to the hotline have doubled since the economy collapsed,' Curry says. 'In our hotline, we've found we're receiving many more calls where people do bring up stresses related to work, finances, and mortgages.'

And the survivors' personal tales bear this out.
Mary Halligan's husband Lanny had lost his job. 'He got worse and worse, and he said, 'You know, if I was still working, I could handle this a lot better,'' Mary says. 'He said 'It's like being in a big, black abyss and not seeing any way out.''

April Kubachka's son Kyle couldn't face the financial road he saw ahead. 'On his salary, without going to school, he realized he wasn't going to make it, so he felt hopeless, and helpless,' April says.

Today the Didi Hirsch call center is even receiving calls from banks and mortgage companies, requesting prevention training. 'For the first time in their employees' history,' Curry explains, 'People are saying 'I may as well kill myself.' They don't know how to answer that.'

NOTES: The bolding added is my emphasis. Sitting in courts watching the stacks of evictions files in lawyer's hands, I often wonder how people can handle the stuff I see happening. Not only are they foreclosed on (often without being helped by any programs); but they now have ruined credit, are being evicted with just 5 days to get out. (that is in states that allow you 5, some offer you 3 days) . In a non-judicial state that is almost impossible to fight - especially if you have no fund for lawyers, if you even know where to find a competent lawyer that is familiar with foreclosure defense. Finding a new home with ruined credit, animals and kids has split up many families.

(To critics yes I know to spell out numbers under 10 - but visually it makes an impact to use numerals.)

If you click on the title link you can finish the article and watch the video clip of the news report.

CNN Piers Morgan talk to Kim Savage: New Zealand's earthquake: breaking news of destruction 6.3

there was also earthquake in Philippines...

For my Philippine Readers: Magnitude 4.7 quake hits Manila | ABS-CBN News | Latest Philippine Headlines, Breaking News, Video, Analysis, Features

We do have quite a few Phillippine readers, and so I am posting this for them.

Magnitude 4.7 quake hits Manila | ABS-CBN News | Latest Philippine Headlines, Breaking News, Video, Analysis, Features: "MANILA, Philippines (1st UPDATE) - A moderately strong earthquake hit Manila and other parts of Luzon on Tuesday morning, the Philippine Institute of Volcanology and Seismology (Phivolcs) reported.

The earthquake, which measured magnitude 4.7 on the Richter scale, struck around 10:10 a.m. Its epicenter was located 26 kilometers northwest of Nasugbu, Batangas.

Phivolcs said the quake, which was tectonic in origin, was felt at Intensity 4 in Manila and Dasmariñas, Cavite and Intensity 3 in Quezon City, Pasay City and Pasig City."

Notary Complaint - Get it done: Robo Signing Foreclosures causes Notary scrutiny

Note: if you have not started a notary complaint yet - you'd better get cracking. Reporting crimes is part of the foreclosure fraud defense or foreclosure fight. It does not take a rocket scientist to know that if there was fruad - it wasn't done right. FIND OUT, stop sleeping or you will lose your home. Do you think someone is going to show up at the door and fill out the paperwork for you? It doesn't work that way. AS my friend used to say, "You snooze, you lose."

notary seal public domain

as seen on notarialoffice.com (fair use)

Bottom Lines: Robo-signing foreclosures put scrutiny on notaries - pressofAtlanticCity.com: Business: "Robinson said there have been worse instances of notary procedure abuse.

“What we’ve seen is notary’s seals and commission numbers were used outside of their knowledge,” he said.

Robinson said he would like to see states encourage or even mandate that notaries protect their seals, and keep and protect a record of their notarial activities.

Before robo-signing became widely known in the fall, federal legislation to have courts recognize notarizations made in other states sailed through Congress. That would have made processing the ocean of documents in the national foreclosure crisis much easier for banks and other lenders.

But in October, President Barack Obama exercised only his second veto so far, refusing to sign the measure and letting it expire.

The National Notary Association sees the events of the past year as an opportunity to inform the public about what notaries do. The group also wants to reinforce with notaries — about 4.8 million nationally and 200,000 in New Jersey — the importance of what they do and how they do it.

To that end, this month the group put out a white paper, “Why Notarization Is More Relevant and Vital Than Ever.”"

Turning the Tables: Philadelphia Man Forecloses on Wells Fargo Office -

urning the Tables: Philadelphia Man Forecloses on Wells Fargo Office - d: "He wrote a few simple (yet formal) letters to Wells Fargo to ask about the insane insurance rates he was being forced to pay. When they didn't take his questions, he took them to court, winning a $1,173 settlement against their failure to respond, under the Real Estate Settlement Procedures Act, which mandates mortgage companies to respond to letters within 20 days.

(More on TIME.com: Trace the trail of a lost mortgage)

When Wells Fargo didn't pay – and this might sound familiar – Rodgers started foreclosure proceedings against their local office. Using a sheriff's levy, he was entitled to seize their property to collect his judgment.

In the end, Wells Fargo didn't default on their payment – they paid Rodgers in full – but he claims he still hasn't received an answer"

U.S. closes 4 banks, 22 total so far in 2011 - chicagotribune.com

U.S. closes 4 banks, 22 total so far in 2011 - chicagotribune.com: "WASHINGTON (Reuters) - U.S. banking authorities closed four banks on Friday, bringing the total number shuttered in 2011 to 22.

In 2010, 157 banks failed following 140 failures in 2009. The bulk of the failures have increasingly been smaller institutions, those with less than $1 billion in assets, as large banks have recovered more quickly from the 2007-2009 financial crisis.

The FDIC announced the following closures on Friday: >>>> KEEP READING FOR LIST:

*Habersham Bank of Clarkesville, Georgia was closed. The bank's eight branches will reopen as part of SCBT National Association . As of December 31, 2010, Habersham Bank had approximately $387.6 million in total assets and $339.9 million in total deposits."

SB 1259 passes - Scrib'd document

SB 1259 - Introduced Version - Arizona State Legislature via MyGov365.com

DYLAN RATIGAN VIDEO : Seponia, Countrywide and going probing further!

PROBE is starting and issuance of first seponia for Countrywide...

Visit msnbc.com for breaking news, world news, and news about the economy

Mortgages in foreclosure process hit record

Not new news but worth remembering.. 1 out of 7 homes in foreclosure...

Mortgages in foreclosure process hit record: "A record share of U.S. mortgages were in the foreclosure process at the end of 2010, matching the all-time high, as lenders and servicers delayed home seizures to investigate charges of improper documentation.

About 4.63 percent of loans were in foreclosure in the fourth quarter, up from 4.39 percent in the previous three months, the Mortgage Bankers Association said in a report Thursday. The combined share of foreclosures and loans with overdue payments was 14 percent, or about one in every seven mortgages."

Foreclosure: Banks to Pay Penalty - Yahoo! Finance

IF you read any part of this article by clicking the title link: make sure to let your representatives know what you think! WE vote for the last sentence of this introduction: Throw their asses in PRISON or better yet - foreclose on their home, take away their credit, their money and job and replace their car with a broken down junker. Bolding is out edit.

Foreclosure: Banks to Pay Penalty - Yahoo! Finance: "Foreclosure Clutter

At the time of foreclosing homes, many lenders use ‘robo-signers' -- employees who sign hundreds of documents a day without verifying decisive information like the previously outstanding amounts of borrowers.

Despite being aware of the imminent danger, the negligence of homeowners and lawyers aggravated this problem. In many cases, signatures were not reviewed by any notary. Even when notarizations took place, it was unlikely that the officials executed the signings as per the legal requirement.

Flawed paperwork also raised questions about the validity of the ownership documents. There are many cases in which an individual who moved into a house after a payment may not be the legal owner. This resulted in mortgage lenders improperly expelling original owners from their homes as part of their foreclosure process.

Penalty: To What Extent?

According to the commissioner of the Federal Housing Administration, David Stevens, there are different views about the form and extent of penalty. It could be in the form of a fine payment to the government or a principal forgiving or perhaps something else. The final decision is yet to be hammered out.

According to Walsh, regulators have the power to seek financial penalty. They can also issue criminal referrals."

Housing Crisis - Yahoo! News Photos

Housing Crisis - Yahoo! News Photos: "Frank attends a hearing of the Housing and Community ...
Representative Barney Frank (D-MA) attends a hearing of the Housing and Community Opportunity Subcommittee of the House Financial Service Committee on robo-signing and foreclosures, on Capitol Hill in Washington, November 18, 2010. REUTERS/Jonathan Ernst« Read less"

Joe Biden Feeds the Trolls on Yahoo! Answers - New York News - Runnin' Scared

AND we wonder why the foreclosure mess continues: read this article in full to learn about what social media site Pres. Obama visited. Meanwhile 11 million homes are lost to foreclosures - millions evicted, families separated at times, pets left behind to starve, and jobs lost.

Joe Biden Feeds the Trolls on Yahoo! Answers - New York News - Runnin' Scared: "Vice President Joe Biden, meanwhile, gets stuck with Yahoo! Answers for some reason, where he will answer questions throughout the week about last night's State of the Union. Surprise: the questions are not very good!
Some play by the rules like, 'Would you support an audit of the Federal Reserve? If not, then how come?' from the user 'I'm goin to Shabooms!' Twenty-four people rated that question as 'good.'

But not far behind, with eight 'good' ratings: 'Where are my car keys?'

And inevitably, from 'golden boy':
with the drug war having been lost 20 yrs ago, why don't we shift the policies of the country. terroist
money comes from 2 sources petrol & drug money. we would be killing two birds with one stone if we
changed our drug laws.
Golden boy lists his sources as 'history & my life exp.' (One person rated this as good.)

Other Biden-specific Yahoo! Answers"

Lawyers acting as debt collectors in your foreclosure: SUE new ruling on FDCPA

YOu may have to subscribe to read fulll article but trust me THIS IS GOOD news. In Colorado a law firm stole our house and the judge let them... even said we didn't need court appointed lawyer when asked for... SIGH. DO NOT BE FOOLED this is IMPORTANT>

New Jersey Law Journal - Home Page: "Debt-Collecting Law Firm Can Be Sued In U.S. Court for Violating State Law

A law firm that allegedly violated state law by engaging in the debt collection business can be sued under the Fair Debt Collection Practices Act, a federal judge rules in a precedential opinion."

Sharing information and tips to increase earnings. Increase your passive, residual income. Guest bloggers welcome.

Why Isn't Wall Street in Jail? | Rolling Stone Politics

Why Isn't Wall Street in Jail? | Rolling Stone Politics: "Many of those appointments are inevitably hand-picked by lifelong stooges for Wall Street like Chuck Schumer, who has accepted $14.6 million in campaign contributions from Goldman Sachs, Morgan Stanley and other major players in the finance industry, along with their corporate lawyers.

As for President Obama, what is there to be said? Goldman Sachs was his number-one private campaign contributor. He put a Citigroup executive in charge of his economic transition team, and he just named an executive of JP Morgan Chase, the proud owner of $7.7 million in Chase stock, his new chief of staff. 'The betrayal that this represents by Obama to everybody is just — we're not ready to believe it,' says Budde, a classmate of the president from their Columbia days. 'He's really fucking us over like that? Really? That's really a JP Morgan guy, really?'

Which is not to say that the Obama era has meant an end to law enforcement. On the contrary: In the past few years, the administration has allocated massive amounts of federal resources to catching wrongdoers — of a certain type. Last year, the government deported 393,000 people"

Two new Forcible Detainer wins: No evictions this week

Two new Forcible Detainer wins: No evictions this week, at least not from our group.  There were plenty of other evictions around Maricopa county.  But, for yesterday and today the news  was good.

At least one judge in Arizona knows how to listen, and how to follow the law.   The ruling was clear,   you cannot just post a note on the door and consider that an adequate summons to court service. When you are kicking people out of their homes the banks had better start improving on their methods.   Following the law is not a novel idea to most people.  We should expect no less from corporations, they must follow the law when taking actions. 

scales of justice: public domain

There is startling contrast in my news today.  First today there is reports of two  Forcible Detainer wins.  One in Arizona (miracle) and the other in San Diego California.   For the California one you will need to visit the Mortgage Challenge Yahoo Group to learn more.  For Arizona, all I know is a pleading  was entered and motion to dismiss based on the summons being incorrectly served.  

If you have been served a summons it must be done according to law, right down to the jot and tittle.  Look up the laws on the AZ laws site and start improving your legal knowledge. 

OH AND YOU THOUGHT I FORGOT THE CONTRAST PART RIGHT?

this is bittersweet

This is a bittersweet moment.  As I think back to last week and a woman kicked out with 5 days notice who was wanting more time (only asked for more time) to find a CLEAN HOME for her daughter that has CANCER.   Or for the man that was out of the hospital the day before his hearing - due to heart problems.  Oh yes, the lovely judge allowed him 7 days to get out of his house.  Bittersweet because I know families ripped from their homes, families who have lost jobs in this economy, and families struggling to put food on the table.  But for now those who had the judges recognize the summons failure will have a few more weeks to enjoy their homes. 

Why are you going to court with friends? Stop Fraud #law

pubic domain Themis scales of justice

Some weeks it seems as if we are going to court almost daily.   As the ranks swell with homeowners no longer wanting to "take it" without a fight, support for friends facing eviction or suing the banks take a heavy toll.  Witnessing corruption is never a non emotional experience. 

It can be time consuming, expensive (gas and parking)  to go to court, but there is a reward.  Learning. It is lifetime immersion learning of all things foreclosure.  I have learned many things that I would rather not know. I have learned many things that are beneficial.   But what can you DO positively while in court??? You do not have to cave into that hopeless feeling that the system is whirling out of control.

For months we took yellow pads to court so that we could take notes and learn, but we also can take notes and make complaints to the right departments.  This week I prepared my first JUDICIAL COMPLAINT. 

By the time I was done it was not pretty.   I had taken fairly good notes of both hearings, the initial hearing and the hearing to throw the homeowner out of his home.  It was pretty easy to fill out the complaint form, as the judge made it sooo simple.  Just deny every civil right guaranteed by the ARS laws (arizona revised statutes) and then making it painfully obvious that his mind was already made up. What a recipe for court drama.  

Watching homeowners lied to by lawyers, renters lied to about their rights to stay and witnessing the judges total bias towards bank lawyers - well I just can't stand by idly anymore.... what about you??? What will you do? 

According to Google you can do this:  

How to File a Complaint - www.supreme.state.az.us

Arizona Supreme Court Seal, Judicial Complaints text logo ... The purpose of the judicial discipline and incapacity system is to protect the public and to ...

www.supreme.state.az.us/ethics/Complaints/Judicial_Complaints.htm - 

BofA reaches settlement with Fannie Mae, Freddie Mac

NOTE: So settlements to government and the home owner gets the shaft once again. When are they going to address those wrongfully targetted for toxic loans, fraudulent foreclosure and fix the problem. Sure, - protect the banks from angry consumers; but profit from it - if you are government???? What is wrong with this picture?

BofA reaches settlement with Fannie Mae, Freddie Mac: "The claims stem from mortgages sold to Fannie and Freddie by former mortgage giant Countrywide Financial, which Bank of America bought in 2008. The two government-backed agencies buy mortgages from lenders and resell them to investors. They want banks to buy back mortgages that had incorrect information about the income and other qualifications of borrowers.
During the housing boom, lenders such as Countrywide routinely gave mortgages to people who ultimately couldn't afford them. This lit the fuse for the financial meltdown in 2008. Most of the mortgages that Fannie and Freddie want to sell back to the banks are in default.
By removing this as an issue, Bank of America CEO Brian Moynihan hopes investors will buy his message of focusing on customers and building its traditional banking business. But Bank of America has several big challenges remaining, including lawsuits from other investors who are trying to recoup losses.
There are also questions related to Monday's deal. The settlement contained two parts: Bank of America paid $1.3 billion in cash to Freddie Mac. In turn, Freddie Mac won't force Bank of America to buy back the faulty mortgages. In the second par"

John Stuart Compares Judges Ruling on MERS Illegal Process to Arizona Law

Thanks to John Stuart for this information ....  coming from Show me the Loan website.  Where you can find documents and videos to help your foreclosure fight. Make sure to donate so that the information can keep coming.  People do need to eat and the information provided by this site is incredible. 

Today the news is circulating about Judge Robert Grossman from Central Islip, NY who has ruled the Mers process is illegal. Most of figured this out long ago and there have been a few similar rulings, but the momentum is mounting and each step builds to future legal decisions being correct. 

Today the decision is more clear and  John compared Judge Grossman's  ruling to Arizona Law. If you live in another state feel free to post your specific state law in the comments.  

This is a partial quote from the ruling: 

US Bankruptcy Judge Robert Grossman in Central Islip, NY states in his court decision that ”the membership rules of the company’s Mortgage Electronic Registration Systems, or MERS, don’t make it an agent of the banks that own the mortgages..." 
“MERS’s theory that it can act as a ‘common agent’ for undisclosed principals is not supported by the law,” Grossman wrote in a Feb. 10 opinion. “MERS did not have authority, as ‘nominee’ or agent, to assign the mortgage absent a showing that it was given specific written directions by its principal.” 

As John Stuart provided;  the following is the ARS (Arizona state law). bolding is mine:

33-412. Invalidity of unrecorded instruments as to bona fide purchaser or creditor

A. All bargains, sales and other conveyances whatever of lands, tenements and hereditaments, whether made for passing an estate of freehold or inheritance or an estate for a term of years, and deeds of settlement upon marriage, whether of land, money or other personal property, and deeds of trust and mortgages of whatever kind, shall be void as to creditors and subsequent purchasers for valuable consideration without notice, unless they are acknowledged and recorded in the office of the county recorder as required by law.

B. Unrecorded instruments, as between the parties and their heirs, and as to all subsequent purchasers with notice thereof, or without valuable consideration, shall be valid and binding.

edit to add:  You may also enjoy more coverage of this topic on Neil Garfield's Living Lies posting where the following quote from Bloomberg was found:

"“MERS and its partners made the decision to create and operate under a business model that was designed in large part to avoid the requirements of the traditional mortgage-recording process,” Grossman wrote. “The court does not accept the argument that because MERS may be involved with 50 percent of all residential mortgages in the country, that is reason enough for this court to turn a blind eye to the fact that this process does not comply with the law."

Please remember to visit Show Me The Loan to help fight foreclosure fraud.  Donate! 

tags: Arizona law, Mers, mers illegal, recording fees, county recorder office, foreclosure, mortgage fraud, foreclosure fraud, showmetheloan.net, show me the loan, fight foreclosure fraud, foreclosure defense

White House proposes winding down Fannie, Freddie - Washington Times

White House proposes winding down Fannie, Freddie - Washington Times: "The Obama administration Friday morning endorsed a very gradual phasing-down of the enormous role Fannie Mae and Freddie Mac now play in the housing market, taking a first step by reducing the size of loans they can guarantee.

The plan would allow the limit on loans to fall from the current level of $729,000 in major cities like Washington to $625,000 on Oct 1, as scheduled under current law. The limit on loans that can be insured by the Federal Housing Administration (FHA) would drop to the same level. The plan would also phase in a requirement that homebuyers supply at least a 10 percent downpayment on all loans backed by Fannie and Freddie.

To begin easing Fannie and Freddie out of the near-exclusive role they play in providing the funds for prime mortgages, the plan would also increase the amount the two mortgage giants charge for their guarantee. That will make mortgages more expensive, but also enable more private banks to step in and provide financing without having to compete with the cheaper alternative available from Fannie and Freddie."

Toy guns banned in Hawaii - 'bang bang you're dead! '

If you have been following this blog you know that our rights are being eroded daily.  Our right to property is under attack... our civil rights are under attack... our freedoms are under attack. 

Today on the news, I heard of the toy guns bill being presented in Hawaii.  The bill does not address the right to own for children but simply the right to buy or purchase toys such as water guns.  Toys that have been around for decades.   What next will they address ownership, will it go so far as to make it illegal to point a finger.  

Raising boys I learned fast that even without being taught how to take aim and fire with their fingers.  Is this going to be down the road - illegal to play games?  Good old games like war, cops and robbers, cowboys and indians?   Will the thought police make it illegal to say BANG BANG?   STOP THE INSANITY! 

Part of the bill is outlined below 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

     SECTION 1.  Chapter 709, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

     "§709-     Sale of toy guns to minors prohibited.  (1)  It shall be unlawful to sell, attempt to sell, or offer for sale a toy gun to a minor under eighteen years of age; provided that it shall be an affirmative defense to any prosecution that the:

    (a)   Purchaser falsely represented the purchaser's age by producing a driver's license bearing a photograph of the licensee, a state identification card, or similar card purporting to be a valid identification card indicating that the purchaser was eighteen years of age or older;

    (b)   Appearance of the purchaser was such that an ordinary prudent person would believe the purchaser to be eighteen years of age or older; and

    (c)   Sale was made in good faith relying upon the indicators of age in paragraphs (a) and (b).

     (2)  Any person who violates this section shall be subject to a fine of not more than $2,000, imprisonment of not more than ninety days, or both."

http://www.capitol.hawaii.gov/session2011/bills/HB432_.HTM

The following is great information about the SB1259 bill that is up for vote either today or very soon.  You must call your senators or email them with support/lack of support and or information that you deem they need to have. 

The following letter was received in my email and permission was granted to print in whole.   Darrell has been instrumental in fighting via preventative measure the corruption in foreclosures.  He details the laws that are consistently broken by banks in foreclosure.  For instance my home was not properly posted and notices were not conforming to state laws.  The sale is void legally just from that aspect. The letter below details Darrell's concerns about the new bill. 

Good day distinguished Ladies and Gentlemen,

I am a distressed homeowner who apparently is about to become a distressed member of the Arizona body politic too.  I have grave concerns about the proposed text of Senate Bill SB1259 which has been assigned to committee.

Available at: http://www.azleg.gov/DocumentsForBill.asp?Bill_Number=SB1259&Session_ID=102

Here is the proposed text as I understand it:

        Section 1.  Title 33, chapter 6.1, article 1, Arizona Revised Statutes, is amended by adding section 33-807.02, to read:

33-807.02.  Nonoriginator foreclosures; evidence of title; remedy; attorney fees

A.  For any beneficiary who is not the originating beneficiary on the deed of trust, the beneficiary shall record a summary document regarding the beneficiary's legal interest in the deed of trust that contains the following information in chronological order:

1.  The full name and address of record of every prior beneficiary on the deed of trust.

2.  The date, recordation number or other unique designation of the instrument, and a description of the instrument that conveyed the interest of each beneficiary.

B.  The summary document prescribed by this section shall be recorded at the same time and place that the notice of trustee's sale is recorded pursuant to section 33-808 and a copy of the summary document shall be attached to any notice of trustee's sale that is required to be provided as prescribed in section 33-809. 

C.  Failure to properly record the summary document that demonstrates evidence of title for the FORECLOSING beneficiary as of the date of the trustee's sale as prescribed by this section results in a voidable sale.

D.  Any person with an interest in the trust property may file an action to void the trustee's sale for failure to comply with this section and is entitled to an award of attorney fees as well as damages as otherwise provided by law if the person substantially prevails, including an award of attorney fees for any injunction or other provisional remedies related to the claim.

My concerns are that this is a bill that would substantially weaken the potential judicial defenses of a distressed homeowner who is facing a power of sale (trustee’s sale) under a deed of trust.

Let me elaborate where we currently stand.  The current authority on the conduct of a trustee’s sale in Arizona is the Arizona Supreme Court.

Here are the applicable rulings:

Patton v. First Federal Savings And Loan Association of Phoenix (118 Ariz. 473, 578 P.2d 152. Mortgages 353 (1978))

“If a trustee's sale, conducted pursuant to a deed of trust, is held without complying with statutory notice requirements, such a sale would be VOID, for statutes set forth only procedure for a valid trustee's sale. A.R.S. § 33-801 et seq.”

LeDesma v. Pioneer Nat. Title Ins. Co. (129 Ariz. 171, 629 P.2d 1007. Mortgages 352.1 (1981))

“Strict compliance with notice requirements is essential to valid sale under deed of trust.”

Schaeffer v. Chapman (176 Ariz. 326, 861 P.2d 611 (1993))

“We repeatedly have held that contracts will be strictly construed to avoid forfeitures.”

Glad Tidings Church of America v. Hinkley (71 Ariz. 306, 226 P.2d 1016)

“the law does not favor forfeitures and if a party would avail himself of a contractual provision providing for such a forfeiture, he must comply strictly with all the requirements of the contract.”

Therefore, the Arizona ’s Supreme Court has already settled this matter.  Any Trustee’s Sale which is held without complying with the notice requirements of statutes or contractual provisions is therefore VOID.  If the authority has already ruled and deemed such a non-complying sale as “VOID” why are we introducing the term “voidable” to the mix?  We already have a standard of care that far surpasses “voidable.”

Another matter of challenge is that we are introducing a “summary document.”  A “summary document?”  This would be an affront to a homeowner who does chose to contest the validity of the trustee’s sale process they may currently be navigating.  In court a homeowner has now the rights to protection under the Arizona Rules of Civil Procedure and the Arizona Rules of Evidence.  This is the standard by which the homeowner has the right to challenge the standing of the party designated in the notice of trustee’s sale as the “beneficiary.”  These rules provide hard-core checks and balances that all protections are afforded the homeowner.  With the incorporation of a “summary statement” the details of the trustee’s sale will be subject a lower threshold of proof.  This lower standard will be bandied about it court and the right to challenge the authorization of the named party will becomes less available to the homeowner.  Since the homeowner is approaching the court as the plaintiff they bear the burden of proof.  Once this “summary document” is introduced in court it may become impossible for the homeowner to exercise the Rules of Procedure and Evidence in this matter.

Are we substituting the “summary statement” for evidence?  Probably.  We have a disastrous situation in the United States .  The problems of forged, fraudulent and incomplete documentation are showing up everywhere.  Arizona, primarily a non-judicial trustee’s sale state, is sure to discover that just as many if not more abuses of robo-signing and document fabrication have been perpetrated on the body politic of Arizona as anywhere else.  Why would we roll out the red carpet and lower our defenses to the continuous dubious practices of foreclosing entities?

What form is proposed for this “summary statement?”

As I read the proposed bill I can’t help to notice that there are NO assurances, attestations, certifications or acknowledgements required by the parties designated to make such a “summary statement.”  Well, how are distressed homeowners supposed to hold a party accountable to a “summary statement?”  Attorney’s fees are not the answer!

So what is really needed to help protect the body politic against egregious foreign corporations?  I’m glad you asked.

1.                                          The document needs to be an affidavit not a “summary statement.”

2.                                          The affidavit needs to attest to strict compliance to the details of trustee’s sale (foreclosure) process.

3.                                          Any affidavit of compliance should be attested to by the party that is tangible to the distressed homeowner.  That would be the trustee conducting the sale.  Having an eternally questionable (as to standing) party sign anything is pointless.

4.                                          The affidavit needs to be sworn to under penalty of perjury with a proper acknowledgement.

5.                                          Failure of the affidavit needs to result in a VOID sale as the Arizona Supreme Court has ruled.

6.                                          Failure of the affidavit needs to result in attorney’s fees.

7.                                          Failure of the affidavit needs to result in damages awardable to the homeowner.

8.                                          Failure of the affidavit needs to result in a monetary fine to the trustee.

9.                                          Cumulative failure of a trustee’s affidavits needs to result in sanctions and a loss of trusteeship privileges.

10.                                      A pre-established form upon which the trustee makes their affidavit.

Please contact me if you have any questions or comments.

May your possibilities be unlimited and your opportunities bountiful.

................................................._/)

Darrell Blomberg

“Emissary of Observation”

Darrell Blomberg

912 E. Cambridge Av.

Phoenix , AZ   85006-1027

602-686-7355

Darrell@AzTechRealty.com