Ameriquest To Cut 1500

[Sean Wagle]

http://www.latimes.com/business/la-111705a...&track=morenews

 

[Austin]

I was listening to PBS radio tonight and they had a story on foreclosures in Ohio. Ohio has the hightest rate of mortgage foreclosures in the nation. They blamed it on predatory mortgage lending and appraisers. I think this is not the end of the cycle but is the beginning of the end of the mortgage racket. The hounds have found the trail and the hollowing has begun.

 

[Dee Dee]

I wonder how many of those laid off MB's are going to run to the appraisal schools? Hey...they've got lots of contacts that'll send 'em work! :lol:

 

[Austin]

I think I will hire about 10 of these mortgage people and let them run the comp check department. They can have everything they bring in.

 

[george foster]

Originally posted by Austin@Nov 17 2005, 08:40 PM
They blamed it on predatory mortgage lending and appraisers. I think this is not the end of the cycle but is the beginning of the end of the mortgage racket. The hounds have found the trail and the hollowing has begun.

Wonder how many lawyers saw that same PBS story.

All this crap that's gone on for the last 4 years in which the real estate agents extort the L/O's to use their hand-picked, self-anoited appraisers , will be exposed for the financial racketeering which it is.

To me the real potential for good appraisers is to become "expert witnesses"
against the legions of Skippies who are gonna get drawn into court, as homeowners seek someone to blame for their financial woes.

All that illiterate, canned, rubbish that fills the reports of the 24-hour turnaround crowd is easily recognizable.

Same with the neighborhood subdivision quality switchero which the rubber stampers pull to hit the number.

How's your paired sales file, there Skipper.

I know 2 dozen who could hang in a minute.

Gonna be lots of players who wish they'd never heard of a 1004.

 

[Dee Dee]

:rainfro: :rainfro: :rainfro:

Austin, that's the best laugh I've had so far this week!

 

[Tina]

Oh Austin...what a grand idea....

We have been seriously trying to find ways to expand our "Comp check" Dept.....it seems to be understaffed...

:rainfro:

TB

 

[Dee Dee]

Originally posted by george foster@Nov 17 2005, 07:42 PM
To me the real potential for good appraisers is to become "expert witnesses"
against the legions of Skippies who are gonna get drawn into court, as homeowners seek someone to blame for their financial woes.

I used to think that too, George, but here's the facts...

Attorneys won't take on a homeowner client that's broke and can't pay them.
They'd work on a contingency if there was insurance money that could be taken, but E&O carriers won't cover Skippy if it's proven he's violated USPAP.
If Skippy made sure his business was incorporated, he could protect his personal assets and be financially untouchable.

I think that there WILL continue to be class action lawsuits by homeowners against big predatory mortgage companies, but those companies have already learned the fine art of setting aside multi-millions of dollars earmarked for these lawsuits. Nevermind that it's just a fraction of what the real damages were to the victims, and that those victims get pennies on the dollar of their actual losses while the lawyers walk away with the big bucks. Appraisers won't even be mentioned, because they're financial dead ends.

 

[Nancy Wyatt]

but E&O carriers won't cover Skippy if it's proven he's violated USPAP.

What do you mean?

 

[Dee Dee]

Check your E&O policy.
I think all of them have disclaimers that coverage can be denied if the appraiser has violated USPAP. It's in the terms of the agreement on every policy I've ever seen.

In other words, if an attorney can't get paid up front by the HO to take a case against Skippy, and Skippy's E&O carrier denies coverage due to USPAP violations, then the HO is going to have a tough time finding an attorney who would be willing to take the case if there's little hope of being compensated.