Bottom line, the borrowers are still screwed - $2500 to $3300 is peanuts compared to them loosing all the equity.
A good lesson here, no matter if the Lenders get caught, they still get off via limited repayment. They appear to have collected millions and paid back peanuts, plus the borrower still has to pay for the balance of the loan.
In the above types of settlement with the lender admitting no guilt but giving up the ship, the loan are almost always restructured.
NOTICE, though, a very disturbing thing that's common nowadays in these kinds of settlements. The settlers take huge sums from these corporation and give it to nonprofits. Often times these nonprofits don't share an affinity to screwed-borrowers at all.
Like giving huge sums to Habitat for Humanity. They are a religious organization that only builds houses for Christians!
WOW 8O 8O
Bemis: Thanks for posting this!
I would be willing to bet that there are one or more appraisers in Denver trying to recall exactly which house they appraised for what lender!
Not stating any complicancy on the part of the appraiser(s) but what would you like to bet the values were 'pushed' also?:roll:
While I agree that this homeowners 'might' not have signed that sheaf of papers knowingly... there are plenty out there who DO.
Hope they hang that kid HIGH... and post his picture as a warning to all the other outlaws...
To Larry Lyke:
I'm going to play Greg Goodpasture and ask you for some kind of backup to your statement about Habitat for Humanity. I know many people who work on their projects and not one knows anything about a requirement that the recipients be Christians. If you have "proof" of this, I would like to see it, if not I think you should apologize for making inflammatory, untrue remarks.
I would also like to know where you get the idea the Habitat only provides homes for Christians.
I do all the appraisals for our local chapter, and also do other work on the homes. While I have never questioned the religious choice of the new owners, there has never been any question by the selection committe that has any bearing on religious beliefs.
It seems as if everything in the Mortgage Process is designed to use one or two situations or Individuals as examples to correct something that's wrong with the System, rather than changing the procedures or rules to prevent anyone or any company from taking advantage of the loopholes. They should start by removing the Appraisal Process and control from the Lenders which would eliminate most of the fraud dealing with mortgages.
responsible for ordering all the appraisals? There are literally millions of mortgage brokers out there, most of whom NEED their deals to go through, miss one and they miss their next mortgage payment. The "system" doesn't work anymore. It is broken and no one knows how to fix it so more and more people are saying "SCREW IT" THEY ALL HAVE THEIRS, I AM GETTING MINE. Oh, bottom line, the "person" in charge of ordering all the appraisals would OWN THE WEST HALF OF THE UNITED STATES WITHIN 2 YEARS. :lol: