We Know The Banksters Lied In Order To Steal Millions of Houses, But What Does It Mean For You?Posted on November 28, 2014 by
There have been over 20 million foreclosures in the United States since 2007 and more than 5.5 million homes have been repossessed. Meanwhile the major banks have been laughing as they cash in to the tune of $65-75 BILLION dollars every month from the Federal Reserve. According to the regulators in charge of protecting our currency we should rest assured that this was all an innocent mistake. Well we now have leaked documents that show that the major banks created their tangled web of risky financial transactions not by accident, but with the specific intent of bypassing local jurisdictions’ recording requirements and taxes.
By now most real estate investors have heard of MERS as it has taken on a kind of bogey man type of presence. They might not know what it’s all about, but they know it’s bad. The concept behind MERS was fairly simple. The banks were creating so many loans and transferring ownership so much that it became an expensive nightmare to file the right documents in the right jurisdictions and pay the resulting taxes from each transaction. Instead of doing the honest and ethical thing – paying the taxes and filing the paperwork properly – more than 25 of the largest financial institutions and insurance agencies in the nation teamed up to create MERS, Inc. When a loan was originated, MERS would appear as the owner. Meanwhile, in the back office system of MERS, actual ownership and administration of the loan would be bought and sold countless times without the local jurisdictions or borrowers ever being notified, thus allowing the bank to avoid the taxes and document filing that were legally required.
Thomas Curry, Comptroller of the Currency for the United States believes that this scheme was innocent, and any regulatory lapses were the result of a lack of caution. To anyone with a brain, this claim is ridiculous. Fortunately, even those without brains can now know the truth thanks to a PowerPoint document created by MERS that was obtained by the Huffington Post. The document, created to explain the MERS loan process, explicitly states that one of the benefits of using MERS was “hard dollar savings” of more than $30 per loan. The savings it describes include the taxes and fees due to local jurisdictions upon the sale or resale of the loan. They were selling their program by bragging about the taxes the banks could avoid. Doesn’t sound very innocent, does it?
Between these revelations about MERS and the recent admission by Ocwen that it systematically backdated important documents in order to lead homeowners in foreclosure, the public and the courts are starting to wise up to the fraud committed by the major banks. But how is this news supposed to help real estate investors make money? As the tides turn in our favor, the banks are being forced to negotiate on our terms. No more begging the banks to accept our short sale and REO offers only to have them demand ridiculous prices. We can now get them to the table and demand deep discounts on defaulted or underwater notes.
By buying defaulted and/or underwater notes at a discount, real estate investors are able to help homeowners move on from a horrible situation. The homeowner walks away from a boat-anchor property, and you pick up a home at a deep discount with virtually every exit strategy available to you.
This is a massive opportunity for real estate investors. If you know of anyone with a defaulted or underwater note, you need to get in contact with my office immediately at (706)-485-0162. I have spent the last two years building up a team of experienced attorneys and fraud examiners/forensic auditors who specialize in exposing fraud committed in the mortgage process and using that fraud as leverage to negotiate the sale of notes.
Since we assembled our team, we have not had a single deal rejected.
We have a huge opportunity to help homeowners and do some great deals with multiple exit strategies. It doesn’t even matter if the homeowner has already been foreclosed on, we might be able to help.