Real Estate Marketing - What is a Short Sale and How to Negotiate to Stop Foreclosure? - Part 7

[principles101]

If the loan has MI (Mortgage Insurance) on it, good luck trying to get an approval to short sale it. Now, they can double dip!

[alexnds1]

The banks got the loan under something called the "MARS" system. That means, the loan was packaged and resold on the secondary market as a collection of pooled money notes. The notes are the key to the lien. If they can't prove they have the lien, they can prove they gave the money, but if they can't prove the lien, that means they don't have collateral behind the loan. Therefore, they can't foreclose. Make your attorney DEMAND THEY HAVE THE LIEN AS PROOF

[REMarketingThisWeek]

@alexnds1 - Its MERS (Mortgage Electronic Registration System). The 'produce the note' defense has been used successfully in some states

[Shockofsanta]

@ 3:45 "the banks do not want the house back" OH HOW WRONG YOU ARE! If you "owe" less than what they can resale it for they will try to screw you and foreclose. Plus, they dont even own the freaking house, they sold it, then it got sliced diced and sold again. Ask a bank to prove they own the house your paying them for. THEY CANT!

[REMarketingThisWeek]

@Shockofsanta - In the event of a foreclosure sale/auction, if the bank receives a higher bid than what is owed on the home, the excess funds go to the home owner. If the bank sells the house after taking back the property (meaning no bids at the sale/auction) then they can sell the home for whatever the market will bear. You are right, the bank does not own the house. The homeowner owns the house. The bank owns the debt against the house which they may have sold an interest in.

[Shockofsanta]

@REMarketingThisWeek

Technically, I would say the Gov. owns the house first whether its paid off or not. Taxes taxes, you no pay ever and ever increasing tax - lose house.

Its in a banks best interest to foreclose, even at a monetary loss, so as to bury their fraud. Once someone is foreclosed on and broke they're unlikely to pursue the matter any further.

This issue, the fraud behind the housing boom bust and all of that, in my opinion, amounts to treason.

[REMarketingThisWeek]

@Shockofsanta - I agree that there are many in the Congress who are responsible for the boom and then the crash, as well as the big banks and the rating agencies. We just need to keep moving in the direction of smaller government and less taxes, which adds up to more freedom for all - the freedom that our founders had intended for us.

[Shockofsanta]

@REMarketingThisWeek

I would think a strict adhehence to the Constitution would suffice. We need to move in the direction of prosecuting those who betrayed it, and we shouldnt further count on the Judicial branch to enforce the Constitution as it has proved lame(corrupt?) as fuck.

[REMarketingThisWeek]

@Shockofsanta - I'm not in favor of any extra-constitutional actions, just vote out the bad ones, approve a Balances Budget Amendment and appoint only strict-constructionists to the bench.

[Shockofsanta]

@REMarketingThisWeek

LOL! A balanced budget law! We already have one, its called the debt ceiling limit! Ha ha ha.

The Constitution authorizes congress to enter into debt, but it also says "no state shall make anything but gold and silver coin a tender in payment of debt."

The debt debate is irrelevant because at its foundation the fiat debt "federal reserve" is unconstitutional.

Thanks for the conversation.