OneWest Gets Super SweetHeart Deal – Sells Foreclosed Townhome TWICE

WSJ – Two for One: Foreclosed Townhome Mistakenly Sold Twice

Two home buyers and an investor both say they fairly purchased a foreclosed townhome. Now they’re fighting to see who gets to stay.

This saga starts back in March, when Douglas Garhartt and Brandon Lively closed on an ocean-view unit in San Clemente, Calif. It was a great deal: three-bedrooms for $365,000, well below the $712,552 owed on the loan, according to the Orange County Register in California.

Less than a week later, Saint John Trust, an investment group, purchased the home for $346,896 at a foreclosure auction. The same bank–OneWest–was involved in both deals. Both parties have deeds, which has forced the situation into the courts.

As the foreclosure crisis drags on – one in every 381 U.S. housing units received a foreclosure filing in August, according to RealtyTrac – mistakes are inevitable. Angela Iannelli had to rescue her beloved parrot after her home was padlocked and her utilities cut.

Mr. Garhartt told the paper he first learned of the auction the day it happened, when a neighbor said someone had come by to the change the locks.

“We’re in probably the most difficult spot,” Scott Haushalter, a principal with Saint John Trust, is quoted as saying. “We bought this property and found out it was sold, which we had no idea, and now we don’t have our property and we don’t have our money. We’re in a no man’s land.”

No one has stepped forward to take the blame.

For the rest continue on here…


3 Responses to “OneWest Gets Super SweetHeart Deal – Sells Foreclosed Townhome TWICE”
  1. Ron Moss says:

    See my suit, Wrongful; foreclosure, filed in Pierce Co. WA #09 2 08469 1 But needs class action to proceed. It started with simple predatory lending and fraud with enhance application changing my pension from $935. a month to $6,900. per month even after signing release for IRS tax returns to be available. MERS ordered without standing to foreclose but did. Now we seek class action suit or contingent fee arrangement to be made whole.
    Our next to last house sold for $900,000. cash so we very suseptible to theft by professionals. Thanks

  2. Ann says:

    How Sad for the second buyer–DUH!!!!

    What about the foreclosed homeowner?????

  3. Officer of the Law says:

    Selling something that you don’t own is called fraud. The banks are used to committing fraud and getting away with it, but it is still a crime.

    Will the prosecutor take action or are banks going to get away with selling property twice in addition to committing fraud in the origination and foreclosure of mortgage loans?

    Oh, if the prosecutor doesn’t act, that is also a crime. What are you gonna do when they come for you?

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