Reuters | Americans Brace for Next Foreclosure Wave

“More conclusive national data is not yet available. But watchdog group, which helped uncover the “robo-signing” scandal, says it has turned up evidence of a large rise in new foreclosures between March 1 and 24 by three big banks in Palm Beach County in Florida, one of the states hit hardest by the housing crash.”


Americans brace for next foreclosure wave

(Reuters) – Half a decade into the deepest U.S. housing crisis since the 1930s, many Americans are hoping the crisis is finally nearing its end. House sales are picking up across most of the country, the plunge in prices is slowing and attempts by lenders to claim back properties from struggling borrowers dropped by more than a third in 2011, hitting a four-year low.

But a painful part two of the slump looks set to unfold: Many more U.S. homeowners face the prospect of losing their homes this year as banks pick up the pace of foreclosures.

“We are right back where we were two years ago. I would put money on 2012 being a bigger year for foreclosures than 2010,” said Mark Seifert, executive director of Empowering & Strengthening Ohio’s People (ESOP), a counseling group with 10 offices in Ohio.

“Last year was an anomaly, and not in a good way,” he said.

In 2011, the “robo-signing” scandal, in which foreclosure documents were signed without properly reviewing individual cases, prompted banks to hold back on new foreclosures pending a settlement.

Rest here…


10 Responses to “Reuters | Americans Brace for Next Foreclosure Wave”
  1. Mystify says:

    Do not answer the phone to these scammers they are only trying to get info to speed up foreclosure against you. Hire a lawyer and fight back this is America down with the bankers they are scamming you. And vote Ron Paul ! Do not believe the banks when they say they are calling to help you only if and when they leave me a message stating they will reduce my mortgage to the current value will I answer…

    • snuff Bear says:

      take all your investments cash and 401K away from these scamming Banksters. If we all did it they would crash Yipeeeee!\

  2. Katyhleen Burt says:

    Also in the news:

    Conflict of interest between banks and mortgage insurers under investigattion.

    New York’s top financial regulator is expanding an investigation of insurers that force homeowners policies on borrowers after turning up evidence that consumers were charged too much, according to people familiar with the situation.

    Benjamin M. Lawsky, superintendent of the New York Department of Financial Services, is issuing new subpoenas and formal document requests to several insurers, demanding justification for how their rates and loss ratios were calculated, these people said.

    The loss ratio is the percentage of premiums collected by an insurer that is paid out to policyholders. Based on information gathered in initial inquiries since the probe was launched in October, Mr. Lawsky and investigators believe those payouts are as little as 20 cents on the dollar, compared with estimates to regulators of 55 cents.

    Insurers issue such “force-placed” policies to homeowners who miss mortgage payments or allow their homeowners’ policy to lapse. Critics say that rates are often exorbitant, partly because of close ties between insurers, agents, mortgage servicers and brokers. Mr. Lawsky’s investigation also is scrutinizing those relationships, these people said.

    So far, investigators for Mr. Lawsky have found that 15% to 35% of premiums collected by force-placed insurers flows to brokers in the form of commissions, according to people familiar with the situation. Insurers also paid fees to banks to get reinsurance

    Read more

  3. talktotennessee says:

    On the front lines here:
    Confirming foreclosure activity STEPPING up in Memphis. One large lender began moving heavily in January. In some areas trust deed sales represent a third of all sales and REO sales another third.. Banks are avoiding auctions, (publication)the courts, quietly by forcing people into short sales while their house remains in homeowner’s name, often occupied. Properties are listed then liquidated to investors for cash, perhaps “deed in lieu of.” It stops some of the public hubbub re: escalation. Normal sales are flattening and values are dropping. I hate to say it but with this foreclosure escalation, regardless of how they accomplish it, the end result is a severe drop in values. Look for property tax chaos in next 2-4 years.
    New handling is quiet but deadly. It rips the bottom from the market with few people knowing what is happening. The truth is seeping out now, since the settlement, banks are NOT modifying but short-selling, foreclosing by the thousands.
    The housing market only ‘spot’ recovers in really high demand/appeal areas, barely stabilizing with little or no increase in values. Credit is near impossible. Most liquidation sales are cash to investor groups now pooling purchases docs handled by present lender.
    I did a survey on an urban area in which 90% of sales were distressed, particularly heavy in first three months of 2012. We are looking at long term housing devaluation as this plays out and returns to bite us a second and third time. Maybe double dip recession, just about election time? By the time the rest of the “heads” in Washington take notice, banks’ dirty deeds will have taken their toll and everyone will throw up hands and say “we thought the market was recovering, we didn’t know.” “Had we just known how bad it would get we would have forced the banks to modify and stabilize!” TOO LATE NOW! All I can say to that and still be polite is “HORSE FEATHERS.” They had their chance and blew it!

  4. Stan Roberts says:

    Brace? You mean the 1% is getting ready to slam people out of their houses? That’s called violence, not bracing.

  5. My most recent home in default has gone from Wells Fargo, to Paul Financial, to ??? , to Central Mortgage, back to Paul Financial?? to ????? financial??? ;purchassed by federal housing??? now the new owners of mers??? in default too sell, has been on reo listing prior to default?? and that is legal?

  6. Nothing has changed, threatened with foreclosure from day one, refused any assistance, due to injury needed tenant to keep mortgage current, tenant chased out, now in default, tried 7 months prior for assistance, own more than one home, down to last one current residence, nothing has changed, did receive a nicer print out after complaining nothing had changed, increased foreclosure date from 4/10 to 4/23 can stop if I csn psy sll in full plus penaltys! Have a neighbor had filed chapter 7 last resort was trying to sell home, couldn;t keep home and realtor gave him 2500 to move and the bank is continued to foreclose, he paid top dollar that would be in the high sixes, will sell for 200,000 at the high end, he is moving his family to a rental for $2000 a month, he had a good job! no one would help him lower his payment his house is 75% off original price! Where is the justice? This is California! Govenor Brown doesn’t want anymore foreclosures, makes one wonder just what it is his agent is telling him, this will be the fourth home on the block this week, the entire block has been flipped at least once and nothing happens to anyone! Some home owners have good jobs and still no help!!Where is the justice?? Aren;t they happy, refuse to fix this loan, wonder what it is that they tell the powers too be?? failure to make payment?? What about all payments made while waiting for help?? down the toliet!! The loans convienently have been sold to someone else, a new letter now comes with it declaring mers?? may not find the note?? I really am not interested in their crappy accounting, when prices and terms change, there should be laws to protect whoeverr purchased the home/loan there is no justice for homeowners, California Government, and Attorney General you have been lied too!!! trying too decide who gets rate reduction?? that is amusing! every case is different, there are no cookie cutters, hasn;t anyone learned anything!

    • snuff Bear says:

      time to ditch the bitch. Go Realtor bating its the right time to force your realtor into making penny on the dollar offers on billion dollar homes. Take whats lefy of your cash investments away from these banksters and win for a change

      Imagine if every person on the planet decided to sell

      The Banksters would FALL!!

  7. To Tell The Truth says:

    An important reminder to fellow contributors…they are using the same robo signed docs and presenting the case in a different new way of course…the ‘proper’ way with all the attachments and exhibits just as the judges told them to do…remember? Now that the banks know how to do it right, all they are doing is recycling the robo signed docs and adding some allonges/endorsements to so called copies of alleged ‘original notes’ that mysteriously popped up on their files after affidavits verifying their lost or destruction or whereabouts not they have appeared…amazing…God does not like ugly.

    Be of good courage, keep up the good fight and challenge…the attorney for the homeowner that was charged the $50K was an intimidation ploy to use as a pawn to scare away other smart attorneys that know how to defend the homeowner…after all they are homeowners themselves…and this attorney fined should counter sue or however it is done that same judge for accepting (or the court) lis pendis filed in the thousands saying/claiming the same thing…to foreclose on a mortgage and re establish lost note etc….wake up guys…this is no different from what that unfortunate attorney did when he filed to have them show the note….

    This is a war and rules of engagement need to be in place.

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