More on Mortgage Rescue Fraud
If you're new here, you may want to subscribe to my RSS feed. Thanks for visiting!
It looks like mortgage “Rescue Fraud” is going to be a hot topic in the coming months as many of those with adjustable rate mortgages (ARMs) are going to be pressed by the increasing interest rates. Many of those with these mortgages will not understand the intricacies of the foreclosure process and the options open to them through legitimate channels.
These folks will be very susceptible to “Rescue Fraud” where a person offers to help the homeowner get out of their mortgage problems, but essentially steals the house out from under the homeowners.
It’s about lyin’, cheatin’ and stealin’ — it’s as simple as that,” said David McLaughlin, assistant attorney general for Georgia, which has put tough new laws on its books to target mortgage fraud.
The potential for “rescue fraud,” which often targets homeowners with risky mortgages in danger of foreclosure, was one of several risks highlighted at the Mortgage Bankers Association’s first conference on mortgage fraud.
Neighborhood Housing Services of Chicago, a non-profit agency, plans a pre-emptive strike, knowing that borrowers with ARMs could be especially vulnerable to losing their homes, said the group’s executive director, Bruce Gottschall.
Some $1.5 trillion in adjustable rate mortgages will be reset in the next two years, Gottschall said.
Many at-risk borrowers in nine Chicago areas served by NHS have sub-prime loans that already carry rates closer to 10 percent or 12 percent than the low rates common on ARMS during the recent years-long housing boom.
A large slice of loans going into foreclosure within three years of origination were priced 300 basis points or more over the 30-year Treasury bond yield, Gottschall said. via Reuters.com.
Am I the only one that finds it odd that the ONLY place that looks to be seriously warming is ...
It seems there are numbers posted about how much it could cost the US in home sales from people holding ...
The only people holding off will be those that are financially secure and can manage to hold off. How ...
What an awesome way to generate traffic for a story. Were they trying to time that for Sweeps Week? ...
That's awful. I wonder if using that tactic , if a building can be sold or used as collateral. ...
Good point about people possibly holding off now. The 4.5 percent interest rate could be a self-fulfilling prophecy. 
wow this is a wonderful creation...............i would like to be there once even in my life time........... 
Absolutely agree with Jon, excellent site and very imformative. Keep reporting to us please! 
I will say that had I never been to that site and seen Dean's many deals that he documented and ...
Great Real Estate
post ... very interesting. 
