Halt the Foreclosures?

GMAC reported that it has halted certain evictions and sales of foreclosed homes while it corrects a “potential issue” in its foreclosure process.

According to the Federal National Mortgage Association the action that GMAC is taking emphasizes a problem that has been growing for banks that may have ILLEGALLY driven homeowners out of their houses.

Ugh.  Anyone feel like sleeping on the concrete?

So how did they illegally drive people out of their homes?

There have been lawsuits involving GMAC for falsification of key foreclsoure documents.  The attorney general of Florida is involved in investigating various law firms for providing GMAC with fraudulent documents falsifying who held the original mortgage which allows banks and lenders to escape a trial and go straight for the jugular to foreclosure.

The good news is that none of this could be done in California or San Diego where there are no trials.

The bad news is, what hurts the economy anywhere can hurt you locally too.  The U.S in general needs to do better for housing markets to grow.  That includes our San Diego, which is more stable than most markets, but still needs stability around it.

The other news is, if GMAC did this, what else did they do?  What other banks were involved?  Where?

In a deposition taken in December a GMAC employee said he signed 10,000 affidavits or similar documents a MONTH without personally verifying who the mortgage holder was.

Um, thanks!  I guess….

What that means is that many foreclosures could have taken place based on false documentation.

Housing is one of our basic needs, let’s treat it as such and stop with the scams!

FIND YOUR NEW BASIC NEED HERE