Imperium Watch: The Street War Against Foreclosure (Valley Advocate)
No One Leaves/Nadie se Mude, the Valley’s foreclosure-fighting guerrilla squad, won yet another victory January 11, when lender Fannie Mae agreed to a 30-day postponement of foreclosure on the home of Christine and Howard Clark at 114 Corona Street in Springfield, MA.
Why the Housing Recovery is Nearly Homeowner-Less (Truth Out)
Low-interest rates fostered by the Fed are causing big-money investors to purchase foreclosed single-family homes in blocks of hundreds, even thousands. Expected gains in home prices are also leading hedge funds and investment bank traders to gamble on housing derivatives.
Oral Promises Can Be Used in Fraud Case (San Francisco Chronicle)
Borrowers facing default on a loan can try to prove that the lender orally promised them an extension that didn’t appear in the written contract, the state Supreme Court ruled Monday while overturning a 1935 decision that restricted evidence of fraud in contract disputes.
Life in the Red (New York Times)
She awoke to a foreclosure notice on her front door that announced her home would be auctioned in a week… she was more than $20,000 behind on her mortgage payments and nowhere near catching up. She lay down on her bed and cried.
Payday loan operations typically charge 15 to 30 percent interest every two weeks…
“When we put people in situations of scarcity in experiments, they get into poverty traps,” said Eldar Shafir, a professor of psychology and public affairs at Princeton. “They borrow at high interest rates that hurt them, in ways they knew to avoid when there was less scarcity.”
Prednadrazi Still Stands: Czech Roma Community Resists Evictions (Global Voices)
Approximately 100 families, supported by local activists, refused to move out. Many simply did not have anywhere else to go; some have been living there for over 30 years. Now, five months later, twelve families still remain at Prednadrazi, including six children.
Adkins et al. vs. Morgan Stanley (ACLU)
Morgan Stanley systematically disregarded basic guidelines for safe lending and signaled its willingness to purchase loans that placed borrowers at elevated risk of foreclosure. In fact, Morgan Stanley often purchased loans containing multiple high-risk factors…
The Plaintiffs in the case are African American residents of Detroit, MI who have been harmed by Morgan Stanley’s practice of purchasing and financing predatory home mortgage loans to be included in mortgage-backed securities.
Occupy Homes MN fights dual tracking, organizes to help homeowners in Central and Powderhorn (Daily Planet)
It is not uncommon for homeowners like Nava, who find themselves in economic difficulty and are in the middle of a loan modification, to be told by the bank “Don’t worry we’re not going to foreclose.” While a bank will let a homeowner believe that a solution is possible, the mortgage has already been turned over to a foreclosure attorney. Sometimes, homeowners are not even aware that their home has been sold at a bank auction.
This process is called dual tracking. Duel tracking is banned in many states, but is legal in Minnesota.