Maine High Court Overturns Foreclosure, Cites ‘Untrustworthy’ Paperwork

Maine High Court Overturns Foreclosure, Cites ‘Untrustworthy’ Paperwork
May 24, 2011, Wall Street Journal

The Maine Supreme Judicial Court overturned the foreclosure of a Maine homeowner after concluding that the supporting documentation filed by the foreclosing bank was “inherently untrustworthy.” The decision, handed down Friday, underscores the potential for more delays in foreclosures as banks are unable to foreclose on borrowers after being challenged in court for using questionable paperwork. (Read the decision.)

As Housing Goes, So Goes the Economy
May 24, 2011, New York Times (Editorial)

The Great Recession began with the bursting of the housing bubble. Today, nearly two years after the recession officially ended, the housing market is still in trouble.

Banks Face $17 Billion in Suits Over Foreclosures
May 24, 2011, Wall Street Journal

State attorneys general told five of the nation's largest banks on Tuesday they face a potential liability of at least $17 billion in civil lawsuits if a settlement isn't reached to address improper foreclosure practices, according to people familiar with the matter.

10 Cities Where Buying Beats Renting
May 24, 2011, U.S. News & World Report

Affordable homes are the upside of the continuing crisis in the housing market. Here are places where it could make more sense to buy. Experts say the bargains can't get much better for would-be homebuyers this spring. Buying is now more affordable than renting in nearly four out of five cities, according to the quarterly Rent vs. Buy Index released by online real-estate resource Trulia.

Sizing Up a Sweeping Mortgage Settlement
May 20, 2011, Fortune

The trouble for America's largest mortgage lenders just keeps mounting. How much will it cost them to make it all go away? Bank of America, JPMorgan Chase, Wells Fargo, Citigroup and Ally Financial violated the federal False Claims Act, according to officials briefed on federal investigations who spoke to the Huffington Post. The unnamed officials say the banks submitted faulty documents in seeking federal reimbursement from the Federal Housing Administration homes they'd foreclosed on.