Effort on Home Loans Stalls
Effort on Home Loans Stalls
By Nick Timiraos and Ruth Simon, Wall Street Journal, Sept. 19, 2011
A year after U.S. banks slowed down the foreclosure machine as a result of pressure from judges and regulators, the foreclosure process remains snarled. Last September, GMAC Mortgage LLC, one of the nation's largest servicers of home loans, suspended sales of some foreclosed homes and put a moratorium on evictions of many borrowers behind on their payments. Other financial firms soon made similar moves, embarrassed by revelations of "robo-signing" by employees who signed off on hundreds of loans a day and falsely claimed they had personally reviewed documents giving the bank the right to foreclose.
Nevada AG Puts Bank of America on Notice Over Foreclosures
By Buck Wargo, Vegas Inc., Sept. 19, 2011
Call it Nevada’s version of David versus Goliath. As foreclosures continue and homeowners cry foul against lenders in their bids to stay in their homes, Nevada’s Attorney General Catherine Cortez Masto is taking on Bank of America in federal court. And the issue is going to heat up as Cortez Masto’s office investigates BofA and other parties in the foreclosure process. She says criminal charges are likely coming to the industry soon, which could provide more ammunition for her foreclosure fraud case.
Foreclosure Woes May Hurt Obama in 2012
By Nancy Benac, Associated Press, Sept. 17, 2011
President Obama's road to reelection is lined with lots of boarded-up houses. Although the high unemployment rate dominates talk in Washington, for many voters, the housing crisis may well be a more powerful manifestation of a sick economy. In an unfortunate twist for Obama, the problem is at its worst in many of the battleground states that will be decisive in determining whether he gets another term.
New Nevada Law Protects Against Abuses
By Las Vegas Sun (Editorial), Sept. 18, 2011
Nevada Attorney General Catherine Cortez Masto said her office has fielded plenty of complaints about the foreclosure crisis, including many in which homeowners are questioning the fairness of the process. A bill passed by the Legislature this year should help. Assembly Bill 284 will tighten the foreclosure process, increasing the requirements of lenders planning to foreclose. It takes effect next month.
Homebuilders' Outlook Gets Even Worse in September
By Derek Kravitz, USA TODAY, Sept. 19, 2011
The National Association of Home Builders said Monday that its index of builder sentiment in September fell to 14 from 15. The index has been below 20 for all but one month the past two years.A reading below 50 indicates negative sentiment about the housing market. It hasn't reached 50 since April 2006, peak of the housing boom.
Law Firm Flourishes in Mortgage Bust
By Brady Dennis, Washington Post, Sept. 16, 2011
The partners at the law firm of Quinn Emanuel Urquhart & Sullivan concluded a few years ago, before the financial crisis, that there was simply too much competition for representing major banks.