Fraudtastic Times at 176 Lewis Avenue
We were browsing the upcoming foreclosure auctions listed on Property Shark when this one at 176 Lewis Avenue in Bed Stuy caught our eye. Check out the action on it back in the fall of 2006: The lender handing out that $675,000 mortgage must have really done some hard work on that appraisal! 176 Lewis…
We were browsing the upcoming foreclosure auctions listed on Property Shark when this one at 176 Lewis Avenue in Bed Stuy caught our eye. Check out the action on it back in the fall of 2006:
The lender handing out that $675,000 mortgage must have really done some hard work on that appraisal!
176 Lewis Avenue Profile [Property Shark] GMAP
Start with the appraiser and then throw the bunch in jail
It’s good to hear that the DA takes these cases seriously!
and, though i think prosecution is more difficult in cases like these where the original “real” owners don’t appear to have been defrauded (and may even have been complicit), i am pretty sure the DA takes these cases seriously. they get a lot of good press! they have a phone number for reporting mortgage fraud: 718-250-2340.
google has the notice of sale – says that the securities were bought by deutsche bank on behalf of morgan stanley.
Yes, real estate insiders did a lot of this during the bubble. New York state has recently started prosecuting a few of these rings in the last year.
Of course, not all of the bubble was caused by or consisted of this type of fraud by insiders. No siree. A much, much larger portion was predatory lending — done by insiders to regular people, usually in poor neighborhoods.
Yup, BHO, those decisions are out there – I believe the key to the argument goes: show me the note. Judges were thinking of down-on-their-luck homeowners, not situations like this.
Is this property even foreclosable?
“…“several courts have acknowledged that MERS is not the owner of the underlying note and therefore could not transfer the note, the beneficial interest in the deed of trust, or foreclose on the property secured by the deed’,
citing the well-known cases of In Re Vargas (California Bankruptcy Court), Landmark v. Kesler (Kansas decision as to lack of authority of MERS), LaSalle Bank v. Lamy (New York)…”
http://tinyurl.com/23j642u
***Bid half off peak comps***
So, will there ever be consequences for this Jennifer Dasrat person? A criminal investigation?
I think there are two overarching reasons for the debacle we’ve just been through: a) easy credit and b) the moral hazard created when a large group of investors believe that the government will step in to back up the loans. This moral hazard is created by the very presence of Fannie Mae and Freddie Mac. Many folks believed that if all else failed, the federal government would step in and indeed that is exactly what happened.
This situation creates an ideal environment for hucksters of all type: the possibility for huge profit due to easy credit, and the government takes the downside risk.
The same thing happened in the S&L crisis twenty years ago, and it will happen again if this mode exists.
TRULY privatize Freddie and Fannie, and we will have accomplished alot. Nothing focuses the buyers’ mind like the possibility of really facing a loss.