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+--- Thread: 97% of Hawaii repos by mainland banks (/showthread.php?tid=8168)
97% of Hawaii repos by mainland banks - Bullwinkle - 12-11-2010
http://www.kitv.com/money/26096599/detail.html
"Harman said FACE will push for laws already in place in Nevada, Maryland and Florida, that require face to face mediation between mortgage lenders and those who face foreclosure.
“And that’s something that our people don’t have in Hawaii. And I think it’s especially important since we’re so far away,” Harman said.
FACE is also studying a Nevada law that requires mortgage lenders to have a presence in the state in which it does business.
But consumers are not always in control over what happens to their loans."
RE: 97% of Hawaii repos by mainland banks - John S. Rabi - 12-11-2010
No surprise there, the local banks have always been difficult to deal with, even for buyers with good credits, and their rates have not been competitive. Most mortgage brokers were able to get better rates from mainland lenders.
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(This is what I think of the Kona Board of Realtors http://KonaBoardOfRealtors.info)
RE: 97% of Hawaii repos by mainland banks - 808blogger - 12-11-2010
Pointless. The loans are bundled into derivatives packages, the "bank" foreclosing on you is likely only the processor. And the actual paper is long gone.
RE: 97% of Hawaii repos by mainland banks - missydog1 - 12-11-2010
It's not pointless. The loan servicer has the authority to negotiate loan modifications. It the servicer wants to work with you, it can in most cases get the "investor" approval. The servicer is the entity that handles the foreclosure, not the investor.
RE: 97% of Hawaii repos by mainland banks - Bullwinkle - 12-12-2010
I always figured Hawaii banks saw homes as places to live, while mainland banks saw them as a means to get into speculation. The chickens may be coming home to roost for the mainland "investors" - banks and individuals
My sis was a major player in the lending industry --- Started packing her bags two years before the collapse - they all saw it coming... collusion between the banks, mortgage wholesalers and retailers, agents appraisers and buyers, rampant - could only stretch things so far before it imploded on itself. I remember having dinner with one loan rep who claimed she could get a dead buyer approved - she also used to say she would get on her knees for a loan - nice business ethics all around......
Now my mainland bank (wells and bofa) are offering me liar loans and upping my card limits - even though I do not carry a balance - nor have I had a mortgage - since 1994 - seems they are targeting those folks who do not need the money - and reporting to the gov't that indeed they are pumping cash into the system - will they ever learn?
Lets hope for the best - we aren't out of the woods yet imho. Thank the Hawaiian local banks for having good sense and keeping folks in their homes through all of this - would be my insight
related article: http://www.latimes.com/business/la-fi-lew-20101212-7,0,5455264.story
RE: 97% of Hawaii repos by mainland banks - dirk1609 - 12-12-2010
We recently ran into a fun one with our home in ocean view. We bought 4 years ago, put over half down. We have never had a late payment, have EXCELLENT credit etc. The loan is with wells fargo at 7% intrest. We are trying to get the payment down so it is more affordable by refinacing. Wells Fargo will no longer do loans in a lava zone 2 so they will not refinance us even though they currently carry the loan. So while we are doing everything right and attempting to be good borrowers they wont even refinace us. At this point I am done with the big banks, smaller banks might not be much better but I will never give wells fargo another dime and we may end up just walking away from the home at some point, killing our excellent credit. The banks are not thinking at all and they just dont care.
RE: 97% of Hawaii repos by mainland banks - Bullwinkle - 12-12-2010
Bet you everyone got their commission on closing though.........
And yes the buyers are left holding the bag....
The only way to clean up the industry is to get all of the commission based players out of it imho
By its very nature they are not advocating for the buyer - rather they need to close to get paid - damn the consequences
Added links 9:04 am
timely and related read: A Secretive Banking Elite Rules Trading in Derivatives
http://www.nytimes.com/2010/12/12/business/12advantage.html?pagewanted=2&_r=1&hp
bofa mortgage mess:
http://www.nytimes.com/2010/12/12/business/12brian.html?src=un&feedurl=http://json8.nytimes.com/pages/business/index.jsonp
mortgage servicing companies working for these folks who hold the derivatives - think the little guys are getting a fair deal?
edit added link
RE: 97% of Hawaii repos by mainland banks - missydog1 - 12-12-2010
About the refi, Dirk, just want to be sure that you ruled out the Obama refinance program. I don't know the requirements on it, but if you qualify for it you should be able to get it. I do think, though, that it's for owner-occupied properties.
It is a risk of buying into Lava Zones 1 & 2, that there may not be financing or affordable insurance available later on, despite it being there when you buy. That was a factor that caused me to walk away from buying in those zones in 2007. If there were only one or two lenders willing to underwrite Zone 2 at that time, would I have to look for a cash buyer when I wanted to sell or do seller financing? As for refinancing, it never occurred to me that I would have the option.
Wells Fargo is a bastard of corporation and one of the worst for screwing people over, so I fundamentally agree with your point, but I do think you need to own the decision to buy in a zone where financing has been a problem in the past. Agents have told me that in the past there were lots of agreements of sale and other seller-financing in those loans, and that it's been more in recent years that conventional lending has been available.
Anyway, I'm not down for all the blaming of the consumer on this stuff, so back to the bank issue. One thing I've seen is that the buyers who put a lot down but don't buy the places outright are most being screwed with this situation. Anyone who has a shadow of equity is a target for these predators. They want you to walk on or lose the property. It's the people who put nothing down that will get offers of assistance.
Hate to see you walk away from so much investment; hope you find another way. [
]I wonder if you were owner-occupied if you could qualify for a program. Suggest you at least talk to HUD's HOPE for homeowners people, or read what's out there for owners. I've heard the HUD people are not that helpful, but OK if you have the patience to deal with them and expect information, not miracles.
RE: 97% of Hawaii repos by mainland banks - nanasohana - 12-12-2010
Oh good, looks like some here on Punaweb are starting to wakeup to the problem with big bank foreclosures...we are in a mess, folks...but it is still just brewing slightly under the surface...get yourselves educated on this...
http://market-ticker.org/akcs-www?post=174590
RE: 97% of Hawaii repos by mainland banks - missydog1 - 12-12-2010
You know, this MERS scandal is all very real and people are having a great time writing it up, but if you follow the forums where people try to get help with foreclosure, which I did for a bit until it got too depressing -- very few people end up being helped by the bank's inability to produce a note.
A whole industry has sprung up convincing homeowners that they can spit in the banks' faces and get out of foreclosure. It's like the scammers who were working for banks got out of that industry and set up shop scamming consumers in the "pay us to save you home" industry.
Offering forensic audits, MERS defenses, negotiations for programs that consumers are entitled to use and can use without an attorney or a special rep. Very few judges are standing up to the banks so far. You hear these stories of judges invalidating the mortgage, but for every story, how many homes are foreclosed? Thousands.
But then I'm in a very cynical frame of mind about all this.