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Nationstar Executive Admits Aurora Bank Forged Note Endorsements

Nationstar Executive Edward Hyne Testifies Aurora Bank Policies Included Forging Note Endorsements

Nationstar Executive Edward Hyne sat for a deposition in a bankruptcy case last month. Normally, this would not be a big deal. However, this time the Nationstar executive dropped a bombshell about the now-defunct Aurora Loan Servicing. He claimed in his deposition that Aurora doctored and forged Note endorsements on loans they were servicing.

Nationstar

Aurora Bank has since quit the financial industry. New York Community Bank acquired Aurora’s bank branches. Nationstar acquired their loan servicing.

Hyne states in his deposition that Nationstar’s position is that Aurora Bank, FSB policies included forging endorsements. The forgeries are an example the rampant endorsement fraud that plagues the mortgage industry.

The deposition is from a Chapter 11 bankruptcy proceeding in California filed by Allana Baroni. Baroni is an author and TV personality. She is an etiquette expert who describes her work as being a “social specialist”.

The celebrity etiquette specialist also included Wells Fargo and Bank of New York-Mellon in her bankruptcy filing. She also fought them with the zeal of a fat guy at an All-You-Can-Eat Chinese buffet. As a result, both of those cases went to the 9th Circuit Court of Appeals.

Where there is smoke there is fire. How many other people have lost their homes because of note forgeries at Aurora? Read the transcript at MFI-Miami

If you feel you may be a victim of a fraudulent foreclosure, call our office today!


Westchester Foreclosures Demand Aggressive Foreclosures Defense

westchester foreclosures

Westchester Foreclosures Demand Aggressive Westchester Foreclosure Defense

The Law Office of Steven Stutman has created the most aggressive Westchester foreclosure defense team New York has ever seen! We are the only foreclosure and mortgage experts with the strength to successfully beat Westchester foreclosures.

Steve Stutman’s Westchester foreclosure defense team has become a lender’s worst nightmare. Why? He has successfully challenged some of the most arrogant foreclosure mill lawyers and Wall Street lenders in New York.

 

For nearly 40-years, Steve Stutman has developed a reputation of bringing Wall Street banks to their knees. He has even humiliated bank lawyers and made bank executives sob like babies during depositions. 

westchester foreclosures

Steve Stutman has also helped keep lenders from discriminating against Latin American homeowners and people of African and Caribbean descent. In addition, he has helped keep 9/11 survivors and military combat veterans in their homes. 

Furthermore, The Law Office of Steven Stutman also has access to some of the top forensic accountants and former FBI agents available. He can also call on mortgage compliance experts and collateralized debt experts if needed. 

As a result, this gives Attorney Stutman unparalleled strength to challenge any mortgage lender in any New York courtroom. 

We bring the most assertive Westchester foreclosure defense team to you! Steve Stutman likes to fight the Wall Street banks! He spent nearly forty years in the world of lending and knows the Achille’s heel of all the major lenders. 

Steve Stutman has helped hundreds of people in New York successfully stay in their homes. 

Call us at 888.574.7771. You can also check us out on Facebook


Equifax Rule Is In Effect As Credit Freezes Are Now Free

Equifax rule

Credit Freezes aka The Equifax Rule Allows Consumers To Put A Freeze On Who Can Pull Information 

Consumers can now freeze their credit at all three of the major credit reporting agencies for free. The new rule went into effect yesterday. Industry insiders are dubbing it the “Equifax rule.”

The massive data breach at Equifax led to a push to ban credit reporting agencies from charging to freeze someone’s credit.

Each state had different rules about credit freezes. Some states allowed agencies to charge up to $10 to place a credit freeze. States also allowed credit agencies to charge $10 to lift the freeze.

Equifax Rule

Not anymore. The Economic Growth, Regulatory Relief, and Consumer Protection Act bans the practice. The act was signed into law by President Trump earlier this year.

Consumers can envoke the Equifax Rule tp freeze their credit at Equifax, TransUnion, and Experian. A credit freeze prevents lenders or other credit providers from opening a new account without a consumer unfreezing their credit.

The Federal Trade Commission also stated the Equifax Rule allows parents to freeze their children’s credit for free. It also allows guardians, conservators, and those with a valid power of attorney to get a free freeze for their dependents.

Credit reporting agencies also must now extend fraud alerts from 90 days to one year. A fraud alert requires businesses that check a consumer’s credit to get the consumer’s approval before opening a new account.

According to the FTC, consumers must contact each of the three major credit agencies independently to place a credit freeze on their accounts.

The credit reporting agencies must now freeze the consumer’s credit within one day. Agencies are also required to unfreeze the account within one hour.

If consumers make those requests via snail mail, the credit agency must place or lift the freeze within three business days.


NYC Discovers Cure For Zombie Homes Plague

zombie homes

New York City Mayor de Blasio Has Discovered A Cure For The Zombie Homes Plague In NYC And It’s lawsuits!

New York State has been plagued by zombie homes for a decade. Zombie homes are abandoned foreclosed homes that are owned by banks and lenders. In 2016 New York State passed a law allowing the state and municipalities to fine lenders for not maintaining the property.  NYDFS also has the ability to slap a $500 per day fine on the lender for each property.

As a result of the law, NYDFS successfully sued PHH last year for $119,000 for a single property in the Hudson Valley.

zombie homes

Drug addicts and prostitutes frequently use zombie homes for nefarious activities.

The city’s Department of Housing Preservation and Development is using the law to sue Citimortgage and Wells Fargo. They are also suing three mortgage servers that represent the two lenders. The largest one being Ocwen.

New York’s zombie homes law designates both lenders and their mortgage servicers as responsible parties for the safety and security of properties in foreclosure.

The HPD also alleges the companies failed to clean up a cluster of abandoned homes in Brooklyn.

HPD Deputy Commissioner Leila Bozorg told WNBC:

Our goal is to get these banks to take accountability for these properties.

One of the zombie homes named in the suit had waist-high weeds sprouting from garbage on the front porch. A condom and a crushed malt liquor can also lay on the front steps.

The HPD lawsuit states CitiMortgage and its servicing company should have cleaned the property up at 1889 Bergen Street up months ago.

Geoffrey James lives next door told WNBC:

My mother actually did call the bank about it. They repeatedly said they’re going to do something about it. It’s been years and nothing has been done. 

A spokesman for Citi declined to comment on the blighted property.

Read more at MFI-Miami


American Homeownership At 35-Year Low And Dropping

American Homeownership Have Dropped To Levels From The Early 1980s And It’s Only Getting Worse

American homeownership rate has declined dramatically since its peak during the housing boom. Homeownership is dropping for a number of reasons.

The 2008 financial crisis plays an important part because lenders began tightening their belts.  The neverending government control of Fannie Mae and Freddie Mac also plays a part in this. All this is driving American homeownership to a 30-year low.

homeownership

The Census Bureau is reporting American homeownership rate in April stood at 64.4 percent. This the lowest homeowner rate since the Carter/Reagan recession of the early 1980s according to the Wall Street Journal.

Long before the decade of easy credit and cheap money when the rate peaked at 69.4 percent in April 2004.

Higher building costs due to President Trump’s tariffs on Canadian lumber are also driving up construction costs by 20 percent. These costs are then passed on to the buyer. As a result, developers have a glut of inventory.  This in turn is creating a cascade effect on the economy.

Meanwhile, home prices are rising fastest for lower-priced properties. This affecting the purchasing power of wannabe first-time American homeowners and the homes they are most able to afford.

The median age of a homebuyer last years 45. This is the highest its been in more than three decades.

Yet, Bloomberg reported that the American homeownership rate among young adults is expected to rise to 58.1 percent by 2025.

Read more at MFI-Miami


Homeowners With Wells Fargo Mortgages Can Sue Wells Fargo

Wells Fargo Mortgages

Homeowners With Wells Fargo Mortgages Can Sue Wells Fargo If They Were Denied Permanent Loan Modifications

Wells Fargo must face lawsuits by homeowners with Wells Fargo mortgages who claim the largest Wells Fargo refused to offer them permanent mortgage modifications for which they had qualified.

The 9th U.S. Circuit Court of Appeals said Wells Fargo was required under the federal Home Affordable Modification Program to offer homeowners with Wells Fargo mortgages loan modifications who demonstrated their eligibility during a trial period.

Wells Fargo Mortgages

As a result, the Appellate Court reversed the dismissals by a San Francisco federal judge of two lawsuits seeking class-action status. 

A federal appeals court in Chicago also reached a similar conclusion last year. 

Wells Fargo said it had $352 million of loans under HAMP in a trial modification period as of June 30.

Consequently, Wells Fargo tried to spin as Wells Fargo does by saying:

The 9th Circuit did not rule on the merits of the underlying cases. It found only that the district court should consider the arguments put forth by the plaintiffs.

The Obama Administration unveiled in 2009 as a way to keep people in their homes. HAMP pays mortgage lenders and servicers to rewrite loan terms for borrowers who cannot afford their payments.

The program has also spawned other litigation. The 9th Circuit judges also noted it “seems to have created more litigation than it has happy homeowners.”

A Massachusetts lawsuit accused Bank of America of offering employees financial incentives to stall HAMP applications. The lawsuit alleged foreclosures or in-house loan modifications were more profitable for BofA. 

The Massachusetts judge is also is considering making that case a class action.

Phillip Corvello claimed he complied with a written trial period plan for a HAMP modification. 

The court said that to rule in the bank’s favor would render the benefits for borrowers illusory.


FHFA Abandons Plans To Create Alternative Credit Score For GSEs

Credit Score

FHFA Abandons Plans To Create Alternative Credit Score For GSEs. Agency Decides To Right New Credit Score Rules

The Federal Housing Finance Agency is abandoning plans of creating a new credit score for homeowners. Instead, the agency will instead begin creating new regulations for lenders. As a result, they have requested providers of alternative credit scores to submit their proposals. FHFA wants to consider them for use by Fannie Mae and Freddie Mac.

A section of the regulatory reform bill signed by President Trump in May also requires the FHFA to define the criteria Fannie Mae and Freddie Mac will use to validate credit scoring models.

The FHFA had begun evaluating credit score models last year. It also evaluated if the GSEs should be required to switch to the latest scoring model from Fair Isaac Corp.

Fair Isaac introduced their latest credit score model named FICO 9. FHFA is also considering the use of VantageScore’s latest model, 3.0.

The FHFA had given itself a deadline of the end of this year to decide on new scores.

Fannie Mae and Freddie Mac currently use the older FICO 5 model. VantageScore is a joint venture of the credit bureaus Equifax, Experian and TransUnion.

FHFA Director Mel Watt said in a press release:

We have determined that proceeding with efforts to reach a decision based on our Conservatorship Scorecard Initiative process and timetable would be duplicative of the work we are mandated to do under Section 310 of the Act. 

These steps include developing a proposed rule. The FHFA rule is then presented it to the public for comment. The agency would then issue a final rule to govern the verification of credit score models.


Aggressive Hudson Valley Foreclosure Defense

hudson valley foreclosure defense

The Samurai Masters Of Hudson Valley Foreclosure Defense

The Law Office of Steven Stutman has created the most aggressive Hudson Valley foreclosure defense team New York has ever seen! We are the only foreclosure and mortgage experts with the strength to successfully challenge any Wall Street lender in a Hudson Valley courtroom.

Steve Stutman’s Hudson Valley foreclosure defense team has become a lender’s worst nightmare. Why? He has successfully challenged some of the most arrogant foreclosure mill lawyers and Wall Street lenders in New York.

hudson valley foreclosure defense

For nearly 40-years, Steve Stutman has developed a reputation of bringing Wall Street banks to their knees. He has even humiliated bank lawyers and made bank executives sob like babies during depositions. 

Steve Stutman has also helped keep lenders from discriminating against Latin American homeowners and people of African and Caribbean descent. In addition, he has helped keep 9/11 survivors and military combat veterans in their homes. 

Furthermore, The Law Office of Steven Stutman also has access to some of the top forensic accountants and former FBI agents available. He can also call on mortgage compliance experts and collateralized debt experts if needed. 

As a result, this gives Attorney Stutman unparalleled strength to challenge any mortgage lender in any New York courtroom. 

We bring the most assertive Hudson Valley foreclosure defense team to you! Steve Stutman likes to fight the Wall Street banks! He spent nearly forty years in the world of lending and knows the Achille’s heel of all the major lenders. 

Steve Stutman has helped hundreds of people in Hudson Valley successfully stay in their homes. 

Call us at 888.574.7771. You can also check us out on Facebook


Federal Housing Finance Agency Structure Ruled Unconstitutional

Federal Housing Finance Agency

Fifth Circuit COA Ruled Government Regulator Federal Housing Finance Agency Is Unconstitutional

The court also dealt with the question of the agency’s leadership structure. The lawsuit questioned if the FHFA director can wield absolute authority. The Court of Appeals for the Fifth Circuit ruled this week that the Federal Housing Finance Agency is not constitutionally structured.

The Federal Housing Finance Agency or FHFA is the oversight for Fannie Mae and Freddie Mac. The government created the FHFA was in the aftermath of the financial crisis of 2008 as a result of bailing out the GSEs.

Shareholders didn’t like that the Federal Housing Finance Agency modified its conservatorship agreement with Fannie and Freddie. The modification swept all the profits from the GSEs into the government’s coffers.

Fannie Mae and Freddie Mac shareholders sued the government. Shareholders challenged the structure of the FHFA. They also refer to it as the “Third Amendment Sweep.”

Rather the government claimed they amended the terms of the GSEs’ conservatorship to ensure that the government had enough money to bail them out again if necessary.

As a result, a group of Fannie and Freddie shareholders sued the government. They claimed the arrangement was unnecessary. They also argued it was illegal as well.

The COA Agrees With Shareholders. The Federal Housing Finance Agency Leadership Structure Is Unconstitutional

Federal Housing Finance Agency

Federal Housing Finance Agency Director Mel Watt

The Court of Appeals held that the FHFA was not constitutionally structured. Yet, they did rule that the agency was within its statutory authority when it enacted the net worth sweep:

We hold that Congress insulated the FHFA to the point where the Executive Branch cannot control the FHFA or hold it accountable,” the ruling reads. “We reach this conclusion after assessing the combined effect of the: (1) for-cause removal restriction; (2) single-Director leadership structure; (3) lack of a bipartisan leadership composition requirement; (4) funding stream outside the normal appropriations process; and (5) Federal Housing Finance Oversight Board’s purely advisory oversight role.

Therefore, the Court of Appeals ruled the FHFA director should be removable at will. Yet, they left the remainder of the FHFA’s previous actions intact. Thus, the FHFA “survives as a properly supervised executive agency.”

In addition, FHFA said that it will not be commenting on the court’s ruling.

To read the court’s decision in full, click here.


Millennial Homeownership Rate Is Low For 5 Reasons

millennial homeownership

Millennial homeownership is low because millennials are waiting longer than previous generations to own a home.

The low millennial homeownership rate has been the subject of several theories. Low millennial homeownership perplexed the real estate and lending experts for the past few years.

Theories suggest millennial homeownership is low because of high home prices and fear over the last housing crisis.

But now, the Urban Institute released a study that shows the actual data behind these factors.

The millennial homeownership rate was 37% in 2015. Gen Xers and Baby Boomers had a 45% homeownership rate when they were ages 25 to 34.

millennial homeownership

Five Factors That Have Kept Millennial Homeownership Low:

1. Delayed marriage:

Delaying family formation is, in fact, a hindrance to homeownership. Being married increases the probability of owning a home by a full 18%.

2. Greater racial diversity:

White households have the highest homeownership rate by-far, therefore the increasing diversity within the Millennial population also contributes to the lower homeownership rate.  The Millennial homeownership rate would be 2.6% higher If the racial composition remained the same in 2015 as it was in 1990,

3. Increased education debt:

Student debt has been a growing problem, and could even be turning into a crisis. But how much does it affect homeownership rates? The Urban Institute’s data shows a 1% increase in student debt decreases the likelihood of owning a home by 0.15%.

4. Increased rents:

Nationwide, rent just jumped to a new all-time high, surpassing an average $1,400 per month. Data shows that a 1% increase in a household’s rent-to-income ratio decreases the likelihood of homeownership by 0.07%.

5. Delayed childbearing:

Not only are Millennials taking longer to get married, but they are also spending more time before having children. For those who are married, having a child increases the probability of owning a home by 6.2%.

Another important factor to Millennial homeownership includes parental wealth and homeownership status. For any generation, a child’s likelihood of being a homeowner increases by 9% if their parent is a homeowner. Also, a 1% increase in parental wealth increases the child’s likelihood of being a homeowner by 0.016%.

 


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