Hey Congress... Reform THIS! 06.29.10 | Video Marketing and Mortgage News Designed for Mortgage and Real Estate Sales

Lion: (June 30, 2010 6:44am)

HVCC on non-owner. Quoted my client $555=$385 1004, plus $165 for OIS & Rental Survey. My bank account charged today (appraisal just ordered) for $685!!! HVCC sure sainvg the consumer money. What a joke.

voltaire3: (June 29, 2010 11:04pm)

TBWS got 120,000 sign ins on the HVCC. What did they do with the petition. Lobby congress, get subscribers, dump in the trash... what? HVCC remained in the Financial Reform Act so what was the effect and the purpose???

Clulessdad: (June 29, 2010 9:59pm)

Only the House passed the extension. The Senate hasn't passed it and they don't know how Harry Reid can accomplish that in 1 day. Don't clank your glasses just yet!

GMSBkr: (June 29, 2010 8:04pm)

Racheli is correct. Tax credit extended til 9-30-2010. Now what we have to do is find a way to have all these short sales close ASAP! The majority of what's seliing are foreclosures and short sales. You have got to have a good short sale specialist that's going to do their job on your team. And yes, they have to work for you, the consumer, not the bank. They have to remember who the Buyer is and who the Seller is!! Back in april, our wonderful gov't was supposed to put pressure on the banks to lessen the approval time of short sales. Well, the banks got bailed out and they have no interest in hastening the process. They don't even care if the properties forecloses! They get their money one way or another.

GMSBkr: (June 29, 2010 7:49pm)

JML from 10:54am this morning. Can't tell if you are using a RE broker for the short sale, but if you are, they goofed up in submitting the package without leases. The only other way in solving this, from my experience, is for the Seller to file BK and that will stop the sale temporarily. If he doesn't have the $$ for BK, he can do it himself at the courthouse and pay the filing fee in installments. That will delay the sale for a while. You said Trustee, so he may have already be in BK court. I'm very tough with the banks. I inundate the negotiator, bank's attorney with comps by email and faxes. Register comps at crthouse. Persistency is the only way to close a SS. The worst ones are the piggy-back loans where people have an 80/20 loan. Just like modifications, I think there's a conspiracy to make sure that the LMs fail & another to make the SS as difficult as possible. Banks get more money in a SS and they're higher than foreclosed comps. It's a conspiracy! Good luck, JML

Realist 1: (June 29, 2010 7:49pm)

It used to be a republic back in the early days, but it is not any more.

Racheli: (June 29, 2010 7:26pm)

HOME BUYERS HAVE TILL 9-30-10 to close Well THEY LISTENED! Home buyers have till 9-30 to close contracts that were signed before 4-30-10 here is the press release By STEPHEN OHLEMACHER, Associated Press Writer Stephen Ohlemacher, Associated Press Writer – 11 mins ago ...WASHINGTON – Homebuyers would get an extra three months to complete their purchases and qualify for a generous tax credit under a bill overwhelmingly passed by the House on Tuesday. See the rest of the story http://ht.ly/251NR see the rest on

5pence: (June 29, 2010 7:23pm)

joe- it's evolved into a democratic republic over time - and it was a good one at that. I miss it

joe: (June 29, 2010 6:31pm)

Strictly speaking, what we have is not a "democracy," but rather a "republic." The ancient Greeks had a democracy ("rule by the people"), where each person had a say in what happened in government. They also had far more responsibilities than we have as citizens today. The hue and cry we hear today--much of it from opportunistic talking heads--about "tyranny," "socialism" and the like are from people who seem to confuse those terms and concepts with "losing an election." It's a pretty safe bet that, if your guy loses, the other guy is going to do a bunch of sh*t you don't like. the really smart opportunists have found a way to build a massive audience and become wealthy by speaking to those people who are indignant at losing the election and therefore believe themselves to be disenfranchised.

Owl Tree: (June 29, 2010 6:21pm)

Between a Homeowners Association that works 10 hours per week, and a Medieval Condo/PUD review department at my lender, I reel like a salmon swimming up Moron River.

Jordy: (June 29, 2010 3:43pm)

Hey Guys ~ I heard from an insurance agent that State Farm has withdrawn from the NFIP and is writing and binding flood insurance. We just got our flood insurance binder and are closing.

Realist 1: (June 29, 2010 3:28pm)

Yeah - no doubt!

5pence: (June 29, 2010 3:24pm)

The problem is that of all those very descriptive terms to describe the government rule we see is that not one of the terms we can come up with is democracy. Telling isn't it.

5pence: (June 29, 2010 3:16pm)

jcollins: You're reminding me of the pushy brokers that everyone complained about - thinking that they know better than anybody else. Me, I just hung up on them - no complaints about bully brokers here.

Realist 1: (June 29, 2010 3:15pm)

Owl Tree - there are so many words to describe it and they are all pretty accurate - plutocracy, aristocracy, kleptocracy, oligarchy, the ruling elite, etc - pretty much all one and the same!

5pence: (June 29, 2010 3:13pm)

sure jcollins, believe people that aren't appraisers over people that are experienced appraisers. Whatever suits your ends ehh there j? You can drop it now jcollins - appraisers know better than anyone you know, since it's their own asses on the line.

Realist 1: (June 29, 2010 3:07pm)

Joe no prob - it's just that when you mentioned "tin foil hat" I figured you were brushing it off into the "conspiracy theories" category. For what its worth, Glenn Beck is pretty good at exposing many issues such as the Goldman Sachs connection to Obama's (and Bushes) cabinet, but I am not totally sold on Glenn Beck. Generally, I have learned to tune out the mainstream corporate owned media. I think however the best guy out there in the MSM is Dylan Ratigan with MSNBC. Check it out: http://www.msnbc.msn.com/id/31510813/

Owl Tree: (June 29, 2010 3:02pm)

I'd say we live in a plutocracy, but I suppose it is nitpicking.

Realist 1: (June 29, 2010 2:56pm)

Right on 5Pence! - You are really well educated about all of this stuff I can tell. And you are right about kleptocracy - which is what I was referring to in my earlier post. The bankster oligarchs and their crony partners have set up the system long ago so that when they take enormous risks such that if (when) they fail, you and I (and our children) have to bear the consequences of their bad bets. Their risks are shifted to us and they get rewarded no matter what; we get the bill for their malfeasance as they get bailed out by us and they even get rewarded with bonuses to boot. I can't think of a better way to describe it other than LEGALIZED CRIME! It is the ULTIMATE HEIST whereby they can stuff it to people who had nothing to do with their bad gambling debts and it's all been legalized. Al Capone would be proud indeed.

jcollins: (June 29, 2010 2:45pm)

5pence, 5pence: (June 29, 2010 2:13pm) Thanks cgappraisals and cpappraisal for backing me up. New assignment means a new inspection too. jcollins sure is persistent in his erroneous claim - he even went as far as calling USPAP! Now that's persistance. Please do not confuss erroneous with me not being able to explain it to you. You keyed on some words and ran with it. When you should of asked questions instead of answer ones that were not there. I have now checdked with USPAP as well as the of legal depts. on how exactly how to do this. I believe them before and there were backed up by USPAP. Even if some of you believe there are a joke.

joe: (June 29, 2010 2:30pm)

@Realist 1: Seemed pretty obvious to me. If my little joke was not obvious to you from the clip, I don't know what I can tell you. Jeez--it was even annotated.

jcollins: (June 29, 2010 2:30pm)

cpappraisal Now your thinking. Just keep going with that thought and you will come up with the answer.

5pence: (June 29, 2010 2:23pm)

joe was making a joke lol. Of course you're right Realist 1 about oligarchy. Try this one though guys, a bankster oligopoly. It's akin to a kleptocracy and seems to be the word most talking heads and economists are using lately to describe the banks hold on the economy and, in turn, the government. See "Characteristics" at the wiki link. http://en.wikipedia.org/wiki/Oligopoly

Realist 1: (June 29, 2010 2:20pm)

The tax credit was just extended by 3 months - see Al appraiser's link.

5pence: (June 29, 2010 2:13pm)

Thanks cgappraisals and cpappraisal for backing me up. New assignment means a new inspection too. jcollins sure is persistent in his erroneous claim - he even went as far as calling USPAP! Now that's persistance.

Realist 1: (June 29, 2010 2:12pm)

OK Joe - I watched the video clip, but I don't see the point you are trying to make. Can you please explain?

Al Apprazer: (June 29, 2010 2:07pm)

http://www.msnbc.msn.com/id/38003340/ns/business-real_estate/

joe: (June 29, 2010 2:06pm)

@realist1: ***WHOOOOSH*** Hear that? That's the sound of something going over someone's head. Here's a hint: http://www.youtube.com/watch?v=H-D_S7WOnjg

AbleRonny: (June 29, 2010 2:03pm)

Congress is deplorable - a bunch of weak monkeys. Nice of them to take a week off, too. For more irritation, please view the following videos - a PBS story from 1987. Part 1 of 2, http://video.yahoo.com/watch/182590/747769 and part 2 of 2, http://video.yahoo.com/watch/182589/747722

Realist 1: (June 29, 2010 1:49pm)

Oligarchy is a form of government where most political power effectively rests with a small segment of society (typically the most powerful, whether by wealth, military strength, ruthlessness, or political influence). The word oligarchy is from the Greek for "few" and "rule". Some political theorists have argued that all societies are inevitably oligarchies no matter the supposed political system.

Realist 1: (June 29, 2010 1:46pm)

Joe - you have much to learn - including how to spell oligarchy.

cgappraisals: (June 29, 2010 1:45pm)

cpappraisal, your right too, sorry to leave you out.

cgappraisals: (June 29, 2010 1:42pm)

jcollins, that is the funnest thing I ever heard. "talked to someone at USPAP". Hilarious. USPAP changes constantly, that is why we have to take 7 hrs every 2 years. However even though it might seem odd, that there is no appraisal update, and that it is considered a new assignment and up to appraiser to charge whatever, 5pence is absolutely correct.

joe: (June 29, 2010 1:36pm)

@Realist1: It's "OLIGARHY," dude. If you're going to do Glenn Beck, do Glenn Beck. Tinfoil hat...ON.

GaryP: (June 29, 2010 1:31pm)

What am I missing here? HUH???? If this is the strategy, then Timmy needs to clue in the rest of the team because they are doing exactly the opposite. "On March 23, Treasury Secretary Timothy Geithner told Congress, "Government's role in the housing finance system and level of direct involvement will change...and the administration is committed to encouraging private capital to return to the housing finance market.""

Realist 1: (June 29, 2010 1:28pm)

REO Man - We are ruled by an OLIGARCHY not a Democracy. Most people would say that is crazy, but if you look under the hood and do your research that is what you will discover. The whole republican vs. democrat thing is a smoke and mirrors mechanism designed to make you think they are only two political parties and you must vote for one or the other. In reality both parties are the same party. It is a monopoly of power and it is an illusion of choice. Haven't you ever noticed that during the elections no other political parties are given air time? This is because the mainstream media is owned by the oligarchy too. The oligarchy is the "New World Order" the George Bush Senior openly talked about. Bill Clinton, GWB and Obama are all bus drivers for the oligarchy. A program similar to that which Speedy was talking about exists.

Dick D: (June 29, 2010 1:28pm)

it's very simple why Fannie or Freddie is not part of the financial reform package...it's call political contribution. see below for the Prez receiving the third highest paid contribution by Fannie/Freddie. And VP Biden's son helped get it done. "Obama, Fannie Mae, Freddie Mac, Campaign contributions, Mortgage crisis, Lobbyists, Truth about Obama, More Obama lies" September 16, 2008 · 23 Comments Barack Obama has claimed to be the candidate of change who steers clear of lobbyists. Once again Obama is lying. One lobbyist Here is one of the website sources: http://citizenwells.wordpress.com/2008/09/16/obama-fannie-mae-freddie-mac-campaign-contributions-mortgage-crisis-lobbyists-truth-about-obama-more-obama-lies/ Obama has ties to is Joe Biden’s son, Hunter Biden. Now we learn that Obama was the third highest recipient of campaign contributions from Fannie Mae and Freddie Mac that have just been bailed out by the government. Here are the top recipients of campaign contributions from Fannie Mae and Freddie Mac, 1989-2008:

reoman: (June 29, 2010 12:54pm)

@Joe - As soon as I saw Speedy's post, I knew I had read it before. Found it in an email I received last week. Glad you could clear up exactly where it came from. Thanks!

cpappraisal: (June 29, 2010 12:47pm)

jcollins-Just curious sorry...you made calls to who? You should not be asking an appraiser to change a name on an appraisal report period. If you need an appraisal done then order it. You can not call an appraiser and ask to change a name on another clients report. It violates USPAP period. If you order a new appraisal it is up to the appraiser as to what they will charge being that they just appraised the property. The fee will most likely be less but the appraiser still has to type a new report.

joe: (June 29, 2010 12:41pm)

@reoman: One of the behaviors that can give life to rumors and hoaxes is exemplified by "speedy's" unattributed cut-and-paste of an op-ed article written by Wayne Allyn Root for the Las Vegas Review-Journal. Root was a Libertarian VP candidate in 2008 and is a commentator for Fox News. I didn't know he was a loan officer as well, or that he went by the screen name of "speedy."

iam 2520: (June 29, 2010 12:25pm)

Dear 5pence; indead some "devious shiite", but I think he is a Sunni. How about it Speedy... see any rugs in the dorm ? Wow, the 1.6 Billion - created or saved ? Yes, 95% of the FAIL to close in > 60 days are Short Sales... got to be, sad some of those started under the original 1st time buyer credit that expired in Nov.'09 ! Shameful !

jcollins: (June 29, 2010 12:22pm)

5pence: Again, you just do not completely understand what I am doing. If you need to be right, then YES, you are completely right, in what you are saying. But, what I am doing falls completely within what you are saying and all the guidelines. I would not put anyone in jeopardy. That is not my nature and goes against what I believe in. I do appreciate you bringing those guidelines to my attention. I had read those before, but thought maybe I missed something. So, I reread them and made the calls again. Still not against the rules. Again thank you.

jcollins: (June 29, 2010 12:22pm)

5pence: Again, you just do not completely understand what I am doing. If you need to be right, then YES, you are completely right, in what you are saying. But, what I am doing falls completely within what you are saying and all the guidelines. I would not put anyone in jeopardy. That is not my nature and goes against what I believe in. I do appreciate you bringing those guidelines to my attention. I had read those before, but thought maybe I missed something. So, I reread them and made the calls again. Still not against the rules. Again thank you.

5pence: (June 29, 2010 12:10pm)

really, thanks for clearing that up reoman. There was no response from "Speedy" so I'll have to assume you're right. Cyber-fluff. Interesting the authors first initials spell out WAR.

reoman: (June 29, 2010 12:05pm)

If Obama is the third term of GWB, then this incarnation must have taken some serious seminars on the virtues of socialism and self-aggrandizement! GWB was not a great president...especially fiscally, but there is not much comparison between him and Obama. Speedy's post below is nothing but a cut and paste of part of one of those cyber-posts that get forwarded and forwarded across the net...this one entitled "Overwhelm the System" supposedly penned by Wayne Allyn Root.

5pence: (June 29, 2010 12:04pm)

jcollins, again there is no such thing as an appraisal update. Update means new inspection and new appraisal and due to the confines of confidentiality, the same exact report should not be copied and addressed to the new client. Sure, you can't be blamed for your appraiser choosing to violate USPAP, but does that make it right in your eyes? There are 2 scopes of work involved with the 2 clients. 1st scope of work is the valuation. 2nd scope of work for the new client is putting the appraisal in their name. The 2 scopes of work are different and require a new appraisal for the 2nd scope of work. I'm not sure what you are not understanding - I've laid it out for you to understand as simply as I could. Me thinks you think logic should reign over law. True, at times, but until the law changes it's still the law and violating it carries punishment.

jcollins: (June 29, 2010 11:54am)

5pence, Maybe you did not understand what I was doing. But even if you read what you sent it still does not effect what I am doing. What I am doing is completely above board and not putting anyone in jeopardy. Not up on all the short type lango. Please write it for me.

5pence: (June 29, 2010 11:51am)

USPAP is a book of appraisers rules. Not a person or an organization.

5pence: (June 29, 2010 11:49am)

I posted all the proof you needed to know you are wrong to jeopardize an appraisers license so you can make a quick buck. BTW, you talked to someone at USPAP??!!! LMAOAY!!

jcollins: (June 29, 2010 11:45am)

5pence:: I talked to someone at USPAP. What I am doing is not illegal. Ignorance is still for the closed minded.

5pence: (June 29, 2010 11:36am)

HVCC, you have a really dated copy. This is the most current copy courtesy of Owl Tree : http://financialservices.house.gov/ Key_Issues/Financial_Regulatory_Reform/ Final_conference_titles/T14_FINAL.pdf. You might want to read through the posts here from yesterday.

HVCC: (June 29, 2010 11:09am)

You may see the latest version of the Bill 4173 here http://www.govtrack.us/congress/billtext.xpd?bill=h111-4173. Select the May 20, 2010 version.

Realist 1: (June 29, 2010 11:07am)

Obama is effectively the third term of GWB. It all appears pretty Orwellian; Weakness = Strength, Feedom = Slavery and Change = No Change

HVCC: (June 29, 2010 11:04am)

The HVCC regulation was left out in the new version of the Bill 4173. See the latest bill in PDF, it will take 50 seconds to download because it has 1,616 pages. http://frwebgate.access.gpo.gov/cgi-in/getdoc.cgi?dbname=111_cong_bills&docid=f:h4173eas.txt.pdf

hans: (June 29, 2010 10:52am)

I had no issues closing on time due to volume. All of my clients that got into contract before April 30th closed in May. The people that I am serving that need help are several short sales that are in contract but we don't have bank approval. We need more time on these guys.

Owl Tree: (June 29, 2010 10:47am)

Is it true that, under the new legislation, if I so much as even look at an appraisal, I'll be pelted with rocks and garbage?

5pence: (June 29, 2010 10:40am)

Frank and Brian : Why did it post me as Anonymous and not post the whole narrative??

5pence: (June 29, 2010 10:38am)

GaryP: ‘(j) SUNSET.—Effective on the date the interim final regulations are promulgated pursuant to subsection (g), the Home Valuation Code of Conduct announced by the Federal Housing Finance Agency on December 23, 2008, shall have no force or effect.(k) PENALTIES.—(1) 1ST VIOLATION.—In addition to the enforcement provisions referred to in section 130, each person who violates this section shall forfeit and pay a civil penalty of not more than $10,000 for each day any such violation continues.‘‘(2) SUBSEQUENT VIOLATIONS.—In the case of any person on whom a civil penalty has been imposed under paragraph (1), paragraph (1) shall be applied by substituting ‘$20,000’ for ‘$10,000’ with respect to all subsequent violations. ‘‘(3) ASSESSMENT.—The agency referred to in subsection (a) or (c) of section 108 with respect to any person described in paragraph (1) shall assess any penalty under this subsection to which such person is subject.’’ HVCC is gone and there's monetary punishment for use.

Anonymous: (June 29, 2010 10:37am)

GaryP ‘‘(j) SUNSET.—Effective on the date the interim final regulations are promulgated pursuant to subsection (g), the Home Valuation Code of Conduct announced by the Federal Housing Finance Agency on December 23, 2008, shall have no force or effect. (k) PENALTIES.— (1) 1ST VIOLATION

5pence: (June 29, 2010 10:34am)

Just heard on MSNBC, the FINREG bill might be re-opened for more debate. They're going to decide sometime this afternoon. I'll try to keep you updated. Don't call and vote no, just insist that broker ordered is needed in the bill to protect the consumer by allowing competition for the consumers business at the best rates and offerings of the most consumer friendly products. It's protection for the consumer to have as many choices as possible. As it is there are no choices.

GaryP: (June 29, 2010 10:28am)

Its hard to say what is and is not in the bill. A lot of the details got kicked down the road (go figure) and the yet to be formed consumer finanace agency designated to come up with rules. Perhaps there was some rationale that led them to be belives that they didn't really know what they were doing and gave those points to someone that supposedly does. Here is an example (again from NAMB): A subsection was included within the qualified mortgage criteria for "Smaller Loans" which requires the Federal Reserve to prescribe rules adjusting the criteria of the 3% points and fees in order to permit lenders that extend smaller loans to meet the requirements of the presumption. The Board shall, in prescribing such rules, consider the potential impact of such rules on rural areas and other areas where home values are lower.

GaryP: (June 29, 2010 10:23am)

This is what I got from NAMB on HVCC: Home Valuation Code of Conduct · The HVCC will sunset within 90 days of enactment of the bill. · Language offered by Rep. Kanjorski (D-PA) was accepted by conferees that would give regulators the authority to issue rules on appraisal report portability, including regulations that ensure the portability of appraisal reports ordered by mortgage brokers. · Language would require a study to be conducted on the HVCC and its impact on mortgage brokers, small businesses, and consumers. Regulation of Appraisal Management Companies · Language providing for strong federal regulation of appraisal management companies.

5pence: (June 29, 2010 10:20am)

NAIHP and yesterdays video headline have it wrong. They are going by some mortgage broker video they saw and didn't read the actual bill and come to their own conclusions. Calling to say vote no does no one any good. Tell NAIHP I said that they need to actually read the bill before they tell their members to vote no. They're going to screw everything up. It's what isn't said in the bill that's important to us. They have nothing specifically that says HVCC is here to stay. It's a gross mis-representation of the facts. Damn

5pence: (June 29, 2010 10:15am)

Ill Appraiser-we need to get the damn thing passed. We need to call our Gov reps & let them know that broker-order needs to be in there. In the bill the HVCC is dead & anyone that tries to keep it alive will face a $10,000-$20,000/day fine. NAIHP may be referring to broker ordered not being explicitly allowed in the bill, but it's not specifically "not allowed". That alone does not mean the HVCC is here to stay. There's plenty wrong with the bill-the GSE's & too big to fail, but fixing that would take a re-write & months. They said in session that the next thing to deal with after this bill would be the GSE's. Too big to fail is too big to exist, but no one has the balls to do anything about it -particularly when the Pres wants to keep them too big to fail! What we have in the bill is crap, but it's the only crap we got that could help us. Call your reps to say that the best way to protect the consumer is to give them as many choices as possible, broker-ordered needs to be in there.

JML: (June 29, 2010 9:54am)

Another boneheaded rule to be aware of... I just had a short sale transaction derailed because the seller, whose cash flow is upside down 12k/mo, did not include leases in his short sale package. As it took three weeks for the lender to ask for them (income shown in tax returns), and the seller is now less than seven days from Trustee sale, they will not extend. The seller is bailing out, not asking for a loan. The property is a condotel that is not financeable, and the lender is walking from an all cash offer. In two years they will sell it to some corporation for 20 cents on the dollar... Has anyone out there found a way to reason with a bank in this situation? a way around their 7-day rule?

5pence: (June 29, 2010 9:53am)

Yep GaryP : this thing aint done yet. There will be wrangling and posturing so that special interests can get into the bill what they want to pass it. What did they meet for 7 days for? I thought it was to iron out the differences between the House and Senate so they could all agree and pass the damn thing. Now there's a problem??!! Corporations before politics and politics before the people. These guys can't get anything right - too blinded by their own ambitions to stay in office and corporate rewards for their allegiances that over rules their "logic". It WAS a done deal. Didn't the Senate stay up all night to make sure the thing passed? More political theatrics and vain-glory posturing. Is it any wonder they can't get anything done. America's politicians are making sure the world knows how incompetent we are.

Ill Appraiser: (June 29, 2010 9:47am)

Help. I am so confused. Naihp says HVCC is not going to go away so we need to call our Congressmen/women and encourage them to vote no on the Financial Reform bill. Appraiser News says things are looking better for HVCC elimination and yesterday on this blog I was hopeful. What the heck is going on? Can anyone say for sure? Help, again I say, Help?

5pence: (June 29, 2010 9:43am)

In a way I can see why Barack might want to socialize America (his community work on behalf of people of color), he might see it as the only way for true integration of people of color into a white economy as truly equals. There are too many slums and there is still too much prejudice out there. But, this is America and socialism for any reason, good or bad, is unconstitutional. So, this is a coup of democracy and the constitutional laws and edicts on which this country was founded. Wow. You really have to wonder how he came to be the Dem nominee for President from out of nowhere. You also have to wonder about the gall of a guy that gets awarded the Nobel peace prize and keeps it when he's into unconstitutional pre-emptive war like he is. To me he just appears to be a continuation of Bush, something we were trying to get away from and that's why he was elected. There's some devious shiite going on. Speedy, please comment more - we are interested.

GaryP: (June 29, 2010 9:36am)

I hate to say I told you so, but here it is: Reform Bill Vote Likely to be Postponed June 29, 2010 The death of Sen. Robert Byrd, D-W.Va., is likely to postpone a final vote on the sweeping regulation reform bill until the governor of West Virginia appoints a new Democratic senator. They don't have enough votes to get past a filibuster, thus the delay until they get a replacement for Byrd.

jcollins: (June 29, 2010 9:31am)

Dead lines are good. Everyone that waited or made offers on short sales should of known what they were risking. It is the same thing that we all said about people getting into mortgage when they could not afford them. When your parents keep giving you a dead line and then back off. it only made you not respect them more. Take responsibliy for your own actions and stop looking for someone else to bail you out again. you can not have it both ways. If you think so you are no better then the gov.

sidlerwicz: (June 29, 2010 9:18am)

THE 200,000 MORTGAGES THAT WILL NOT CLOSE ON TIME ARE PARTIALLY DUE TO SHORT SALE LISTING AGENTS ACTING AS DEFACTO BANKERS AND BEING DICTATED TO BY THE PAPER HOLDER INSTEAD OF WORKING AS THEIR SELLERS BROKER WITH A FIDUCIARY TO THEM; I HAVE A DEAL SET TO CLOSE @ 4:00 P.M. 06/30 & BROUGHT THE DEAL IN UNDER THE WIRE (CUTOFF)ONLY FOR THE LISTING BROKER TO TELL ME THAT THE PAPER HOLDER HAD TO BE FUNDED BY HIGH NOON;NOW INSTEAD OF EVERYBODY GETTING PAID THE LISTING BROKER AND ASSETT MANAGER ARE PLAYING GOD;AND DICTATING THE TERMS;REALTORS MUST REALISE THAT THE BANKS HAVE MADE THIS BUSINESS SO DIFFICULT AND NEED TO KNOW WHO THEIR FIDUCIARY IS TO;(IT'S NOT THE PERSON THAT IS PAYING YOU)IT IS TO THE SELLER; ALSO JULY 1ST IS A CANADIAN HOLIDAY (4 DAYS OFF FOR CANANDIENS)AND JULY 5TH MONDAY IS A LEGAL HOLIDAY 3 DAYS OFF FOR AMERICANS...WHICH ONLY CAUSES FURTHER CLOSING DELAYS THIS WEEK; DID NOT CONGRESS CONSIDER THIS WHEN THEY DID THE 06/30 CUT OFF TO BEGIN WITH???

5pence: (June 29, 2010 9:17am)

So Speedy-he's an anarchist & not the good kind. I'll bring up the worlds economic trilemma again: "democracy, national sovereignty & global economic integration are mutually incompatible. It's possible to have any 2 but not all 3. It's the inescapable trilemma of the world economy". So his goal is to socialize America for global economic integration-which is the goal of the banks and, of course, our leading corporate puppet representatives. Goodbye democracy and most of our Constitutionally endowed national sovereignty and rights and hello 3rd world nation along the lines of Argentina. You really have to wonder why a guy who ran on "Change you can believe in" kept Geithner, Summers and Bernacke, the same ones that led us down the path to financial destruction. If he's not an idiot then just what is the plan? Maybe it is as laid out by Speedy. By making the populous dependent on an ever-growing government, that in essence is taking our rights in exchange for chains to "protect us". Eww

teamsage: (June 29, 2010 9:09am)

Great info on Desk Time, but honestly guys, if an agent isn't ready for calls, doesn't know their inventory, and simply isn't ready for new clients, Should they be at the desk answering the phones?

Noel Cookman: (June 29, 2010 8:56am)

"speedy" is dead-on, and I mean DEAD-ON. Ignore BO's actions to your peril just as the Europeans in teh 1930's ignored "Mein Kampf." We are in the most imperiled industry in the USA. The very nature of it invites the likes of Barney Frank to fix it - especially when "it ain't broke."

cme4loans: (June 29, 2010 8:54am)

Gee, 200000 loans not closed at up to $8000 credit each equals up to $1.6 billion saved by the government equals more money in coffers to spend elsewhere.

Realist 1: (June 29, 2010 8:51am)

5pence - I am with you - U6 unemployment (the way they used to calculate it) is 16.6% in May. The govt numbers of GDP, inflation etc. are candy coated to make it look like there really was a recovery on Main Street.

5pence: (June 29, 2010 8:45am)

Speedy, what other insights do you have on Barack?

5pence: (June 29, 2010 8:43am)

During the great depression the prices of everything dropped 40%. That hasn't happened. Instead we're supporting high prices with bailouts, stimulus & entitlements for the TBTF's and an economy on crutches. All that is doing is keeping high prices barely within reach of those that have been most damaged. Gas prices find a tipping point in consumer spending at around $3/gal-so that's where it stays, or a little more. There is no break for Main St. Last quarter they said consumer spending was up but what they didn't say was that spending among the wealthiest of the nation was 40% of that increased "consumer spending". Government jobs have been growing at the fastest rate ever & skews the actual jobs numbers. 9.7% doesn't come close to the real numbers of unemployed. It doesn't include the self-employed & those that couldn't collect unemployment due to the terms of termination or just because they barely missed the stimulus. My guess is 20%+ is the true number. I call major BS on US.

jcollins: (June 29, 2010 8:34am)

SO is the YSP issue on or off the table??? are they taking it a way for the consumers or not????

Realist 1: (June 29, 2010 8:28am)

THINK ABOUT THIS FOR A MINUTE - THE SYSTEM HAS BEEN SET UP SO THAT IF SOMETHING DEEMED TOO BIG TO FAIL, FAILS THE RISK IS SHIFTED TO YOU AND I, THE TAXPAYER. THAT MEANS ORGANIZATIONS LIKE FREDDIE AND FANNIE OR AIG CAN TAKE GIGANTIC RISKS AND IF THEY PROFIT FROM IT THEY KEEP THE PROFITS, BUT IF THEY LOSE, IT'S YOUR PROBLEM NOT THEIRS. THIS IS THE SCAM OF THE CENTURY!!! - IT IS A HEIST THAT LEGALLY PICKS MONEY FROM YOUR POCKET AND CAUSES ALL KINDS OF NASTY SIDE EFFECTS LIKE HVCC AS THE PEOPLE WHO PERPETRATED THIS WHOLE THING WALK AWAY SCOTT FREE WITH BONUSES TO BOOT - WE HAVE BEEN SOLD OUT!

joe: (June 29, 2010 8:05am)

In my experience, buyers have missed the tax credit, not because it took too long to process a loan (we're still getting loans closed in 30 days), but because they offered on a short sale and the lender on the existing loan dragged their feet approving it. One couple was in escrow for over 7 months waiting for a short sale approval that never came.

GODLIKE: (June 29, 2010 7:54am)

JustFrank101 your Uncle Sam comment reminded me of a bumper sticker I saw the other day. It showed the WWII Uncle Sam pointing his finger at you and said "I want YOU to help fight Socialism" I LOL!

JUSTFRANK101: (June 29, 2010 7:39am)

Lay down your arms, bend way over, Uncle Sam, yes our Uncle Sam has sold us out and has something he would like to shove up your poop shoot until you bleed out completely. Brokers, Appraisers any one working Real Estate for a wage less than what a fast food window order person with BENEFITS receives consider yourselves WORTHLESS and soon to be out of a profession. Continue to do nothing. Continue to THINK you are independent, self-employed and capable of feeding your family with the NEW wage you earn. SPLIT WAGE? How about sharing the working COSTS? Here is a Great idea – Congress cannot make a decision unless the decision is PROVIDED by the Traffic Control Officers or Small Town U.S.A. Hey, no worries at the rate we are dropping we will all be speaking Chinese in the near future making our house payments to Wing Ding Dang Dong! Keep it up America, Great Job

Noel Cookman: (June 29, 2010 7:35am)

I have a loan that may miss the deadline by a few minutes. I don't really care because 1) I don't depend on realtors (S.O.T.E.) for my business so I don't give a crap about what they say, 2) My customer "dicked around" for several days, waffling on the deal. So, we stopped processing for about . . . 5 minutes, which just happens to be about the amount of time she will miss her deadline. I care about one thing on this deal - getting paid the M.A.L. (Maximum Allowable by Law). I'm not really this nasty in general, but life is better when you don't have to kiss a realtor's a*s.

Clulessdad: (June 29, 2010 7:34am)

kkric-I can see that principal residences will be next to impossible to do private money loans, but I didn't see anything about rentals or land, or commercial. I know you will have to devise some methodology for repayment ability, but other than that? On OO privates, you need the buyer to get counseling, hold escrows, have full P&I payments etc. My take is that if you can't get a govvie (qualifying loan) loan on an OO, you probably wont get any loan now.

GODLIKE: (June 29, 2010 7:20am)

60 days from contract to closing, what's so wrong with that? I don't understand all the fuss about an unrealistic closing date for the Tax Credit. I work mostly with builders and they were using the cut off dates to sell homes. They simply didn't sell build jobs on April 30th.

GODLIKE: (June 29, 2010 7:16am)

If I see that airplane ending one more time I think I'm going to barf. Surely you guys have had a creative thought since that time!

cpappraisal: (June 29, 2010 7:03am)

It is odd that the financial refom bill is to be signed on independence day however the bill does not include appraisal independence....

kkric: (June 29, 2010 6:59am)

Ok, a young couple in 2077 goes into the brain store to pick out brains for their new baby. They see the price list. Policeman brains $10/oz. Fireman brains $5 oz. Nuclear Physicist brains $100 oz. Congressmember's Brains $10,000 oz. They are discussing this with the shopkeeper. "Your prices start out making sense. I can understand firemen aren't as bright as policemen - after all they run into burning buildings. And, Nuclear Physicists are brilliant, so far ahead of us, no one can even understand them. But, I don't think Congress members can be that much smarter than Nuclear Physicists." The shopkeeper replies, "oh the price reflects scarcity. Do you realize how many members of Congress it takes to come up with an ounce of brains?

rregand: (June 29, 2010 6:53am)

Hey Thanks for your rants they are helpful. Why not put a call to action link of your own on the page. Instead of what I like to characterize as blowing off in the comments section people can write a quick note to their legislative representative while you have their blood boiling.I think we need more participation in our political process and less blogslogging. Cheers

kkric: (June 29, 2010 6:50am)

EVERYTHING, repeat, EVERYTHING the govt has done (after the initial good response to keep financial system from melting down and keeping Fannie/Freddie making loans until someone could come up with a better system) has had the effect of driving DOWN home prices. Do you think maybe most of the 200,000 people delayed were delayed by crappy HVCC appraisals. So, people are having to apply at two or three lenders and pay for two or three appraisals to get their deal closed. So, HVCC is driving down the market. Then, they outlaw loans to self-employed people. Oh that's right, they called it outlawing "liar loans". So, my client with $ 3 mil in the bank and an 800 FICO score can't get a loan with 50% down because obviously that's too risky. (He lost a few bucks in the stock market so he has "no income'). Now, Congress is outlawing hard money loans so that investors can't buy homes.

epcg102: (June 29, 2010 6:46am)

I believe there will be reform, but I don't believe it will be peaceful. There are many silent patrons that are sick and tired of being pulled around by strings. Once the entire governmental facade is seen for what it really is there will be an uprising. This is the greatest country to live in and the values instilled by our forefathers will not be lost passively. We can not sit idle and let our future generations become slaves.

anniewittke: (June 29, 2010 6:40am)

Shame on Congress for leading the first time home buyer on. It is amazing they won't extend the deadling...

Owl Tree: (June 29, 2010 6:37am)

By the way....if anyone hasn't yet, check out George Stigler's Theory of Economic Regulation. http://faculty.msb.edu/ murphydd/CRIC/Readings/ Stigler--Th%20of%20Econ%20Regulation%201971.pdf It was written in 1971, but it might as well have been written in 2010. It explains, to a T., what we are seeing from Congress: powerful parties shaping regulation in a way that serves their interests, at the expense of smaller competition.

mountains: (June 29, 2010 6:31am)

Yes, Dobbs and Frank are the real criminals. They turned a blind eye many, many times when others in congress and the past administration warned of the very thing we have now and they both said no, Freddie and Fannie are fine. Those two should not even be allowed to be on these committees.

Owl Tree: (June 29, 2010 6:28am)

I was hoping that some genius could explain how a loan that was graded "D" at the originator level was somehow magically transformed to "AAA" when it was being bundled for sale to some pension fund in Iceland. But I guess that's why they are in Congress.

Bigg in CO: (June 29, 2010 6:23am)

Broker, When you factor in the huge numbers of people who have given up looking for jobs the actual unemployment number is estimated to be between 15 and 17%. The unemployment statistic of 9.7% that we have been hearing for the last year is actually only comprised of those still actively seeking employment.

Speedy: (June 29, 2010 6:22am)

Barack Obama is no fool. He is not incompetent. To the contrary, he is brilliant. He knows exactly what he's doing. He is purposely overwhelming the U.S.economy to create systemic failure, economic crisis and social chaos -- thereby destroying capitalism and our country from within. Barack Obama is my college classmate (Columbia University, class of '83). As Glenn Beck correctly predicted from day one, Obama is following the plan of Cloward & Piven, two professors at Columbia University. They outlined a plan to socialize America by overwhelming the system with government spending and entitlement demands. Add up the clues below. Taken individually they're alarming. Taken as a whole, it is a brilliant, Machiavellian game plan to turn the United States into a socialist/Marxist state with a permanent majority that desperately needs government for survival ... and can be counted on to always vote for bigger government. Why not? They have no responsibility to pay for it. -- Universal healt

Realist 1: (June 29, 2010 6:11am)

RE: Financial Reform - Fannie, Freddie and Credit rating agencies = no reform!!! This is LEGALIZED CRIME. What else would you expect coming from Barney Frank and Christopher Dodd? These scoundrals are bought and paid for criminals with above the law status.

Broker in RIC: (June 29, 2010 6:01am)

Gary P: good rant this morning, sir! perhaps a little long winded, but spot on. (execpt actual unemployment numbers may even be higher than 15%? -- what do you think?)

frankgaray: (June 29, 2010 5:51am)

Jer1775 - My personal problem with it is that putting a close date on it is irresponsible and unrealistic. The Gov't put a smack down cram session on the whole country. We all know that things come up that are well beyond the control of the consumer to delay a deal. We'll it's happening and the consumer loses. Not only that, but who do they blame? The originator and the realtor, not the Fed's. IMHO, they screwed up by forcing a close date. Thanks for you post, it's very valid as well.

Bigg in CO: (June 29, 2010 5:43am)

I would assume that the vast majority of these transactions that will not close due to volume were originated at the big bank retail level. One of my friends who was a processor at Wells Fargo retail here in Denver quit when her pipeline hit 125 loans. One of her friends at Wells was a newbie processor with 2 months experience processing. She quit when her pipeline hit 175 loans. Unfortunately, the big banks are trying to make up for recent losses and it is the consumer who is losing.

Jer1775: (June 29, 2010 5:41am)

"About 200,000 will miss the tax credit - great job Congress" What would the importance of an extension be? These people already agreed to purchase the home. Extending the tax credit will simply cost tax payers more money. up to 8,000 x 200,000 = $1,600,000,000 And we get ZERO new sales out of it. It seems to me like you want congress to blow some more tax payer money. So unlike you guys, whats up?!?

Owl Tree: (June 29, 2010 5:25am)

I wish a Congressman could follow me from application through closing. I'd hand them a conditional approval and say, "the rate expires in 72 hours....you have 20 conditions to clear...and oh, by the way, the appraisal got hacked and there's nobody to talk to to fix it....good luck." Maybe that would help them "reform" the system.

Owl Tree: (June 29, 2010 5:23am)

Defecting Senators = more political favors to buy the necessary votes. Look for more exemptions to be carved out to serve the interests of major campaign contributors.

Jersey Girl: (June 29, 2010 5:21am)

As far as I'm concerned, the words "finance", "reform" and "Congress" should not even be used in the same sentence. WTH! :)

GaryP: (June 29, 2010 5:10am)

One more thought and then I'll shut up. It's all about jobs. The real estate markets are never going to become healthy as long as unemployment is where it's at now. The gov is reporting somewhere around 10% but in reality it's probably closer to 15%. The tax and spend mentality is never going to stimulate hiring. Health care is a perfect example. Who is going to hire people if they don't know how much the added health benefits are going to cost them? The small lenders and brokers are going to be hard hit by that as well. The same is true of the energy legislation that is next on the agenda. How can a business afford to hire people if their costs are going up quickly. This all seems lost on the folks in DC, including Mr. Obama. Their stimulus has been a huge failure and at the same time their other major policy bills have hurt hiring. I guess it could be worse, I could be working in the gulf on an oil drilling rig. OK, I did say I was going to shut up.

GaryP: (June 29, 2010 5:01am)

The issue with Fannie and Freddie is quite simple to explain. They have no clue how to fix it and therefore they have kicked the can down the road. What are they going to do, shut down a 75 year old institution and replace it? With what? More of the same? Regional mini-agencies? How will that help the losses being incurred by the agencies now? They'll still be there, right? The simple fact is, and this is no surprise to any LO out there, the current UW guidelines are such that eventually Fannie and Freddie will return to profitability as soon as the "shadow inventory" works its way through the markets. My point is this, Congress is not going to address an issue that they have no idea how to resolve. It just makes them look bad. Geithner says that he will have a "proposal" ready in early 2011. That'll be after the next election. A lot of the folks in Congress are going to be unemployed by that time, so their idea is to just let the "new guys" deal with what they cannot.

GaryP: (June 29, 2010 4:51am)

Here's an update. With the death of Sen. Byrd, and the apparent defection of some Democratic Senators, suddenly there is some doubt as to whether the bill has the votes necessary to pass the Senate. This was being reported late yesterday. Apparently at least one Dem is not happy that the bill fails to solve the original intent of the bill, "Too Big to Fail." That, along with the issue of the credit rating agencies that you pointed out, was not addressed in te bill. So, the drama is not yet over. We'll have to see if they resort to the kind of "Lousiana Purchase" shenanigans that was part of the Health Care bill. Even some of the Republicans that were on the reconciliation committee are not very happy about some of the tings that got "snuck" into the bill at the last minute. Stay tuned to this bat channel at this bat time, it's not over yet.

GaryP: (June 29, 2010 4:44am)

As I have repealy pointed out in the past, Financial Reform has nothing to do with fixing what was wrong with the system that led up to the creash. It does have to do with Congress doing a dance for the voters so that they can go home and claim success. If nothing else, it is clear that they have no clue what the root cause was. Instead, they're going to legislate underwriting standards that are already in place. Imagine, no more sub-prime or stated loans. Wow! I know that's going to be a shock to the mortgage industry. This was just about finding scape goats to divert attention away from their own role in the melt down. The big banks came away relatively scot free because they had the lobbyists to water down the bill. Brokers and mortgage bankers, on the other hand, lacked the deep pockets to make a significant impact. That's not to say that I have anything against the folks at NAMB. They tried, but lacked the resources to have a meaningful impact on the outcome.