Video Marketing and Mortgage News Designed for Mortgage and Real Estate Sales

Realestate KID: (February 08, 2010 4:53pm)

Hello Men, I've been told (privately of course) that another scandal (YES SCANDAL) going on with the FDIC is when they close down a bank they turn right around, sell some of their cronie investors the shopping centers at a dime on the dollar that was owned by the shut down bank (part of the shut down banks inventory from foreclosure of course) then in return these cronie investors in most cases already have buyers that pay 50-60 cents on the dollar. I've been told these closings were done simultaneously never costing the investors a penny. "WHAT A DEAL HUH"!!!!!!!! Guess who covers the loss-------------"WE THE PEOPLE"! Why couldn't the FDIC sell these shopping centers to the second buyer to try and recoup some of the loss for all involved???????????? Worth checking out fellows. "WE THE PEOPLE ARE GETTING SCREWEDDDDDDDDDDDDDD"!

FHA Steve: (February 08, 2010 4:52pm)

Cuomo is not a Co-Owner of an AMC, but several years ago he did sit on the advisory board of an AMC. TAVMA = Title and Appraiser Vendor Management Assc. (But behind the scenes it is Title and AMC, Vendor Management Assc.) They are the ones with many high paid lobbyists, and at least $40,000 out of my pocket since May 1, 2009, who are donating major dollars to Cuomo and other politicians to make sure HVCC stays in place.

CA appraiser: (February 08, 2010 4:36pm)

FHA Steve - What the heck is TAVMA? I'm not a lobbyist, I'm just a regular appraiser trying to make a living. I post because people reply to my questions and I reply to theirs. Yes I HAD AMC work until they demand AR's to do all their appraisals. Now I have to upgrade or I cant make any money. That is frustrating. I also make a lot less than I did a few years ago, that is frustrating as well. AMC's are rotten to the core, Cuomo is co-owner of an AMC...that right there explains a lot.

joecolorado: (February 08, 2010 4:08pm)

Its been snowing all day here and its time I went out and cleared my driveway to enable me to get to tomorrow's work.I have put this off long enough and now I have to get the blower out.Thank goodness for machinery.

joecolorado: (February 08, 2010 4:04pm)

FHA Steve-I think you nailed CA on the head,as I thought there was something fishy about CA,but I thought I may have been the only one.

joecolorado: (February 08, 2010 4:00pm)

AMCs demanding CR appr's, That may be true,but I dont work for less than I am worth and the AMC's I deal with know that,they have however got more and more appr's that will work for less and that reduces my effectiveness in my marketing.That is something I will adjust when the time comes for me,but not yet though.I have some options,but they are dwindling fast,but you can bet your bottom dollar,the millions of dollars I helped make the big banks dont mean diddly,when I or any other appraiser needs help.They just dont care about the human aspect,they only care about their profit margins,simple as that.AMC's are mostly owned by banks and now they have seen they can get a chunk of cash through AMC's.they will not be open to removing AMCs from the equation.again never mind what the public says,they dont control the cash.Its the Golden Rule,they got the gold they make the rules.the AI and ASA are promoting the designated and licensed appr's in their assoc. so guess what happens next.

FHA Steve: (February 08, 2010 3:52pm)

CA Appraiser: I believe that you are probably a TAVMA lobbyist posting here. If you have all of this easy AMC appraisal work, why are posting here like you are unemployed? Every 5 minutes?

CA appraiser: (February 08, 2010 3:33pm)

@joecolorado - "AMC's arent interested in qualified experienced appraisers just cheap ones" I wish that were true...Now all the large AMC's are demanding Certified appraisers to do all their appraisals...still at the majorly reduced fees. I cant wait for my AR license...say good bye to working for free.

Leslie in Denver: (February 08, 2010 3:32pm)

I sent this to several different recipients are each network and my local network affiliates. If they get it from everyone, maybe they'll pay attention.... finally. NBC: http://www.msnbc.msn.com/id/10285339/ FOX: http://www.foxnews.com/story/0,2933,77538,00.html CNN: http://www.cnn.com/feedback/forms/form11b.html?1

Leslie in Denver: (February 08, 2010 3:30pm)

To Title Lady: Ever tried to fill out one of these new GFE's? They are a nightmare! Takes hours .. not minutes. To assume most brokers never completed true and correct GFE's in the past is insulting and ridiculous. Responsible loan officers have always been held accountable. You are way, way off the mark.

Leslie in Denver: (February 08, 2010 3:24pm)

Go to www.fdic.gov/about/freedom/IndyMacSharedLossAgrmt.pdf for a complete copy of the agreement, plus the worksheet. This type of agreement exists for nearly every bank that was taken over by the FDIC. The abuses run into the millions of dollars! The example in today's video is JUST ONE LOAN. Think of the 1,000's of other loans these banks cleaned up on and you'll get the picture. THE FLEECING OF AMERICA IS ALIVE AND WELL!

Vel: (February 08, 2010 3:15pm)

How to I unsubscribe to thread, it is filling my inbos?

Clulessdad: (February 08, 2010 2:57pm)

title lady-I am most happy to be accountable for all lender fees. I always have been. But why am I responsible for any fee other than that? Why should I be responsible for additional escrwo and title fes? Why should I be responsible for the Owners Title Policy fee?

TR: (February 08, 2010 2:56pm)

What is the embeding code for this video so I can add it to my blog?

Mortgage Broker: (February 08, 2010 2:36pm)

Jimbo - Good point. I have paid a ton in taxes that is going to support the "too big to fail banks". These banks are turning their backs my neighbors thereby harming my local schools, businesses and local governments. I "loaned" them this money so that they would make things right and give my neighbors the same luxury that I afforded them-a little breathing room. They borrowed it from me and now I want it back! Or, they could modify my neighbor's loan and I will be happy.

Title Lady: (February 08, 2010 2:29pm)

I think the new GFE is great. It has been way too long that loan officers could change any fee they wanted to and not be held accountable. It wouldn't be so hard if they would just communicate with the appraisers and title companies to get their fees to add to the GFE. Loan officers aren't used to being held accountable and now they are and they should have been all along.

amber-waves-of-nothing: (February 08, 2010 2:26pm)

I just sent it to my local news station. I encourage everyone to do the same again.

Carlos Sutter: (February 08, 2010 2:26pm)

By the same mantra of the "Bigger the Loss the bigger the Compensation", the FDIC could fix this vicious cycle by including Loan Modifications as part of the possible contenders where they can incur this compensated loss. This way, borrowers would win and lenders would win, as lenders could appear to loose more with a Loan Mod. All they would have to do is reduce the principal so their "adjusted Loss" would be lower than the Foreclosed Sale price, being that this price is more controlled by the market forces than by the lenders(now sellers). Furthermore, because there would be almost zero new foreclosures (who wouldn't want to take a principal reduction which would be less than market value?), the current inventory would finally dry up, and new construction would finally take off, thus ending this horrible recession.

5pence: (February 08, 2010 2:22pm)

Anonymous: (February 08, 2010 12:37pm) "And now the banks are coming after the consumer for the money lost in the short sale." That is the problem. Goldman Sacks CEO said they were shorting the derivatives they were creating. Now if they had 2 positions, short & long, how do we know that their "losses" weren't mostly covered by their short position? Short positions are not owning the stock but selling a position in the security with air shares at a certain price expecting it to drop. We know they didn't have to cover their short position because the bottom fell out of the market. We also are led to believe that their "owned" long positions caused them huge losses as they're on the books. Did we bail them for their losing long positions & never take a look at what huge gains they probably made on the short side? Short side is easy to hide. Seems that way, as the regulators were shocked when Blankfein said that GS was shorting the exotic instruments they created & sold. Scam? You tell me

Jimbo: (February 08, 2010 2:17pm)

Hey, R O'Reilly - if you loaned money to somebody who promised to pay it back, wouldnt you want it back? Would you be "Evil" for wanting it back? The short answer here is to pay back what you owe. Its not the banks fault, its yours.

R O'Reilly: (February 08, 2010 2:09pm)

As a homeowner facing foreclosure from OneEvil Bank I appreciate your doing this video. It is accurate based on my research. I attended a protest outside of OneWest Bank's corporate offices and met with the CEO Tony Ebers. He personally stated that OneWest is modifying 25% of their loans!! That is highly doubtful. He also promised to help resolve my foreclosure problem but as of today (1 month since sending IndyMac/OneWest documents, for the 5th time and 6wks post protest, I have NOTHING). This bank is Evil whether it is known as Indymac or OneWest. By the way the new slogan for OneWest is "bringing Personal Banking back to the Neighborhood" too bad they are systematically destroying most neighborhoods.

R O'Reilly: (February 08, 2010 2:09pm)

As a homeowner facing foreclosure from OneEvil Bank I appreciate your doing this video. It is accurate based on my research. I attended a protest outside of OneWest Bank's corporate offices and met with the CEO Tony Ebers. He personally stated that OneWest is modifying 25% of their loans!! That is highly doubtful. He also promised to help resolve my foreclosure problem but as of today (1 month since sending IndyMac/OneWest documents, for the 5th time and 6wks post protest, I have NOTHING). This bank is Evil whether it is known as Indymac or OneWest. By the way the new slogan for OneWest is "bringing Personal Banking back to the Neighborhood" too bad they are systematically destroying most neighborhoods.

R O'Reilly: (February 08, 2010 2:08pm)

As a homeowner facing foreclosure from OneEvil Bank I appreciate your doing this video. It is accurate based on my research. I attended a protest outside of OneWest Bank's corporate offices and met with the CEO Tony Ebers. He personally stated that OneWest is modifying 25% of their loans!! That is highly doubtful. He also promised to help resolve my foreclosure problem but as of today (1 month since sending IndyMac/OneWest documents, for the 5th time and 6wks post protest, I have NOTHING). This bank is Evil whether it is known as Indymac or OneWest. By the way the new slogan for OneWest is "bringing Personal Banking back to the Neighborhood" too bad they are systematically destroying most neighborhoods.

R O'Reilly: (February 08, 2010 2:08pm)

As a homeowner facing foreclosure from OneEvil Bank I appreciate your doing this video. It is accurate based on my research. I attended a protest outside of OneWest Bank's corporate offices and met with the CEO Tony Ebers. He personally stated that OneWest is modifying 25% of their loans!! That is highly doubtful. He also promised to help resolve my foreclosure problem but as of today (1 month since sending IndyMac/OneWest documents, for the 5th time and 6wks post protest, I have NOTHING). This bank is Evil whether it is known as Indymac or OneWest. By the way the new slogan for OneWest is "bringing Personal Banking back to the Neighborhood" too bad they are systematically destroying most neighborhoods.

R O'Reilly: (February 08, 2010 2:07pm)

As a homeowner facing foreclosure from OneEvil Bank I appreciate your doing this video. It is accurate based on my research. I attended a protest outside of OneWest Bank's corporate offices and met with the CEO Tony Ebers. He personally stated that OneWest is modifying 25% of their loans!! That is highly doubtful. He also promised to help resolve my foreclosure problem but as of today (1 month since sending IndyMac/OneWest documents, for the 5th time and 6wks post protest, I have NOTHING). This bank is Evil whether it is known as Indymac or OneWest. By the way the new slogan for OneWest is "bringing Personal Banking back to the Neighborhood" too bad they are systematically destroying most neighborhoods.

R O'Reilly: (February 08, 2010 2:07pm)

As a homeowner facing foreclosure from OneEvil Bank I appreciate your doing this video. It is accurate based on my research. I attended a protest outside of OneWest Bank's corporate offices and met with the CEO Tony Ebers. He personally stated that OneWest is modifying 25% of their loans!! That is highly doubtful. He also promised to help resolve my foreclosure problem but as of today (1 month since sending IndyMac/OneWest documents, for the 5th time and 6wks post protest, I have NOTHING). This bank is Evil whether it is known as Indymac or OneWest. By the way the new slogan for OneWest is "bringing Personal Banking back to the Neighborhood" too bad they are systematically destroying most neighborhoods.

R O'Reilly: (February 08, 2010 2:06pm)

As a homeowner facing foreclosure from OneEvil Bank I appreciate your doing this video. It is accurate based on my research. I attended a protest outside of OneWest Bank's corporate offices and met with the CEO Tony Ebers. He personally stated that OneWest is modifying 25% of their loans!! That is highly doubtful. He also promised to help resolve my foreclosure problem but as of today (1 month since sending IndyMac/OneWest documents, for the 5th time and 6wks post protest, I have NOTHING). This bank is Evil whether it is known as Indymac or OneWest. By the way the new slogan for OneWest is "bringing Personal Banking back to the Neighborhood" too bad they are systematically destroying most neighborhoods.

R O'Reilly: (February 08, 2010 2:06pm)

As a homeowner facing foreclosure from OneEvil Bank I appreciate your doing this video. It is accurate based on my research. I attended a protest outside of OneWest Bank's corporate offices and met with the CEO Tony Ebers. He personally stated that OneWest is modifying 25% of their loans!! That is highly doubtful. He also promised to help resolve my foreclosure problem but as of today (1 month since sending IndyMac/OneWest documents, for the 5th time and 6wks post protest, I have NOTHING). This bank is Evil whether it is known as Indymac or OneWest. By the way the new slogan for OneWest is "bringing Personal Banking back to the Neighborhood" too bad they are systematically destroying most neighborhoods.

R O'Reilly: (February 08, 2010 2:05pm)

As a homeowner facing foreclosure from OneEvil Bank I appreciate your doing this video. It is accurate based on my research. I attended a protest outside of OneWest Bank's corporate offices and met with the CEO Tony Ebers. He personally stated that OneWest is modifying 25% of their loans!! That is highly doubtful. He also promised to help resolve my foreclosure problem but as of today (1 month since sending IndyMac/OneWest documents, for the 5th time and 6wks post protest, I have NOTHING). This bank is Evil whether it is known as Indymac or OneWest. By the way the new slogan for OneWest is "bringing Personal Banking back to the Neighborhood" too bad they are systematically destroying most neighborhoods.

Carlos Sutter: (February 08, 2010 2:00pm)

Sucks for fellow human beings trying to do a Loan Mod. But focusing on the light at the end of the tunnel, it seems that the more One West "appears" to loose when they finally sell the property the more they would gain at the end of their sweet deal (The bigger the loss the bigger the compensation). When do they appear to loose more, Foreclosure or Short Sale? We should see more foreclosures than short sales, than Loan Mods. Isn't that reality right now? How many other lenders are getting the same sweet deal? If One West (and other lenders?) actually make more money than if someone actually kept making their payments,and was never late, wouldn't the banks be inclined to have more foreclosures on their books then? Don't foreclosures attract more foreclosures? According to this sweet deal then, lenders would make more money in the business of foreclosures than borrowers making their payments on time. What a vicious cycle.

joecolorado: (February 08, 2010 1:43pm)

error alert-non Cerified Residential FHA appraisers were unfairly ousted.sorry.

joecolorado: (February 08, 2010 1:40pm)

CA-surprise,surprise,you will still be stuck as getting an AR may open some new doors but AMC's arent interested in qualified experienced appraisers just cheap ones.However,you may be too late for the new FHA bandwagon as all of the old FHA appraisers unless already qualified as Certified Residential were unfairly ousted,due to AMC's influence in the selection process.BUT the FHA appraisals being offered also come with a cheap fee,I say no to those fees but then again I know my worth.I dont mind hard work,but refuse to give away my expertise or experience for free or at a discount.

brian tbws: (February 08, 2010 1:40pm)

at the bottom of every post it has an unsubscribe button

Appraisal Myth Buster: (February 08, 2010 1:37pm)

REALITY said: "The $500 billion from the treasury IS TAXPAYER MONEY." - I agree. My post was just saying TOBY was wrong and we are paying for it.

Reality: (February 08, 2010 1:30pm)

@Appraisal Myth Buster, The FDIC cannot collect enough from the banks, that's why they are going directly to the Treasury. They have $500 billion to tap from the treasury. The FDIC has refused to answer what happens "if" that $500 billion gets all used up, what happens then? The $500 billion from the treasury IS TAXPAYER MONEY. Don't you understand, the peasants always foot the bill until they have absolutely had enough and rise up. People think I'm crazy when I say a revolution is coming in a few short years. I sure as heck don't. Take a look at all this. Just when you think there could not be any more bad news, this comes out.

Allison Appraiser: (February 08, 2010 1:25pm)

can you put a list and a link on this site with all the congresspeople/senators on the finance committe, so every day everyone on this site can send this link to them?

brian tbwsd: (February 08, 2010 1:25pm)

at the bottom of every email it says unsubscribe

CA appraiser: (February 08, 2010 1:24pm)

@joecolorado - I dont do commercial, I refer those jobs to him. I am an AL right now, I have submitted all my docs to OREA for the AR, after I get the AR I will gladly bail on all the shady amc's who make us work for pennies, but until then I'm stuck. I need to pay the bills.

idaho mortgage girl: (February 08, 2010 1:23pm)

Here are the news sites I just submitted this story too (and the message I submitted is below) Everyone needs to forward this link to every news contact they have! ABC: http://www.abcactionnews.com/content/segments/investigators/submittip.aspx NBC: http://www.msnbc.msn.com/id/10285339/ FOX: http://www.foxnews.com/story/0,2933,77538,00.html CNN: http://www.cnn.com/feedback/forms/form11b.html?1 Here is a video which claims that IndyMac (one of the largest recipients of tax payer bailout) is fleecing America. If true, this should be criminal and needs to be exposed: http://www.thinkbigworksmall.com/mypage/player/tbws/23088/717291

Appraisal Myth Buster: (February 08, 2010 1:21pm)

TOBY WROTE: "Dudes, this story was covered by Bloomber two years ago. You also might want to consider that it is FDIC dollars (not taxpayer dollars) which are paid by the banks that are at risk here." - - - - - Correct however the FDIC is currently running a negative balance sheet (and has been for some time). Given they are a government entity, at the end of the day the taxpayer makes up the difference. When they run out of $$$, we pay...we always do. It's the "in" thing now.

Leslie in Denver: (February 08, 2010 1:18pm)

Here is the list I used. Had to go to each persons website for email access. The ones with the "X's" are the ones I sent this to. Committee Information Democrat Republican Christopher J. Dodd Chairman (D-CT) X Richard C. Shelby Ranking Member (R-AL) X Tim Johnson (D-SD) Robert F. Bennett (R-UT) X Jack Reed (D-RI) X Jim Bunning (R-KY) Charles E. Schumer (D-NY) X Mike Crapo (R-ID) Evan Bayh (D-IN) X Bob Corker (R-TN) Robert Menendez (D-NJ) X Jim DeMint (R-SC) Daniel K. Akaka (D-HI) David Vitter (R-LA) X Sherrod Brown (D-OH) X Mike Johanns (R-NE) Jon Tester (D-MT) X Kay Bailey Hutchison (R-TX) X Herb Kohl (D-WI) Judd Gregg (R-NH) X Mark Warner (D-VA) X Jeff Merkley (D-OR) X Michael Bennet (D-CO) X

JPR: (February 08, 2010 1:12pm)

If you want to learn the real reason that all of this is happening, read "The Creature From Jekyll Island" by Griffin. There is a 1 hour video on Google called "Fiat Empire" that will paint the picture nicely.

Mortgage Broker: (February 08, 2010 1:07pm)

Autumncloud - You aren't really just looking at the TIL - you are looking at the whole package. Look at the initial disclosures and the finals. Were they ever sent? Is the income accurate? Was the rate changed at the last minute? Is any APR change within tolerance? How do fees on the GFE stack up against the HUD? See if you can find something that is a substantial error where the attorney can make a case.

Mandelman: (February 08, 2010 1:07pm)

Hey Guys... Always enjoy your show. Just so you're aware, I wrote a story about this last September and the link is below. As I understand it, Soros is simply building on has past success by calling his new banking venture: www.MOVEOUT.org. LOL. http://mandelman.ml-implode.com/2009/09/liberal-billionaire-george-soros…-major-shareholder-in-indymacone-west-bank/

Toby: (February 08, 2010 1:02pm)

Dudes, this story was covered by Bloomber two years ago. You also might want to consider that it is FDIC dollars (not taxpayer dollars) which are paid by the banks that are at risk here. The alternative for the FDIC was to sell the mortgages on the open market. At the time they were valued at less than 40 cents on the dollar. Thinking FDIC might go broke? The FDIC can borrower money from the Treasury if needed. However, it will eventually all have to be paid back by the banks, and not the taxpayers. If this was a bad deal for the FDIC then other member banks would have been screaming bloody murder at the time.

acitymortgage: (February 08, 2010 1:01pm)

Is there an organized forum that is mounting a response to how the 2010 GFE is not working...I'd like for all of us to write strong letters to anyone who might adapt this form to make sense for the consumer. I think the media should know how fleeced the consumers are with this form.

Autumncloud: (February 08, 2010 12:59pm)

Godlike, I thought about President Obama, but I was being naive and thought he cared. Thank you GODLIKE & MORTGAGE BROKER for the advise. I will take a look at my brother's loan documents this weekend and see if there's any violations on the RESPA disclosure. Thanks again!

Mortgage Broker: (February 08, 2010 12:55pm)

Autumncloud - You might want an attorney to look through the loan docs to see if there was a RESPA violation (or any other type of violation) that occurred when the loan was signed. File a lawsuit and see how they respond. A friend also tried to get a loan mod done w/ them and they refused even though he met HAMP guidelines. It's the loan mod lottery funded by the taxpayer.

GODLIKE: (February 08, 2010 12:55pm)

AUTUMNCLOUD? President? President of the company or President of the country who obviously doesn't care about anyone? I'd say an outside source like the local media. I'd approach them with a story line and also included today's video to illustrate what you're up against. I don't have a mod issue but I forwarded it to the local media.

FL MTG BRKR: (February 08, 2010 12:51pm)

I agree with acity. Had a closing last week with the old GFE, working on my first 2010 GFE deal today......Why am I, the Mortgage Broker, being held accountable for title fees, appraisal fees, survey fees?........

Autumncloud: (February 08, 2010 12:45pm)

Godlike, I'm afraid so, but I'm trying again. Is there anything anyone could do? Can we get the president involved? Please tell me what I can do to help fix this problem? I've shared this link on my facebook to try to raise awareness. I'm just so upset right now.

spanky mcgee: (February 08, 2010 12:44pm)

i work for a large think tank with emphasis in math application. CA appraiser's numbers are seemingly made up at random and do not add up to what is specified in his other posts. i dont know why i felt the need to comment on that. Good video though. i passed it along to others int he lab.

GODLIKE: (February 08, 2010 12:40pm)

AUTUMNCLOUD I would think that after looking at this morning's video that there would be no reason for them ever to even consider a Modification.

Anonymous: (February 08, 2010 12:37pm)

And now the banks are coming after the consumer for the money lost in the short sale.

GODLIKE: (February 08, 2010 12:37pm)

ACITYMORTGAGE I feel the same as you. It would have made better sense to just put cap of an allowed $500 variance on the old GFE, but that wouldn't have proven that the legislators were really working hard and deserved to be reelected.

GODLIKE: (February 08, 2010 12:37pm)

ACITYMORTGAGE I feel the same as you. It would have made better sense to just put cap of an allowed $500 variance on the old GFE, but that wouldn't have proven that the legislators were really working hard and deserved to be reelected.

Lender / Realtor: (February 08, 2010 12:35pm)

If the borrower/seller decides to pay off any of his promisory note of $75k, then I wonder if that money is to be returned back to the FDIC. If not, wouldn't this be considered insurance fraud? Afterall, if you received $1000 from your home owners insurance policy for items stolen from your house, and you later find those same items at a pawnshop and purchase them back from the police hold for $75, then you are technically supposed to return the other $925 back to the insurance company. If you don't, it is called insurance fraud. Wouldn't the same hold true with the FDIC?

Autumncloud: (February 08, 2010 12:34pm)

Hi, My brother currently has a mortgage (1st lien) with IndyMac Bank (OneWest Bank) and he's been trying to get his loan modified through HAMP but he's been denied. They would not give him a clear reason for the denial of loan modification. His income has curtailed and his total mortgage payment (excluding taxes & insurance) exceeds 31% of his gross earnings. I do not know what else to do. After watching this video, I realized why Onewest is reluctant to modify people's loans, even if they were qualified. Can someone please give me some suggestions on how to get Onewest's attention and to get them to approve my brother's loan modification? Any suggestion is very much appreciated.

Mortgage Broker: (February 08, 2010 12:32pm)

Leslie - Could you please list the contact info for the members that you emailed? We need to start a database of government officials that we can educate daily.

acitymortgage: (February 08, 2010 12:32pm)

Why are we not up in arms about the 2010 GFE now that we're all using it and going through the nightmare. The thought and experience of having to pay for a fee that I put in the wrong box is obscene. The title companies not on the line, the realtors not on the line, why are we not protesting for a better system now that we know for sure how ridiculous it is. Once I final a GFE in my lenders system, I can't even go back and look at the detail to verify where fees are put! It's ridiculous to have to use yet another form to show the borrower their payment and bottom line. Why don't we use a disclosure that basically mirrors the HUD 1. We can show seller concessions with the proper credits, etc and still get to the bottom line which is what most consumers want to know.

Anonymous: (February 08, 2010 12:18pm)

No wonder those bastards wouldn't do a loan mod properties and their attitude is aweful. Pay up or get out. What a rip.

Anonymous: (February 08, 2010 12:18pm)

No wonder those bastards wouldn't do a loan mod properties and their attitude is aweful. Pay up or get out. What a rip.

Appraisal Myth Buster: (February 08, 2010 12:18pm)

CA appraiser. Get some more education and get certified. You're not doing good appraisal work in that short of time. I can pull out 2 appraisals a day. That puts me in a 6 digit income if I work 50 hours a week with $400 average appraisal fee.

joecolorado: (February 08, 2010 12:16pm)

CA-what type of license do you have?you do commercial additionally?you sound like a total myopic moron that is ruining it for everyone.but as long as you are ok,screw everyone else.You have 5 yrs experience and you are doing commercial?Methinks something smells fishy in Denmark.Next thing you'll be telling us that Cuomo did us a favor.

Leslie in Denver: (February 08, 2010 12:13pm)

I sent this story to 15 or 23 members of the Senate Banking and Finance Committee - and the White House. No response. Schumer was one of them. Well, the truth is, I did get one response - from Sen. Michael Bennett of Colorado. IT WAS NOT ON THE SUBJECT MATTER, however. The reply had to do with security sales - not SHORT SALES and this video! Evidently, some moron in his office can't read - or chose not to. I replied to his office with exactly that comment. Still, no response.

CA appraiser: (February 08, 2010 12:12pm)

@joecolorado- "I said work for your worth..." how very noble and great that would be if we could all just work for our worth. As an AL licensee I cant get any other work. Now what do I do?

Appraisal Myth Buster: (February 08, 2010 12:12pm)

was and still is regularly doing 250-300 worthless crap per month. - There, all fixed.

SDinCA: (February 08, 2010 12:11pm)

Absolutely maddening. Good Job Guys! I just forwarded the video to 60 Minutes. Boxer, Feinstein, Frank and others will sweep it under the rug because they'll lose 80% of their campaign contributions if they say anything.

Justice: (February 08, 2010 12:11pm)

If the banks won't work with you, let them foreclose and squat until the County Sheriff throws you out. By then, if it ever even happens, you'll have a year or two of mortgage payments saved up in cash and you can rent until it gets better.

5pence: (February 08, 2010 12:11pm)

Oh, I get it - CA appraiser works at least 25 hours a day - "If you schedule 4-5 per day and say each one takes 5 hours (which is an aweful long time if you've been doing appraisals for more than a few months) you can make some serious change". That comment says it all. In this environment of short sales, foreclosures and the MC form 5 hours is not a long time for doing an appraisal correctly. It's a long time if you're not doing them correctly. GOOD FAST CHEAP - pick 2. Those 3 do not go together. You can have it good and fast but it's not going to be cheap. You can have it fast and cheap gbut it's not going to be good. You can have it good and cheap but it certainly won't be fast. Your "mentor" sounds like he's running an appraiser mill and taught you the wrong way to do appraisals. You and your mentor will get caught someday & hopefully not in the too distant future. The AMC will cut you off at the knees when the next skippy cheapo appraiser beats your fees. I don't envy you at all

leothedog: (February 08, 2010 12:11pm)

I forwarded this on to my database, which includes my brother. He hated this video so much, he forwarded it on to everyone in his database. Absolutely insane.

bobhertzog: (February 08, 2010 12:11pm)

MST, check out the document downloads on the right hand side of the comments. These are straight from the FDIC website

Peeved: (February 08, 2010 12:10pm)

250 to 300 appraisals per month = 100% canned statements and watered-down reports. It means the comments "Avg" and "Typical" dominate the report. It means the neighborhood description is the same for every report in a 200 mile radius. Comments like "Proximity to amenities is typical for the area". No real analysis. That only cuts it for the AMCs, because they set the bar low. Clients that know the market don't accept that.

Leslie in Denver: (February 08, 2010 12:09pm)

I understand that appraisers are having a hard time with AMC's. I agree they should go away along with HVCC. HOWEVER - today's video deserves more attention. Please, forward this! Pay attention. This is a gigantic ripoff of ALL the American people. Thanks!

Lender / Realtor: (February 08, 2010 12:09pm)

Does anyone know if Senator Chuck Schumer (D-NY) owns any stock or has any interest in One West Bank, since he was the catalyst for the death of Indymac? http://en.wikipedia.org/wiki/OneWest_Bank Schumer sat on the Senate Banking Committee, released statements about Indymac just prior to 4th of July (from my memory) 2008, the Friday and Saturday following the holiday, Indymac had a 1.3 to 1.55 Billion run on the bank by depositors and they then shut their business down. If they had survived another few months, they would have recieved bail out money and most likely still been around today.

MSt: (February 08, 2010 12:08pm)

Frank & Brian I did what you suggested and sent this to more or less my whole address book, and one of the smarter addressees immediately asked what the source is for this story about Indymac. Is there a record of this at FDIC?

CA appraiser: (February 08, 2010 12:08pm)

@Peeved - and you think the CA market is all unicorns and rainbows? Work smarter...not harder. Isn't that the MO of this website? Isnt that what we are striving to do?

joecolorado: (February 08, 2010 12:08pm)

CA appraiser-I never said dont work for the AMC;'s I said work for your worth,BUT you have done 3K apps,good for you& with 5 yrs experience.try extrapolating your figures to a 39 years career.and as for scheduling 5 a day!what world do you live in?YOU ARE the problem,how on earth can you justify cramming that amount of work into a single day without making errors.YOUR figures dont make any sense to an experienced app'r,You havent had any problems 'cos you seem to have the answers the brokers need.so dont pontificate to experienced real appr's as you cannot possibly do that amount of work WITHOUT using canned comments or getting errors or hitting their value.As for a review appr'r,its no wonder real appr'rs get canned as they are using reviewers with FIVE YRS EXPERIENCE!give me a break,you have hardly started & you certainly dont have enough experience to review your own work never mind an experienced qualified designated appr.YOU ARE the problem with this industry

CA appraiser: (February 08, 2010 12:06pm)

@USF Appraisals, LLC - You are spot on. I agree with all your points and the dollar per hour is probably very close to what I get (after you factor in all the fees/e and o/gas/car maint./cont. education/etc etc etc. The guy who taught me to do appraisals (mentored me for years and still helps me out with commercial orders and fha deals) was and still is regularly doing 250-300 appraisals per month. Do the math 5pence, Peeved, et. al...that ain't $15/hour

Allison Appraiser: (February 08, 2010 12:05pm)

I don't work for any AMCs that don't pay full fees. Shame on you if you work for RELS and LSI. YOU ARE THE PROBLEM. And take all your money OUT of B of A, Wells, Chase etc. Put it in a credit union or a small/local bank.

GODLIKE: (February 08, 2010 12:02pm)

VEL that's good news and bad news. HVCC goes away (maybe) but we are stuck with the Consumer Financial Protection Agency forever. So what are their duties? This is another one of those things with a high sounding name but low life policies - just like HVCC was.

Allison Appraiser: (February 08, 2010 11:57am)

I DONT WORK FOR $175 , I CHARGE $375-450 DEPENDING ON THE JOB. ALL OF YOU WHO WORK FOR LSI ARE THE ONES RUINING IT FOR THE REST OF US. AND: TAKE YOUR MONEY OUT OF CHASE, B of A AND WELLS AND PUT IT IN A CREDIT UNION OR SMALL BANK

FL MTG BRKR: (February 08, 2010 11:56am)

Frank and Brian, where is the edited version of todays video?

Peeved: (February 08, 2010 11:54am)

Florida market is brutal, that's where I am at. We had a huge over supply of appraisers, and only the strong will survive!

No Points No Problem: (February 08, 2010 11:52am)

Power is in the hands of the people, don't keep 'em in your pocket! Forward this to everyone, both politicians and media, and don't assume no one is listening. I fwd'ed it to my Congressman, Senator, and to the White House Website directly. Honestly, best post ever. Great job, Frank & Brian! Keep 'em on the hotseat!

USF Appraisals, LLC: (February 08, 2010 11:51am)

CA Appraiser... Not doubting your work ethic or story, but I'm pretty thorough and considerably educated for an appraiser. On average, a typical cookie cutter takes about four to five hours in the Phoenix metropolitan area. However, with the volatility of the market, the cookie cutters are few and far between. Most appraisers are probably good for two appraisals a day tops. The Vice President of my old firm pitched me on relocating to Tampa to run a branch of theirs three weeks ago. During the courtship, he said they would expect three reports a day (and it should only take nine hours to complete). I was amused about the unrealistic expectations (and burnout/failure I would set myself up for if I accepted such a position). Needless to say, I'm staying in Arizona and will have to find a different way to get back to Tampa. I'm not married, so I can afford to work 15-18 hour days... On average, I'm probably making about $40-$45 dollars in hour. In 2005, I could see making $80 an hour.

krahill: (February 08, 2010 11:49am)

This really is everything that is wrong with our industry. Thanks for pointing it out. Everyone should be posting and forwarding this video.

idaho mortgage girl: (February 08, 2010 11:47am)

wow... one of the best posts EVER! I'm going to share this and re-tweet and send to elected officials and every journalist i can find. This is outrageous and you did a great job oncovering this fleecing of america!

EDH loan guy: (February 08, 2010 11:46am)

Appraisers no longer get $350 an appraisal. They get what the AMC's give them which is around $250 or less. They have insurance to cover, MLS fees, gas and other overhead like flood certs etc. You are ignorant if you think they get $350 and they are making a wage of $50+ an hour.

SimpleSolution: (February 08, 2010 11:46am)

CA appraiser-Including research, data entry, travel time and inspection time. It should be taking you at least 5 hours and if it is not please clue me in on how you are producing quality reports....

Peeved: (February 08, 2010 11:44am)

We spend more than 5 hours per appraisal. We don't have cookie cutter subdivisions in our area, rural & unique stuff. When I say $200 per day, I am talking about a 10 hour day. Don't get me wrong - when the market was hopping and the work was easy, yes, I could do 1 appraisal in 5 hours. Are local market has been horribly impacted by foreclosures and short sales. The clients send the hard work our way because they know we'll get the job done. I find that the hard work does not pay more dividends in dollars, but in good will and reputation. I believe that is the key to long term survival. I have learned to live on a lot less $$ in the past year, but my client base is getting bigger and bigger. If one client disappears (which is likely to happen these days) it's not a big hit.

5pence: (February 08, 2010 11:42am)

Yes Mythbuster : Imagine having to hang your livelihood and reputation on an unknown quantity like an AMC that picks the cheapest and fastest appraiser they can find within 200 miles?!! They are screwing everything up. Thank Cuomo by contributing to his opponent in the Gov race. Create a tsunami - skunk Cuomo

CA appraiser: (February 08, 2010 11:41am)

@Peeved: So an AL license is a "bottom feeder" then? Because we have not upgraded to AR or AG we should starve. Nice...

CA appraiser: (February 08, 2010 11:38am)

Peeved: how can you claim you are only making $15/hr?? if you charge $350 for an appraisal and it takes 5 hours (which it should not..but let's say that for the sake of arguement) that's $70/hr. If you schedule 4-5 per day and say each one takes 5 hours (which is an aweful long time if you've been doing appraisals for more than a few months) you can make some serious change. Where do you get $15/hr? I'm not following you..

Appraisal Myth Buster: (February 08, 2010 11:36am)

Here is the appraiser today: - http://www.youtube.com/watch?v=lDUpXwoj5Ck

Peeved: (February 08, 2010 11:35am)

7-day work week, 100% non-AMC clients. The work is out there, you build a solid reputation. I do commercial and residential. I get so many referrals, work for attorneys, accountants, realtors, and yes bankers (local only!) I am booked well into March and turning work down. The AMCs are losing - their greed will take them down. Some of my local lenders (that I lost due to HVCC) are in the initial stages of establishing their own in-house appraisal ordering departments. I guess that means their business will be coming back to me this year. Like I said, spend a good day or two on a report and the referrals will pour in. I get AMC work sent to me all the time by local realtors and bankers who are aghast at the poor quality. If they can see it, you know I tear it up when it hits my email. AMCs are for bottom feeders.

FL MTG BRKR: (February 08, 2010 11:33am)

Im with Leslie and Mtg Broker. Send this to everyone TODAY, put it on your FB page, sent it to the local media, send it to your local representatives, congressman, etc. @Mtg Broker: I'm in the same boat...I did everything right, the big banks were advertising the crazy loans, (neg.am; teaser ratesk, etc) I actually had a client tell me if I wouldnt do the loan, they would go to someone who would. They totally qualified, but it was not in their best interest.....

Appraisal Myth Buster: (February 08, 2010 11:32am)

Well, there you go folks. Find out if your bank uses AMCs and turn them down if they do. Let them know that you aren't going to waste your time just to get turned down or over your head and upside down because of a shoddy 2 hour appraisal from someone getting 1/2 fees. High quality banks use high quality people because your house and livelihood is worth it.

CA appraiser: (February 08, 2010 11:30am)

@Peeved - I would be sick to my stomach if I was only making $200 per day. You are worth more than that. That is less than 1 appraisal a day...sounds like you are really busting your hump and hustling for more work all the time. If I did 1 appraisal a day and worked 22 days (taking off sat/sun) a month...that's $4400/month. If you are happy with that kind of dough great...I am not. Also, I do not do "canned" appraisals, I have never had my reports questioned. I do and have always done qualilty work. I have done over 3000 appraisals, tons of review workf or Chase/b of a/Citi/etc. "Oh, I don't do work for AMCs, only real clients who know the local market and hold appraisers to a high standard. TONS of research and comments go into each report - not that AMC canned statement garbage." who are these "real clients" the only people ordering appraisals are AMCs. AMC's control so much of the pie I cannot turn down the work. I am going to keep appraising like I have been for the past 5 yrs...

Peeved: (February 08, 2010 11:29am)

Lucky at this point to be GROSSING $15/hour - much less what we get to keep after all expenses. I figured if I was doing AMC work (and doing a thorough job) I would be netting $5/hour. The only thing I can say is that it's better than unemployment, and I still I am own boss, for whatever that's worth.

5pence: (February 08, 2010 11:29am)

CA appraiser - you are the problem. I'll bet the state board would like to get a hold of you. Working hard is not measured by quantity of work done, it's measured by the quality of work done. Sounds like you don't care much about quality. What's that saying - you can only have 2 of these 3 : fast good cheap. You can't have all 3.

CA appraiser: (February 08, 2010 11:23am)

@5pence: What do you suggest I do then? I need to make money, plain and simple. If you have any better ideas than working for Amc's I'm all ears. Yes I agree with you I'm not taking home all $200 (i realize there are cost associated with appraisals) but the costs are not stopping me from making money. E and O is $795/yr, gas is what it is, maintenance on the car is what it is, etc etc. and you think we only make $12/hr. WRONG It sounds like you just dont want to work hard for your money. Back in the good ol' days I could do 50 appraisals a month and gross $16-$20K. Now...for the same amount of work I'm grossing 8,500, still decent money but there is no reason appraisers should be getting the short end of the stick here.

CA appraiser: (February 08, 2010 11:23am)

@5pence: What do you suggest I do then? I need to make money, plain and simple. If you have any better ideas than working for Amc's I'm all ears. Yes I agree with you I'm not taking home all $200 (i realize there are cost associated with appraisals) but the costs are not stopping me from making money. E and O is $795/yr, gas is what it is, maintenance on the car is what it is, etc etc. and you think we only make $12/hr. WRONG It sounds like you just dont want to work hard for your money. Back in the good ol' days I could do 50 appraisals a month and gross $16-$20K. Now...for the same amount of work I'm grossing 8,500, still decent money but there is no reason appraisers should be getting the short end of the stick here.

Peeved: (February 08, 2010 11:22am)

If you are making $100 per hour doing appraisal work you must be doing sloppy work! I have 20 yrs. experience and make $200 per day, the way the market is these days. Oh, I don't do work for AMCs, only real clients who know the local market and hold appraisers to a high standard. TONS of research and comments go into each report - not that AMC canned statement garbage.

Peeved: (February 08, 2010 11:22am)

If you are making $100 per hour doing appraisal work you must be doing sloppy work! I have 20 yrs. experience and make $200 per day, the way the market is these days. Oh, I don't do work for AMCs, only real clients who know the local market and hold appraisers to a high standard. TONS of research and comments go into each report - not that AMC canned statement garbage.

Peeved: (February 08, 2010 11:21am)

If you are making $100 per hour doing appraisal work you must be doing sloppy work! I have 20 yrs. experience and make $200 per day, the way the market is these days. Oh, I don't do work for AMCs, only real clients who know the local market and hold appraisers to a high standard. TONS of research and comments go into each report - not that AMC canned statement garbage.

Appraisal Myth Buster: (February 08, 2010 11:21am)

MUST SEE!!!! Go to you tube and watch the video " Hitler rant on the HVCC "

Appraisal Myth Buster: (February 08, 2010 11:16am)

CA appraiser. Yes, there are banks that don't use AMCs and are paying full fee for appraisals. But they want quality appraisals, and there is no way that you are doing a quality full report in 2 hour time frame. That's probably why you aren't working for these banks. Your skipping through your appraisal. I see the shoddy reports from these AMCs. It will implode on them.

SimpleSolution: (February 08, 2010 11:15am)

CA appraiser-For one I have never made $100 an hour as an appraiser so you must be doing somehting right or maybe wrong in this case but as far as telling you how about getting another job, I can't help you there. I would suggest starting with the classified. I have done what I have had to do to pay my bills but I have refused to do it in making AMC's richer but that is me and what I have chosen for me. As far as what different occupational path you are qualified to go down I can't answer that but I know one thing if you are doing appraisals for that rate and doing them correctly you are making on average with all of our fees etc. about $10 an hour if that.

5pence: (February 08, 2010 11:15am)

CA appraiser: You make $100/hr? Who are you bullchittin. There's no way you can do a defensible 1004 report with AMC pay in 2-3 hours. Me thinks not only are you bs'ing but you are not taking into account overhead, continuing education, E & O insurance, gas for car, appraisal software upgrades/contracts, heat, electricity, supplies, wear & tear on the car, health insurance?, advertising, computer wear & tear, income taxes-state & federal, clothes, appraisal tools, office supples, phone lines & more I can't think of right now. If I was working for an AMC after all the above, I'd be lucky to be making $12/hr. I don't work for AMC's as, if you're not part of the solution, you are part of the problem. Ask yorself this, do you want to keep working for AMC's on the way to the bottom and the end of this profession and have to find a new career in less than 2 yrs, or do you want to make that change now & quite possibly have a career in 2 yrs? If enough used logic we could save this profession.

CA appraiser: (February 08, 2010 11:13am)

@joecolroado - easy for you to say no...would you rather make $0 and go BK or would you rather get $170 for your time. at least with $170 if you work 100 hour weeks (which I do) you can still do between 60-90 appraisals a month and make a decent living. $170 is better than $0 but it still irks me we no longer get $350-$400. We can still charge $450 for FHA appraisals, but that will now be gone Feb 15th...

Leslie in Denver: (February 08, 2010 11:11am)

If everyone who responded to this video would forward it to their elected representative, and every single media outlet, TODAY, perhaps something could be done. I am not holding my breath. This has been going on for nearly a year and the country, as a whole, is not aware. Please, make them aware. Send this video to every single person on your email list and ask them to send it everyone on theirs, as well. Thanks!

CA appraiser: (February 08, 2010 11:09am)

@Appraisal Myth Buster: I just did an appraisal a few blocks from my office, the house was vacant (no appointment needed) I ran the comps, the value was no problem, I went and did the inspection in 30 mins, came back to my office and wrote up the report in 1.5 hours ($200 for 2hrs work...) do the math. That is not a common thing. Sometimes appraisals take a few days for the inspection, hours for research on comps and values, and hours to make adjustments, etc etc. Most of the appraisals take much longer than 2 hours....that was just an example. You missed my point, how can we as a group get the old fees back. AGAIN WHO DO I WORK FOR IF I REFUSE WORK FROM AMCS? THERE IS NO OTHER WORK OUT THERE...It's a raw deal.

Appraisal Myth Buster: (February 08, 2010 11:07am)

destroying, not distoying, lol

ILL Appraiser: (February 08, 2010 11:06am)

By the way JC, the original JC did not throw stones.

Appraisal Myth Buster: (February 08, 2010 11:03am)

CA appraiser: You tell us that you are doing appraisals for "$170-$225" and when it was suggested that you don't work for these AMCs (which is the answer, btw) you say "where can I work and make $100 an hour?" All I can say is, if you are making $100 an hour doing appraisals for $170-$225 (iow, doing an appraisal in 2 hours)...GET OUT OF THE APPRAISAL BUSINESS, and please, never come back!!! People like you are distoying the appraisal business. This is a profession. Only professionals need apply. Just say "NO" to AMCs.

JC: (February 08, 2010 11:03am)

Mtg Broker; this is JC sorry about that

Mtg Broker: (February 08, 2010 11:01am)

Mtg Broker: I'm an appraiser. and I know what you feel with all of this changes and I'm sick and tire of taking the blame too.

Peter Hamilton: (February 08, 2010 11:00am)

Article in WSJ from last August regarding "loss sharing" http://online.wsj.com/article/SB125166830374670517.html#mod=todays_us_page_one

SimpleSolution: (February 08, 2010 10:58am)

Anonymous-Landsafe is an AMC. To not adjust for condition is bad appraisal practice. You need to report Landsafe. You can not say that a turnkey home will sell for the same price as a damaged foreclosed property.

Mtg Broker: (February 08, 2010 10:53am)

JC....I have NEVER done a rotten, shady deal and I have ALWAYS been honest with full disclosure to my clients on the crazy loans that were offered by the BANKS!!!! I explained every detail to them. I even discouraged them from entering into some of those loans. I have NEVER pressured the appraisers that I have worked with to push a value. It is what it is!!!

Anonymous: (February 08, 2010 10:49am)

appraisal myth buster: you wont get that past L/safe. distress owned and non are all the same to them! no adjustments for that distinction will be tolerated.

EX-Indy loser: (February 08, 2010 10:47am)

What you failed to mention to everyone was that other than Goldman Sachs owning "One West Bank", is that most of the upper management are from INDYMAC BANK!!!!!!

justanaverageamerican : (February 08, 2010 10:44am)

This process and scheme has been repeated all over the country by the FDIC with other failed banks to the benefit of their cronies. There is a common denominator of cronyism, where all the players, including the federal regulators have names like Goldman and Sachs. You cannot permit one demographic tribe run everything, and not have it lead to screwing everyone else. The media will never cover this stuff and that is at the core of what has gone wrong with the USA, and why 5 subsequent generations of taxpayers are being cheated. We need an honest media that will expose injustice and corruption regardless of what segment of society is embarrassed or charged.

JC: (February 08, 2010 10:36am)

This makes me more mad and in the end the ones to blame are still brokers and appraisers. All of this is 100% B.S.

Mook Hunter: (February 08, 2010 10:34am)

Soros? Didn't he back the current administration? Do we smell more good old boy chinanigans? Has Mike Perry gone to jail yet?

SimpleSolution: (February 08, 2010 10:31am)

Appraisal Myth Buster-Well put...bravo.. :)

Appraisal Myth Buster: (February 08, 2010 10:19am)

BONO, there is a reason why REOs and shorts are selling below market value. It's because of the market reaction to them. The market will react more positive to a straight arms length sale. Short sales typically go south. It is not unsual for the banks to reject the offers and listing price. Typically they go for 3 or more months to close. With foreclosures, they are "as-is" sales. They're like a box of chocolattes...you never know what you are going to get. They are know for their "issues". They don't have disclosure. These are High Risks sales and with higher risks comes a market aversion to them. Can you use them in an appraisal? Sure, you can use a couple. Adjust for any difference in the market reaction to them so they reflect market value of a straigt arms length transaction.

USF Appraisals, LLC: (February 08, 2010 10:19am)

My buddy with his MBA from Carnegie Mellon left the following response in my inbox after watching today's video. He's a pretty intelligent individual that works directly with the gov't as a contractor. 'yes, this whole bank bailout is making me sick. so the lastest thing i have been hearing is to prevent inflation, the FED is going to increase the amount of money they pay banks to keep their reserve money at the FED. Currently the FED pays the banks 0.25%... to limit the amount of money floating around and thus reduce the threat of infation, the FED wants to increase the rate so it is more attractive for banks to keep their money in reserve. The bad thing about this is that the banks will have even less incentive to lend to small business and private citizens...the whole point of having banks... the economy is screwed for a long time!!'

Karen M: (February 08, 2010 10:14am)

That was disgusting! Thanks for the great reporting. I just sent it to Obama, Barney Franks, Boxer and Feinstein and Lynn Woolsey. keep up the great work!

Mortgage Broker: (February 08, 2010 10:10am)

Frank & Brian - Can you find out more about the tax advatages for banks to f/c instead of modify? I believe their was a change in the tax code in '08 or '09 that makes it advantageous for them to f/c. Also, I believe the capital requirements don't hit until the property is sold-that's the reason why the shadow inventory is growing. The scenario discussed doesn't happen to only failed institutions. It's also happening in huge numbers with other TARP funded lenders.

joecolroado: (February 08, 2010 10:06am)

and as for AMC's-if the fee isnt what you typically charge for an appraisal,then just say NO.its really easy.I am in the same boat as most or all appraisers on this blog,I work for a living,I work hard,and I produce a credible, defensible report that ANYONE can rely on,but I dont do it for free.I have lost clients in the past and I am sure I will lose clients in the future,but I appraise properties using information from the market,not from a non qualified source that may disappear at the first sign of trouble.I have pride in my reports as they are a direct reflection of me and my character.Why would anyone,lose that self respect enough to put their word or character in jeopardy?(it baffles me)learn to say NO.I still have and I still get clients asking for my professional opinion because they TRUST me.There will always be clients,trust me when I say that.They wont go away,they ALWAYS need to hear from a source that THEY trust,make sure its you.

SimpleSolution: (February 08, 2010 10:06am)

joecolorado-HVCC going away does solve the problem of our rights being taken away from us to free enterprise and as far as appraisers not having the backbones to say no to pressure that is their problem. Let them continue to not have a spine and let them get their licenses revoked and fined and let us hope the ones whom are doing so will be reported or caught as they make the rest of us that don't fold to the pressure look bad.

RFRDenver: (February 08, 2010 10:04am)

What a fix and flip deal for OneWest -no fix all flip and then some. What FDIC should have done is to keep role as the investor and contract to a loan servicing company to negotiate work out plans where applicable, work the short sale or foreclosures as they must if owners just have no affordability and then sell through a transparent, good faith process at wholesale but witout all loss sharing agreements.

CA appraiser: (February 08, 2010 10:02am)

@SimpleSolution- IF I DONT WORK FOR AMC'S WHO THE HECK AM I GOING TO WORK FOR? I HAVE BILLS, A CAR, A HOUSE, ETC ETC. I NEED TO MAKE SOME MONEY JUST TO KEEP THE ELECTRICITY PAID. Also, where can I work and make $100 an hour? you tell me that and I will do my last appraisal....and never look back. thanks.

bobhertzog: (February 08, 2010 9:59am)

Just a point of clarification... My name is Bob Hertzog, and I am the Designated Broker for Summit Home Consultants. The case you guys are referring to came from my blog entitled "Is FDIC Killing Short Sales?", posted on ActiveRain on September 19, 2009. While it did receive quite a bit of press, I was disappointed that our politicians could care less. On the point of clarification... OneWest demanded a $75,000 promissory note, but retracted it when I sent them the numbers that you quoted in the video. Within 24 hours of sending my story to CEO Terry Laughlin, I received a phone call from their PR Firm, saying they would approve the short sale, and waive the $75,000 Prom Note. What nice guys, huh? To make a long story short, I have handled several short sales since then with IndyMac, and, when faced with problems, I simply remind them of how greedy they are. To Read the original blog go to this link: http://activerain.com/blogsview/1243528/is-the-fdic-killing-short-sales-

WISYWIG: (February 08, 2010 9:54am)

Hi ConfusedMortgageGal, the Mortgage Forgiveness Act-correctly labeled S.B. 3648--has to do with FEDERAL Income Tax Liability on the deficiency (forgiven) debt(not STATE income tax liability) and NOT actual mortgage balance the lender did not collect--the President cannot order lenders to "forgive" defiency debt. There is an ABUNDANCE of misinformation on this subject floating around out there in cyber-space and the media. Also, I am not sure the Bill was extended through 2012...Furthermore, you may find these two links helpful: http://www.irs.gov/efile/article/0,,id=98114,00.html and http://www.nolo.com/legal-encyclopedia/article-29792.html. You are not alone in your confusion ;)Happy Reading!

joecolorado: (February 08, 2010 9:53am)

HVCC going away doesnt solve the issue. The issue is undue influence/pressure. If we as appraisers dont say NO to outside pressure,the problem is ongoing,the Pols will just think up another method of curtailing access to and from appraisers, and every time that happens, someone somewhere makes money from the new process and it generally isnt appraisers that work out in the field every day. We have a broken system because we let it be broken and in some cases we broke itby permitting unscrupulous apps get away with a professions suicide, and we as appraisers need to fix it.My method is to just have a set of nads and say no to outside pressure,its easy,no pressure,no sleepless nights,no jail time.

I've had enough!: (February 08, 2010 9:52am)

You are kidding. How are we suppose to advise our clients in good faith to do the right thing when they are screwing us...........................

joecolorado: (February 08, 2010 9:45am)

AtlantaRE-why would Wells be concerned about selling the property under the loan balance, from what I just saw in the video, they are safe as they still get the loan balance,as that doesnt go away and they get paid by FDIC for their trouble.please correct me if I am wrong.

Vel: (February 08, 2010 9:45am)

HVCC is to finally go away!!!! HVCC is known as Home Valuation Code of Conduct. I like to affectionately call it hell for homebuyers, home sellers, realtors, real estate attorneys and lenders. Reaty Times reported that the days for HVCC are numbered and the death of HVCC is imminent...... THANKFULLY!!!! In the article (see www.realtytimes.com/rtpages/20091221_washingtonreport.htm) It's stated that Congress took a major step in eliminating what has been a painful thorn in the side of home sellers, Realtors, home builders, mortgage brokers and appraisers since hte inception of HVCC. As part of its financial and mortgage industry reform bill, the House voted to terminate the controversial Home Valuation Code of Conduct (HVCC) once a new Consumer Financial Protection Agency begins operations. The new agency would assume primary federal responsibility for equal opportunity in credit, real estate settlement procedures, financial disclosures to borrowers, plus unfair and decepti

Ezradams: (February 08, 2010 9:45am)

Maybe we need to discuss who the typical buyer is. Often, short sales and foreclosures are purchased by investors that rehab and resell...that is not what I would call a typical buyer. In South Jersey I can think of only one municipality where that may make up a decent portion of the market. Otherwise, non-investor purchasers do not usually purchase these homes due to needed repairs (foreclosures)or difficult terms imposed by the banks (short sales).

5pence: (February 08, 2010 9:44am)

Short sales are indications of a declining market but they do not define that market. Short sale prices are unstable and could rise or fall depending on the whims of the lender, the needs of the seller particularly and the market in general. It's an "under duress" sale. AMC's have been forcing some appraisers to use court house foreclosures in their reports as their AVM's erroneously pull up all sales in their calculations and the unskilled AMC thinks the AVM is the golden rule so, to prove their point, they hire skippy appraisers that will bend to their will and include non-arms length transactions to influence values downward. It appears it's to the big banks advantage to do so as they make a killing with the FDIC's help in a foreclosure. They actually make money but can't turn around and reward the taxpayers that bailed them out. Tell me they didn't have this planned out beforehand..

joecolorado: (February 08, 2010 9:42am)

the foreclosures,if within the community,must be mentioned in the appraisal report,but if they are not used,the reason needs to be stated as to why. The f/cosed proeprties can be used in a report,but they must be adjusted to accommodate the distress sale condition of that particular sale,work out your area ratio for distressed sale adjustment with paired sales analysis.The market will provide the adjustment and the paired sale anaysis will accommodate and support the estimate of value at the end of the day if you have done your job properly, but just to state that foreclosures ARE the market with no reference to arms length transactions is asinine.No wonder we are in this ind if appraiswers cannot explain why they are using certain comparable proeprties and why their adjustments are defensible.shame on you.

SimpleSolution: (February 08, 2010 9:37am)

AtlantaRE-That is happening 9 time out of 10 with all lenders right now. I believe the lenders get some kind of kick back though and that is part of the reason as to why they would rather foreclose.

SimpleSolution: (February 08, 2010 9:33am)

In addition a short sale can only be used as a comp if it was listed on the MLS. If I can't find the sale on the MLS, I don't use it. Most short sales are listed at market value on the MLS.

AtlantaRE: (February 08, 2010 9:33am)

Has anyone encountered a situation where Wells Fargo sold the property at foreclosure auction for less than the loan balance? Our office had two Wells Fargo short sale listings go to foreclosure auction & sell for cash amount less than short sale contract offer being negotiated.

SimpleSolution: (February 08, 2010 9:29am)

Bono Vox-Your last statement I agree with. I think we are on the same page now. The court sales can not be used as comps but shortsales and resold foreclosures can be and should be used as you are correct that is what is dominating the market right now but from what I have heard the AMC's are asking appraisers to use the trustee deed sales-court sales as comps and we can't do that.

ConfusedMortgageGal: (February 08, 2010 9:28am)

I was to understand the Pres George W Bush instituted the "mortgage forgiveness act" which has been extended thru 2012. Which states that after a short sale the balance is "forgiven" -is that incorrect? How can the lender require a promisory note?

Sharon: (February 08, 2010 9:28am)

Well I just can't take it anymore, so I forwarded this to Glenn Beck. I'm thinking that I'm not the only one to do that. So maybe he'll say something about it on Fox. Thanks for all the hard work guys! You are the best!

5pence: (February 08, 2010 9:26am)

Bono: I would imagine there comes a time where short sale values are accepted in a particular sub-market and become market value through arms-length transactions. Till then, the short sales are not market value.

SimpleSolution: (February 08, 2010 9:21am)

CA Appraiser-Take a stand and don't work for those fees first of all. I personally have taken a part time job outside of the industry unstil this all subsides as I refuse to work for those fees. I know taking another job part time is not something you want to do as I am sure you as I do want to do appraisals but if you keep doing work for these companies at those fees nothing is going to change.

5pence: (February 08, 2010 9:21am)

Bono-not sure what your point is. There are pockets of areas, sometimes just blocks apart, where sales prices are being influenced by an abundance of short sales & foreclosures (new developments for instance) and then you have areas with values stable or increasing. Within blocks of each other! If all your comps are short sales then you are not reporting market value, you are reporting short sale value. It's a balance between market & non-arms length transactions the skilled appraiser can recognize where the unskilled are clueless. You are referring to sub-markets in your example. They are not the market. Think of the market as all sales instead of just block by block. Maybe that will help. The market is not the various and sundried sub-markets - it's the total of all markets in an area. So you've got prices dropping 2 blocks over and prices rising where you are. What is the market? It's both, but they are still sub-markets. Broad brush strokes of declining values by HUD is wrong.

CA appraiser: (February 08, 2010 9:17am)

Open Question: How can appraisers get their old fees back? Do we just lie down and take it on the chin? I used to make between $350 and $450 for SFR appraisals...now it's between $170 and $225. 50% haircut for nothing... What can I do to get my old fees back? What are other appraisers doing? Thank you for your input.

BrokeBroker: (February 08, 2010 9:17am)

These crooks robbing the public make your job too easy. Don't worry, with all the profits (our money) I'm sure Soros will be making sure to get publicity for spending a sliver of the funds on those who he made needy while patting himself on the back.

Vel: (February 08, 2010 9:14am)

Frnk or Dave, Is there any truth that Congress is trying to further regulate YSP? http://activerain.com/blogsview/1478580/is-congress-working-to-create-yet-another-potential-hurdle-to-real-estate-recovery-

Mortgage Broker: (February 08, 2010 9:13am)

Simple Solution - The politicians either: 1. Don't know what they are dealing with and don't know the answers, or 2. They are getting kicked lobby/blood money. I've assumed that my senators weren't educated and have been trying to educate them through a series of emails. The only response that I've received so far is the standard email response. It doesn't matter if they're Rep or Dem-they are closing their eyes and hoping it gets better or loading their pockets. The big banks received our money when they were in a temporary bind. We see what happens when someone without a voice is in a temporary bind. The taxpayers should have bailed out the homeowner instead of the big banks. Consumer spending is 70% of the economy.

SoCal Mortgage Broker: (February 08, 2010 9:11am)

I came across the story about IndyMac & One West Bank several months ago and tried to get the media to listen to no avail. The story and other publications says that Michael Dell of Dell Computers also owns One West Bank. If this is true, I won't be buying any more Dell computers. The FDIC has loss sharing agreements with 53 banks so I sure this is why most loan modifications arebn't being done.

GF LO: (February 08, 2010 9:09am)

Here's another: In January 2009 my wife and I tried unsuccessfully for a loan mod. We owed Chase about $510,000. Chase suggested that we sell our home in a short sale. In March we were in escrow at $374,000. Months later after Chast "lost" our paperwork we were in escrow with buyer #2 at $374,000 and this buyer was putting 20% down and not asking for closing costs. Chase demanded $394,000 even though there was a model match to ours and with a pool, listed at $356,000. Instead of accepting this sale, Chase decided to foreclose and our home sold at auction for $280,000. BTW - The investor that bought it just sold it last month for $365,000.

CRANKINTITLE: (February 08, 2010 9:07am)

ALL I CAN SAY IS LIARS CAN FIGURE, BUT FIGURES DON'T LIE.....

SimpleSolution: (February 08, 2010 9:04am)

Mortgage Broker-Read my blog below in regards to how our senator responded to my e mail. Seemed to be a blanket response as if nothing is wrong.

Bono Vox: (February 08, 2010 9:03am)

If short sales are a very small part of your market, count yourself as lucky. In many communities, more than 10%, 20% or 30% of the market is made up of short sales and foreclosures. That does make a market. I've seen the "courthouse price" used before, but just once in my 14 years. Most AMCs are national, so they are applying CA, NM, AZ, NV, OH, FL rules to markets that are in much better shape. We have outlying builder communities where foreclosures/REOs ARE the recent sales.

Chris Sorensen: (February 08, 2010 9:03am)

Guys, I reported on this almost two months ago. Let's talk, I know I can help your viewers/subscribers. www.freehomeownershiphelp.org

Mortgage Broker: (February 08, 2010 9:01am)

On the lending side we are about three years deep into this thing. Nothing has changed the attitude about loan mods yet. The victims have been screaming for years but the politicians have turned the other way. If you were a homeowner affected by the economy, the best option that you had was to rub your lucky rabbit's foot and hope that you win the loan mod lottery. Hope that your loan wasn't securitized/insured/serviced by a lender that could make more by kicking your kids out of their schools then by keeping you in your home and keeping your neighborhood strong. The media needs to get on this. It's obvious that emails and phone calls to the politicians won't worked - I've tried. (Do they remember they are public servants?) The best chance that an out of work homeowner has to stay in their home is to contact the local news station and to move their money out of the big banks. The people losing their homes aren't scumbags-they're hardworking people that are in a temporary bind.

Ezradams: (February 08, 2010 8:59am)

Bono Vox: As an appraiser it is my job to place myself in the "shoes of the typical buyer". You need to consider the hassle of short sale and foreclosures transactions as well as the condition of the property (usually inferior to subject). So, if I was a buyer, I would spend less on a short sale or foreclosure property for reasons stated above. They do not make good comparable sales unless most of the sales in the area are short/foreclosures.

brian tbws: (February 08, 2010 8:59am)

by the way the fdic financed the sale of indymac to these guys. the actual story is even worse than we reported

5pence: (February 08, 2010 8:56am)

FHA Steve : While I appreciate the effort, another lawsuit isn't gong to do anything as long as the GSE's are in conservatorship - they are above the alw ans can not be challenged anywhere in any court of law. Here's a link to the many on-going lawsuits that states, appraisers, consumers and AG's have going on. Another one isn't going to make any difference, in my honest opinion. See how many lawsuits there are that are-ongoing. They're going to take years. We need action not another drawn out legal attack/appeal. I'm still all for Skunking Cuomo in his bid for Gov. I think that could create a tsunami rather just another ripple among many. http://www.fraudproblem.com/updates/

Jersey Girl: (February 08, 2010 8:55am)

Well I know my butt is boiling from that story. How insane! Unbelieveable...shady...just shady...

T-REALTOR-ROY: (February 08, 2010 8:49am)

Frank & Brian just to rub a little more salt into the tax payer's wound I bet the buyer took advantage of the $8000 first time or $6500 move up buyer tax credit! Do you know?

FHA Steve: (February 08, 2010 8:49am)

Dear TBWS: Brian Feb 5 has come and gone!! Regarding HVCC: I have contacted and met an Attorney who is approved in Federal Court, the California BAR, and is also a member of the New York BAR. This guy is an excellent fair and ethical attorney. During the meeting, he reviewed the law suit that was filed by NAMB, and said it was very poorly done. He is a Yale graduate who speaks many languages, and he has won a case for me personally in the past. (The city Settled with me Out of Court) After filling him on on the facts, he as agreed to work for us, not in court, but through lobbying firms, political connections, research into just how much money the Title Companies and the Banks have funneled to Cuomo. (If our attorney does need to do any court filings, again, he is a member of the New York state BAR, and is approved for any Federal Court as well.)

FHA Steve: (February 08, 2010 8:48am)

He has agreed to a 60 day period to crack this HVCC nut at $300/hour, and he would need an initial retainer of $6,000. I do not have that money, but if Frank and Brian can just get each one of us to send $1 in, we could have the retainer in a couple of weeks. Please contact me, and I will put you in contact with him, and let us see if we can raise the retainer. $1 each from the119,000 people who signed the petition would be $119,000 – I will send mine first, or the attorney can set up a Google Donate Button to keep it all on the up and up. and let a legal bulldog tear Cuomo a new one. He believes in his heart that HVCC is a miscarriage of justice and after reading it, could not believe how poorly it was written. (we all new that already) Please contact me ASAP to at least talk to the attorney who is ready to go. stevetimper@gmail.com

SimpleSolution: (February 08, 2010 8:46am)

Bono Vox-Please tell me that you are not an appraiser....

5pence: (February 08, 2010 8:46am)

Sorry, I meant "Brian" in my last post - dyslexic typer lol

socalgeo: (February 08, 2010 8:42am)

Great story, best story you have produced to date.

5pence: (February 08, 2010 8:42am)

Brain : Great - I want to send it to CNBC (maybe more than just me sending it to them?). They like this kind of stuff. They were the first to report on the kickbacks lenders were requiring for short sales from the sellers. Diane Olick is the RE reporter.

GODLIKE: (February 08, 2010 8:39am)

What's the multimedia section?

FL MTG BRKR: (February 08, 2010 8:39am)

If you guys could edit the video to just the Indymac story, that would be great!!!

No party: (February 08, 2010 8:38am)

The good ole boy thinking in Washington has been around for so long that I can't imagine it will ever change. It doesn't matter what party you are associated with, they are all crooks and unable to make a change for the better for this great country. They have a greedy hidden agenda with every bill, hidden ear marks line every bill and it is all based on the mighty self-serving dollar. Indymac's buyout is just another example of this. We need major reform and house cleaning to be done, but we are such a fractured country that it won't ever happen. I'd suggest people stop voting party line and start getting informed. The grass roots thinkers are our only hope for turning things around.

5pence: (February 08, 2010 8:37am)

Loaner - didn't you hear, there's $9 trillion that disappeared that they can't account for. Just disappeared, poof. I'm suprised we're not rioting in the streets to be honest.

brian tbws: (February 08, 2010 8:35am)

yes it will be up and ready to go in one hour

5pence: (February 08, 2010 8:34am)

Bono - we are only supposed to deal with arms-length transactions. They can affect market values indirectly but use of them is not truly reporting market value. They are at best a drag on market value but they can not dictate values in an arm's length sale transactional market. Now if they are predominant in a neighborhood and they are your only comps then you are reporting short sale value and not market value. There's many different kinds of value. The short sale across the street has to be recognized but so does the arms length sale next door. Do you expect that the sale next door of an indentical home is not representative of market value as much as the short sale? Short sales are typically a small percentage of the market and do not lead the way in market value or otherwise influence the majority of the normal arm's length sale market. To say they do is saying that the occasional short sale makes the market and that is not true. One sale does not a market make.

TheFyouSay: (February 08, 2010 8:27am)

Frank and Brian.. Can you make todays daily downloadable in the multimedia section for subscribers? I want to put it into one of my agent videos.

loaner55: (February 08, 2010 8:18am)

Johnw : just hope that people realize this when the next election come around and don't jump on the stupid wagon and vote for Palin....cuz she is going to run and stupidity may reign her in. You're right, this administration has done a really bad job but it started before he took office....don't forget the $783 billion Paulson gave away that they now claim they have no way to track. It's politics in general and until people wake up and elect someone who is an outsider...well, like I always say " If you always do what you've always done, you'll always get what you've always got" !

SimpleSolution: (February 08, 2010 8:18am)

Bono Vox-What you are referring to is a resold foreclosure that the bank has already foreclosed at and bought back at the auction for X amount of dollars. Resold foreclosure-bank owned properties are what you are referring to are OK to use as comps but the actual auction sales is not OK to use as it was not listed on the open market. There is a difference in the two. What you are saying is correct in regards to a resold foreclosure or a foreclosed property for sale but the auction sale-trustees deed upon sale-is not a market sale as you can only purchase the property with cash at the auction and it is usually the bank that buys the property back. No financing allowed.

5pence: (February 08, 2010 8:18am)

LOL Bono Vox - because 1 short sale or foreclosure does not make a market.

joecolorado: (February 08, 2010 8:15am)

5pence-I went to Wells fargo with a check i needed to cash and they charged me a $5 fee, I refused to pay it, but they insisted that the fee was typical for a non account holder of their bank. I argued that they were just getting the public back for what Jesse James and the hole in the wall gang did to them earlier in the Wild Wild West,the teller threatened to call security!I just paid my $5 and left.

5pence: (February 08, 2010 8:14am)

Ezra : Thanks. I've been around long enough to know. That's why the AMC's won't pay my fees. don't know how, must be grace from above, but I've been getting enough full fee private appraisals to keep me going - total shock lol. Hope it holds up but with FHA going AMC route, not likely. Thing is, FHA is saying the appraiser should be paid the usual and typical fees for appraisals in their market area. Wouldn't that be the $600 the AMC's are charging the consumer and not the $450 I'm chargin and certainly not the $150 AMC's are paying. Makes sense to me. Hopefully this FHA thing plays out in our favor. GLTY

RB: (February 08, 2010 8:14am)

This is insane!!! Can the FDIC really just continue to stroke checks at those kind of profits per home sale? No wonder it's such a mess to get short sales and modifications approved these days. Why doesn't the news pick up stories like this? This definitely seems newsworthy and would get huge readership in the least.

Frank Garay: (February 08, 2010 8:13am)

Loaner55 - YES link it EVERYWHERE! You can use the share button right below the video. Thanks!

Johnw: (February 08, 2010 8:11am)

I am a hard core Democrat. But this is without a doubt THE DUMBEST IDEA I HAVE EVER HEARD OF!!! The depths of their stupidity is truly starting to scare me.

loaner55: (February 08, 2010 8:11am)

Frank, Seriously, this stuff belongs on Prime Time. Are we ok to link this to our Facebook?

Rob Peter to pay Paul!: (February 08, 2010 8:10am)

Robbing Peter to pay Paul, and then Judas comes and steals everything. Isnt this the way the FDIC, the Govt and then the bankers work.

Bono Vox: (February 08, 2010 8:06am)

Ezradams, simplesolution, 5Spence - I just ask this one question: Why would an informed consumer buy a non foreclosure for $200k if there is an identical foreclosure or short sale across the street selling for $160k? Because.....? Four years ago we could boot "distressed sales". Not so anymore. Adapt and move on.

Frank Garay: (February 08, 2010 8:05am)

Loaner55 - That's what we're relying on you guys for.. send it out! Forward it! We can only do so much on our own. Thanks man!

5pence: (February 08, 2010 8:05am)

Actually, banksters have realized the advantages (as the video points out) of short sales and they are increasing, thanks to the FDIC. Still, I can see why re-fi's and modifications aren't happening. The new SBA loan program that Obama wants to expand? My bro's been trying for months and very few banks will do these government guaranteed business loans as there's not enough profit in it for them. Government needs to get out and let the markets work - they can only screw things up. Idiots. It cost over $1 million dollars for every "new" job they created that probably pays less than state average wages. Ron Paul is the only politician that makes sense. BTW, simple solution : I think HR 1728 got folded into HR 4173. It looks like your reply was a form letter from a year ago for similar appeals on the HVCC. I got the same thing from my rep, not word for word but dated info that you knew was canned. Good try tho. It just goes to show again, that no one is listening.

loaner55: (February 08, 2010 8:04am)

Brian and Frank : No doubt you guys have a captive audience especially with stories like today. All of us in the industry love the info and it really makes us mad to hear stuff like this. But ( you knew there was a but, right ? ) YOU ARE MISSING THE BOAT!!!!!! You need to get this stuff out there to the entire public ! This kind of info is better than what the media is feeding everyone. When I tell people about these things they are shocked, meaning they haven't heard it yet and maybe never will.

GODLIKE: (February 08, 2010 8:02am)

We've been waiting for the other shoe to drop and I just got an email from Nexbank saying that Feb. 15 all FHA appraisals would have to go thru an AMC.

Ezradams: (February 08, 2010 7:57am)

5Spence: You got it right. Appraised value (for the purpose of lending) is almost always market value. Therefore, unless you are in an area which is predominately short sale or foreclosure, only true open market sales should be used in an appraisal. (I know of no areas that are PREDOMINATELY short sale or foreclosure.) And, again, you're correct that it is the appraiser who makes that decision....not an AMC or an underwriter.

real appraiser: (February 08, 2010 7:57am)

When are we going to learn we no longer vote for the best candidate, each candidate is bought by big business on both sides and presented to us through the media with promise of change. each prospective candidate is already prepurchased by the head companies of the best lobbyists. We fall for it over and over as all are taught to hate the other side and they blindly vote their party line. The tea party is a call for a vote outside the current system, I believe this party will be purchased by the same powers if they were to become a real threat and again, the same powers that be will run the USA into the same ground it has been stuck on for decades. The lobbyists, money and greed must be removed from the decision makers. We must vote for people who really want the politics to change. Stop voting party lines. DEMAND that are politicions be separate from any influnce. POLITICS NEEDS AN HVCC FROM BUSINESS LOBBYISTS, We need to start voting out losers as soon as they turn on the people.

brian tbws: (February 08, 2010 7:51am)

bono vox. im very proud of todays show but id be less than honest if i took credit for it. one of our viewers in colorado... leslie... is responsible for bringing this to our attention. we have more crazy stories for the week and they are all from you. we are all a family of average joe's!!! by the way i think your right about the audit.

Needs a mod: (February 08, 2010 7:50am)

I have a loan with Indymac/One West bank and they flat told me on the phone that the decission to be made to modify my loan would depend soley on which way would be more profitable to the bank. A mod or a foreclosure. I refused to short sell or even talk to them about that. I told them they would have to kick my sorry butt out on the street before they would get my home.

5pence: (February 08, 2010 7:48am)

An REO is bank owned and foreclosures take place on the courthouse steps. Short sales take place under duress of the seller. As simple solution said neither are arms length transactions. If your market is predominantly short sales then they are affecting market values and you do have to use them to truly reflect the market. But, that is up to the appraiser to decide not some high school kid with AVM info. They are using skippies as they are not experienced enough to decide what type of market it is for themselves and are easily manipulated. Add in HUD designating certain areas value depressed and you've got an AMC that can run all over the skippy appraiser. Any attempt to influence value is a crime and forcing the addition of uncomparable comparables into a report is fraudulent. I suspected but now I can see the advantage of not making re-fi loans or modifications or banksters denying short sales. Too much money is not enough for these crooks. Heartless, cold & calculating banksters

enough is enough: (February 08, 2010 7:47am)

Although Hitler is never a figure to be taken lightly, this video clip gives a pretty neat summary of what's been happening to appraisers in this industry as of late: http://www.youtube.com/watch?v=lDUpXwoj5Ck

GODLIKE: (February 08, 2010 7:47am)

Last week someone made a big deal about the 32% failure rate of the NMLS test and said it was proof brokers don't know nuttin' but actually the fail rate comes mostly from the people who haven't been active in the industry as lenders and are now required to have a license. For example I've been in classes with city employees and bank employees who have been absolutely clueless. There's your failure rate. I've been tutoring many of them. I haven't seen any brokers fail the test, but I've hardly seen one who wasn't a broker pass it in less than 2 tries.

Sue R: (February 08, 2010 7:39am)

I worked in a law firm as a modification analyst. It was impossible to work with IndyMac (and the other banks). Subsequently most went into foreclosure. Thanks for bring the light of day regarding this government scam. I bet the rest of the banks have similar deals. Spence - good point re: HVCC/AMC - probably true. I did the same, closed our Wells Fargo accounts and got free checking at a Credit Union. Chase also skimmed $6 off a check I receive from client that was drawn on a Chase account!

Just the tip of the iceberg: (February 08, 2010 7:38am)

Wonder how much more of this is out there? Still can't get over Wells refusing a good cash offer for a short sale at $250,000. Instead, they insisted that it go to forclosure and ended up selling it $43,000 below the short sale offer. Either insider at the auction or "bonus" for it to go into foreclosure.

Rotgirl1: (February 08, 2010 7:36am)

This just made my stomach turn......I lost well of $35k when IndyMac was shut down in '08.....I have a pretty little promissory note that says I MIGHT someday be paid back a small percentage of what was not covered by the FDIC IF the new owners feel like paying me back for the money THEY STOLE FROM ME!!!! I know I'll never see a dime and yet they are profiting even more from the taxpayers! This is unbelievable. I think I'm going to go throw up.......

5pence: (February 08, 2010 7:35am)

It's truly amazing isn't it. The TARP money, Fed funds & now Treasury (our money) is being used to buy MBS's that NOBODY in the world will buy after they got burnt. Why are they using our money to buy securities that NO ONE wants?! It's obvious these "exotic" securities were a total failure, so why are we taxpayers being forced to buy them? Banks have lobbied to keep MBS's in existance because they know the taxpayer will ALWAYS be the buyer of last resort. It's not the Fed & the GSE's that are the buyers of last resort-it's us! It's insane. Since the Fed is a private institution I'm wondering how much we owe them now? Apparently everything. Banks got that big because of MBS's & CDO's and now our funds are being used to keep them that big and too big to fail! This is just so wrong in so many ways. Get rid of the instruments no one will buy and let the banks shrink to the level they belong. How hard is that?? No one wants them so we have to buy them?! Change that no one can believe in.

SimpleSolution: (February 08, 2010 7:33am)

Bono Vox-A resold foreclosure (REO sale) is different than a foreclosure. A forclosure is an auction where the bank buys the property back or an investor that comes up with the cash to pay for it at the auction. We should not be using foreclosres as comps. A foreclosure is not a fair market sale. Resold foreclosures are OK...

Bono Vox: (February 08, 2010 7:33am)

Gentlemen, I can only express my feelings on your reporting using the words of Vince Vaughn, "Cuz you're growns up and you're growns up!" Two average Joes just scooped every major network, the WSJ, EVERYONE on an amazing story. So the guy behind MoveOn.org rips off the American public....guessing the NY Times and 60 Minutes will be ignoring this. Proud to know you guys. Oh, and your IRS audit will be coming up soon!

Bono Vox: (February 08, 2010 7:33am)

Gentlemen, I can only express my feelings on your reporting using the words of Vince Vaughn, "Cuz you're growns up and you're growns up!" Two average Joes just scooped every major network, the WSJ, EVERYONE on an amazing story. So the guy behind MoveOn.org rips off the American public....guessing the NY Times and 60 Minutes will be ignoring this. Proud to know you guys. Oh, and your IRS audit will be coming up soon!

jglynn: (February 08, 2010 7:30am)

Outrageous.

EWS3: (February 08, 2010 7:28am)

Thx guys! I love this " reporter type " format.. Great info!!

Bono Vox: (February 08, 2010 7:28am)

5Pence: An appraisers job is to value the home based on the market. In most parts of the US, foreclosures ARE the market. Why would I buy a $200k home when the f/c next door is selling for $160k. OF COURSE appraisers have to add foreclosures and short sales to their reports.

Fort Lauderdale Loan FHA: (February 08, 2010 7:26am)

That was a great daily. It was not overly into the loan originator oriented. This is the type of material i can send to my realtors and referral partners and they will definitely get value out of this. Great job guys!

SimpleSolution: (February 08, 2010 7:23am)

Last little bit.... any further questions or comments, please do not hesitate to contact my Washington, D.C. office at (202) 224-3841. Best regards. Sincerely yours, Dianne Feinstein United States Senator Further information about my position on issues of concern to California and the Nation are available at my website http://feinstein.senate.gov/public/. You can also receive electronic e-mail updates by subscribing to my e-mail list at http://feinstein.senate.gov/public/index.cfm?FuseAction=ENewsletterSignup.Signup.

Common Sense: (February 08, 2010 7:22am)

You guys are starting to remind me more and more of Glenn Beck. You rock!

SimpleSolution: (February 08, 2010 7:22am)

Contd....standards related to home valuation. You may be interested to know that on March 26, 2009, Representative Brad Miller (D-NC) introduced the "Mortgage Reform and Anti-Predatory Lending Act" (H.R. 1728). In addition to establishing minimum standards for residential mortgage loans, H.R. 1728 would require the Comptroller General to conduct a study to determine the effects that the Home Valuation Code of Conduct has on small businesses, such as mortgage brokers and independent appraisers. The study would also determine the effects of the Code of Conduct on the quality and costs of appraisals, and its impact on mortgage brokers and other small business professionals in the financial services industry. H.R. 1728 has been referred to the House Committee on Banking. I understand your concerns about the Home Valuation Code of Conduct and the challenges it may pose to home appraisals. Please be assured that I will keep your comments in mind should further action be taken in the Senate regarding oversight of Freddie Mac and Fannie Mae as they implement these new standards are implemented. Once again, thank you for writing. If you have a

SimpleSolution: (February 08, 2010 7:21am)

Hold on more to come....

SimpleSolution: (February 08, 2010 7:20am)

OUR SENATORS RESPONSE BELOW-To my complaint to her in regards to the HVCC. Interesting. Has anyone else got any response from her? I received your letter expressing your concerns with the Home Valuation Code of Conduct. I appreciate the time you took to write and welcome the opportunity to respond. As you know, two Government Sponsored Enterprises (GSEs), Freddie Mac and Fannie Mae, joined the Office of Federal Housing Enterprise Oversight (OFHEO) and New York State Attorney General Andrew Cuomo in negotiating the Home Valuation Code of Conduct, which went into effect on May 1, 2009. It establishes minimum requirements for appraisers to help prevent conflicts of interest and fraud in the housing market. Freddie Mac and Fannie Mae are prohibited from purchasing single-family mortgage loans from mortgage brokers that do not abide by the code. It also establishes the Independent Valuation Protection Institute to monitor regulations, Federal and State laws, and market standard

5pence: (February 08, 2010 7:10am)

Good reporting guys. That could be another good reason AMC's are forcing skippy appraisers to use REO's & foreclosures in their reports. Force inaccurate valuations to screw the homeowner & possibly force more foreclosures. As you illustrated so well, its a money maker to not modify. What is the incentive for them to do modifications? None. I took my money out of B of A and went to a credit union. Friday I got a check from a client & went to Chase to cash it. Not only did they charge me $6 to cash the check but they gave me a hard time at the counter saying I needed to talk to a bank manager. I said call the person that wrote the check, they are home right now. He said that's not what's it's about. Come to find out the reason the were hassling me was they wanted to talk me into opening an account. I said not interested and scowled, took what was left of the check afer they skimmed $6 and walked out. It appears that taking your money out the big banks is working! I urge all to do so.

Kris A: (February 08, 2010 7:06am)

This is just so sick! If I were a Realtor, I'd ask my favorite title company to pull all he Indy Mac mortgages I could find and market to those sellers. Obviously Indy Mac has an insentive to dump those properties. Forward this video to your elected officials, newspapers, TV stations etc!

Frank@TBWS: (February 08, 2010 7:04am)

Texas... I'll upload it later today for you.

Texas: (February 08, 2010 6:52am)

Frank - can the Indymac bit be edited out for a stand alone info bit? It would help us a great deal in getting the word out.

KenCook: (February 08, 2010 6:48am)

Very good reporting and very much appreciated. It really does show, at least in this case, the "government" really doesn't care about main street just giving an appearance they put main street first. Eat the rich (unless they have friends in high places). Guys if this is accurate this is a very good basis for abuse of powers charges.

arbrown123: (February 08, 2010 6:43am)

I am going to be sending this video link to my state and federal representatives and senators. I hope they choose to rub someone's nose in it!

Boatman: (February 08, 2010 6:43am)

I finally receive a letter from Wells in mid January 2010, stating that I do not qualify, and I must short sell, or do a deed in Lieu. I call Wells up to find out what happened. The person told me that I need a front end DTI of 31% TO QUALIFY. The HFH plan uses the 31 DTI as a target where the new loan modification brings the monthly payment down to this level. She insisted on telling me I had to have a 31% DTI BEFORE the loan mod. I then spoke with her supervisor. The supervisor said she was incorrect , and I was correct. But then the supervisor told me that a loan modification was not so I could get lower lower payments. It was to add on an arrearage to to the loan amount. She also told me Wells was under no obligation to grant a loan modification (which I know) and that my note has no provisions for such. Obviously, they would rather get the loan back, and get paid from the government, which comes from me anyway…. IS THIS INSANE OR WHAT???

Oldathlete: (February 08, 2010 6:38am)

One way to stop it, go and take your deposits out of the FDIC insured bank. If everyone did this, and kept the funds for a month, it could cripple the industry.

boatman: (February 08, 2010 6:37am)

I am in the mortgage business and have been trying to get a loan mod for 10 months with Wells. I have had substantial hardhsip (loss of income, equity, depletion of savings, etc) First they told me I had to be 60 days down. So I did that. After going delinquent and then waiting 3 months, they said my FHA loan was not part of the Hope For Homeowners plan. I called back in August of 2009. I was told that FHA was now part of the Hope For Homeowners plan. The person I spoke with said would qualify based on my statements (which match up to the paperwork I originally sent in). I received a letter stating they wanted the paperwork again. I sent in ALL of the paperwork AGAIN, and was told to wait, again. 60 days go by and I call. They said they will be sending me more paperwork, and I have to fill it out and send in all of the documentation AGAIN. That was in October, 2009. I send it in again, and I am told to wait. I finally receive a letter from Wells in mid January 2010, stating that I do

Lucky4u: (February 08, 2010 6:34am)

I have maintained all along this mortgage fallout was designed by the big lenders to remove all the cream takers and make even more money...this video is proof of that.

jj: (February 08, 2010 6:28am)

great job, guys, you make me feel so little and powerless. we all know what is going on behind the curtain. who makes the rules. they make rules for themselves, not for the public. it just appears that they working for us but not true. those big banks and big money , super rich people will always rule US with iron fist

ThZebra: (February 08, 2010 6:27am)

I have been watching George Sorros name and Goldman linked over and over to this Obama administration. Glenn Beck (Fox News) has been talking about these interlinkings for months. By the time the smoke clears all these crooks are going to be sooo much richer at OUR expense. This is likely the most crooked group in DC in our lifetime. And people wonder why those "crazy" Tea Party people are catching on so well.

Hammer: (February 08, 2010 5:41am)

Man I wish I was politically connected so I could live the damned good life - guaranteed by the FDIC!

Mark Green: (February 08, 2010 5:40am)

Ugh. Well now the One West loan mod runaround stories make a HELL of a lot more sense. Martin Andelman's been covering the fiasco from the front end for several months - now TBWS exposes why One West stands to clean up by letting properties go into foreclosure. Sickening. Again, TBWS does what NAMB, MBA - NOBODY in our industry is able to do... get the word out there and help us educate our clients. Thanks again Frank and Brian. You guys rock.

Gnotboxchecker: (February 08, 2010 5:26am)

Seems awfully crooked and plain dumb to me. I will bet lunch that the political donations from this new crew will have a high correlation with a certain political party..... just sarcasm.

MikeInCT: (February 08, 2010 4:58am)

Great work. Devil is in the details and by that standard you make it clear FDIC is flat out possessed. As if TARP and AIG bailout $$ was not enough. ARGH!

InvestorRay: (February 08, 2010 4:57am)

I see the opportunity side of this. As an investor, why not find all the old Indy loans in my area. They're probaly going to accept a short sale deal on the property and should be able to pick up a great deal!

SnowJob: (February 08, 2010 4:36am)

This needs to be exposed on mainstream media. Passing it along to a friend at Fox. You know Shiela Barr had a personal hand in this deal.

Pat-Rick: (February 08, 2010 4:20am)

Funny how the FDIC can pony up and pay these crooks, but as an appraiser for the defunct Colonial Bank (Birmingham), I am owed over $1500 for work performed before they were bought by BB&T. The FDIC has acknowledged our claim, but seems we are way down the list on who gets paid and when..Can't seem to get money from the gov't. for what I am owed..Goes against what I always perceived as the "American Way".!! Thanks Brian & Frank for disclosing how sad and how deep our financial mess really is!!

Mike D: (February 08, 2010 4:11am)

I am an LO and sending this to everyone that gets my weekly newletter.... approx 300..... great work

Appraiser Man: (February 08, 2010 4:01am)

SICK AND WRONG

tom E: (February 08, 2010 3:44am)

awesome work

Leslie in Denver: (February 08, 2010 2:55am)

Good job, guys!

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