Big Banks Sued Over Mortgage Failure / Fraud

[REIMktg]

Actually, you're all pretty wrong with real estate valuations. I was ALLEGEDLY part of a hedge fund until last year that ALLEGEDLY had a license to acquire REO properties from the banks that had them as negative assets. We ALLEGEDLY purchased them through Fannie and Freddie for, I shit you not, no more than ten cents on the dollar.

I am legally not allowed to disclose the name of the fund, or the investment bank it operated through. It has since ceased to operate under both, but MAY operate under a new name and division, as those negative bank owned assets never really stopped piling up, if anything, it went into hyper drive.

The whole real estate market is a crock of shit. Its all based on perception.

If the peoples believe that the real estate market for that area is worth an avg of $200k per property, then POOF, just like magic, that's what the new avg becomes.

It actually goes a hell of a lot deeper, but I hate to say this, I'm actually not allowed to discuss it in detail until the year 2019. So.. just try to survive until then.

Seriously. "Adapt or die", just like the wise man told the farmers of America. This shit is no joke, and if you don't have the balls or stomach for it, you should not be playing.

Well I wish I had your contacts.

I did figure that anything I knew about had to be a bad deal compared to what real people get. The #'s I was quoting were simply FDIC public auctions.

I suppose then that 20% guaranteed minimum return per 180 day Hedge Fund that a friend of mine is going into at $100MM is not the best deal then?

Live and Learn.

 

[bestleads]

Home owners should have been bailed out

Obama bailed out the wrong group.

Home owners with those bank fraud mortgages should had been the ones to be bail out.

When a business owner went to bank to get a loan, he/she was asked for a 10 year almost accurate business plan to get the loan.

Will you tell me that those same people didn't know that this mortgage bubble wouldn't burst in financial disaster?

Of course, they knew.

Now bankrupted banks are being merged to avoid the FDIC bailout to average fellows.

Credit Unions (CU) have proved to be more solid financially then those powerful banks with $8,000,000/year CEO's.

And CU's are managed by everyday people.

Banks are paying a whooping .81%/year interests (that's it; you are paid 81 cents per year for every $100 you have in savings) on savings accounts and they discount $5/month in accounts with less than $1,000 in deposits.

CU's are paying 2%/year and they don't have any fees even if you only have $1 in deposits or CU shares.

CU's are known as part of a particular manufacturing site. But Community Credit Unions could be an average Joe's savings option. They belong to a community and not as part of a particular industry.

Just my opinion.

Sincerely,

Antonios


:music06::music06::music06::music06:

 

[guerilla]

Since banks lend on the fact they can get 10x the money they have in deposits at the Fed I'd assume if we didn't have anything in place the money supply of the country would shrink my 10x. Getting any loan would be very difficult and the interest rates would be through the roof.

It would shrink by more than 10x. The reserve ratio hasn't been held firmly at 10%.

That said, a solid banking system that was closer to full reserve would invite capital from all over the world because interest rates (the market price for capital) would be uber high.

It's a self-resolving problem. As more capital enters the system, interest rates decrease, until the rate of interest achieves a sort of equilibrium with demand for capital.

It might be scary for 12 months, but what would be left might be the strongest economic paradigm we've ever seen. Businesses that only exist on credit and aren't necessarily profitable enough to pay the market rate for credit shouldn't be in business anyway. They are burning society's resources and making us all poorer in the long run.

 

[Rusky]

Actually, you're all pretty wrong with real estate valuations. I was ALLEGEDLY part of a hedge fund until last year that ALLEGEDLY had a license to acquire REO properties from the banks that had them as negative assets. We ALLEGEDLY purchased them through Fannie and Freddie for, I shit you not, no more than ten cents on the dollar.

I am legally not allowed to disclose the name of the fund, or the investment bank it operated through. It has since ceased to operate under both, but MAY operate under a new name and division, as those negative bank owned assets never really stopped piling up, if anything, it went into hyper drive.

The whole real estate market is a crock of shit. Its all based on perception.

If the peoples believe that the real estate market for that area is worth an avg of $200k per property, then POOF, just like magic, that's what the new avg becomes.

It actually goes a hell of a lot deeper, but I hate to say this, I'm actually not allowed to discuss it in detail until the year 2019. So.. just try to survive until then.

Seriously. "Adapt or die", just like the wise man told the farmers of America. This shit is no joke, and if you don't have the balls or stomach for it, you should not be playing.

Wholesale buying is one thing. 10 cents on the dollar, you guys must be buying subprime notes. I agree with you, the market will comeback. Just give it time, it will start happening after people with foreclosure / short sale on their credit report will be able to get credit again. This is why I'm in the market for urban area homes with dividable land. I think the next construction boom will be intercity energy efficient homes.

 

[guerilla]

I agree with you, the market will comeback. Just give it time, it will start happening after people with foreclosure / short sale on their credit report will be able to get credit again.

They won't be able to get credit again soon because credit is drying up and everyone is leery of lending to people who can't repay.

The market will come back when the inventory of houses has decreased AND there is savings available to issue loans from.

 

[Jon]

Wholesale buying is one thing. 10 cents on the dollar, you guys must be buying subprime notes. I agree with you, the market will comeback. Just give it time, it will start happening after people with foreclosure / short sale on their credit report will be able to get credit again. This is why I'm in the market for urban area homes with dividable land. I think the next construction boom will be intercity energy efficient homes.

Nope, none of that note bullshit. It was for REO (real estate owned) properties. "Free and clear" if you want to call it that. All liens and taxes are wiped clean automagically by the state/county via the bank. The banks don't want it, but at that time and even now, no real estate broker/agent will list a property that was "valued" at $450k a year ago, at the true current price that the HF acquired it for at around $5k-$10k at most. For two simple reasons. 1- Low/almost no commission in it. 2- It would devalue the fuck out of the entire area and attract attention on a grand scale that they do not want.

The HF would mass acquire them in bulk and flip it to investors at around thirty to forty cents on the dollar to their people or just keep it and rent it. But even those guys thought they were getting an amazing deal, because the houses/properties were on multiple rounds of foreclosure auctions in the previous weeks at nearly double what they just paid for it.

Most of the time, the ink wasn't even dry on the deeds before it was on reserve to be sold (there are rules in some areas that you have to wait X number of days before flipping it again).

I'll try and dig up an old report and post it after discussing my terms with my lawyer. I don't think it will violate my terms, because its seriously something everyone should see. However if I can't post this, then I apologize in advance, but you guys shouldn't keep believing everything you're told.

If your gut is telling you SOMETHING DOESN'T MAKE SENSE HERE BRO! then trust it, because its our brains and hearts that confuse shit.

 

[Jon]

Obama bailed out the wrong group.

Home owners with those bank fraud mortgages should had been the ones to be bail out.

When a business owner went to bank to get a loan, he/she was asked for a 10 year almost accurate business plan to get the loan.

Will you tell me that those same people didn't know that this mortgage bubble wouldn't burst in financial disaster?

Of course, they knew.

Now bankrupted banks are being merged to avoid the FDIC bailout to average fellows.

Credit Unions (CU) have proved to be more solid financially then those powerful banks with $8,000,000/year CEO's.

And CU's are managed by everyday people.

Banks are paying a whooping .81%/year interests (that's it; you are paid 81 cents per year for every $100 you have in savings) on savings accounts and they discount $5/month in accounts with less than $1,000 in deposits.

CU's are paying 2%/year and they don't have any fees even if you only have $1 in deposits or CU shares.

CU's are known as part of a particular manufacturing site. But Community Credit Unions could be an average Joe's savings option. They belong to a community and not as part of a particular industry.

Just my opinion.

Sincerely,

Antonios


:music06::music06::music06::music06:

First off... its Congress that did the bailouts. Not Obama. Just sayin.

Second off... Obama didn't lobby to bail out the wrong people. He knew full well who he was supposed to bail out and did it perfectly. On multiple rounds too.

Don't hate on the guy. He's doing his job. Sure, his job may be a bit hazy as to what the focus really is, but that's also because you're assuming his job is to provide the avg Joe American with help. And that's just not true.

He's not evil. Neither are the banks really. This is just how things are and how they operate. They have a pretty broad agenda. Sometimes shit doesn't go according to plan. Other times it does. Sometimes its blatantly obvious and people resign (but still stay on board and get paid out), but most of the time its pretty well controlled.

You have to accept the fact that this is all just business. I know its tough to grasp. Trust me, it was really tough and disappointing for me to realize and accept at first too. Because no one wants to realize that THIS is really how it is... but it is guys.

Everyone has a decision and a choice to make. Either sit around, bitch about it, let it drive you crazy, let it upset you, and accomplish nothing... or make a choice and become one of them or do what you can to rise up the ranks and get connected correctly by advancing your reputation and status with them. Sure, you'll have to give up a huge piece of your morals and ethics, become much more of a realist too, but that is the price you pay to become filthy stinking rich and powerful. These guys have realized it, made their choices early on, were born and bred for it. Whatever the case may be.

Realize the very simple fact:

Their agenda and view is very different than yours. So really, according to their agenda, they aren't actually doing anything wrong or bad. Its just the cost of doing business. Shit happens and it is what it is.

Welcome to the suck.

 

[.Hack]

NOTHING CAN BE EXPLAINED

 

[REIMktg]

Nope, none of that note bullshit. It was for REO (real estate owned) properties. "Free and clear" if you want to call it that. All liens and taxes are wiped clean automagically by the state/county via the bank. The banks don't want it, but at that time and even now, no real estate broker/agent will list a property that was "valued" at $450k a year ago, at the true current price that the HF acquired it for at around $5k-$10k at most. For two simple reasons. 1- Low/almost no commission in it. 2- It would devalue the fuck out of the entire area and attract attention on a grand scale that they do not want.

The HF would mass acquire them in bulk and flip it to investors at around thirty to forty cents on the dollar to their people or just keep it and rent it. But even those guys thought they were getting an amazing deal, because the houses/properties were on multiple rounds of foreclosure auctions in the previous weeks at nearly double what they just paid for it.

Most of the time, the ink wasn't even dry on the deeds before it was on reserve to be sold (there are rules in some areas that you have to wait X number of days before flipping it again).

I'll try and dig up an old report and post it after discussing my terms with my lawyer. I don't think it will violate my terms, because its seriously something everyone should see. However if I can't post this, then I apologize in advance, but you guys shouldn't keep believing everything you're told.

If your gut is telling you SOMETHING DOESN'T MAKE SENSE HERE BRO! then trust it, because its our brains and hearts that confuse shit.

To be honest I am more than happy to buy at $0.40-$0.50 on current value especially in CA, not because it is true value, but because I will be flipping it out immediately using the nationwide infrastructure we already have in place.

In fact Jon, I could deliver $100MM+ for that deal no problem. I just did for a separate HF and would be more than happy to pull the money for physical product. Of course CA pays more than Alabama etc.

Throw a lead this way, its worth at least $1MM. Of course I know you do not need me to tell you that - you can probably deliver much more.

But I would be remiss if I didn't at least throw it out there - never ask / never get.