HUD's "O.F.H.E.O." (Federal Housing Enterprise Oversight) does not properly oversee the Fannie Mae & Freddie Mac programs. The U. S. Treasury Dept. must be allowed to oversee Fannie Mae & Freddie Mac
September 23, 2003 (Press Release) --
Citizens, taxpayers, and the U. S. Government cannot count on HUD to properly oversee the Fannie Mae & Freddie Mac program.
HUD (& their FHA program) does not enforce their own rules, guidelines, policies, and procedures when it comes to crooks.
The HUD "Lender Accountability" reads:
"If problems arise after closing, that the house was overvalued or repairs were not done, it will be up to the lender to either pay for the repairs or pay down the mortgage to the actual value of the house."
Also put in to effect in 1999, is the HUD "Homebuyer Protection Plan", "which protects the FHA home buyer from getting a lemon, due to a bad appraisal."
HUD is not enforcing their rules.
Many homebuyers have been victims of Predatory Lending & Fraudulent Property Flipping. HUD is supposed to enforce against such things, but they don't. The crooks: crooked sellers, appraisers, inspectors, lending companies, and builders - simply continue on to their next victim, because they know HUD will not do anything.
"Fraudulent Property Flipping"
"The usual scenerio consists of the following:
-The flipper (seller) usually owns the house for a short length of time, before reselling it.
-The flipper does not tell the buyer that the sales price of the house is "much" higher than the house is worth.
-The flipper only does "cosmetic repairs", and does not disclose the major problems of the house.
-The flipper arranges a mortgage loan to cover the inflated sales price, but the loan is based on a false appraisal of the property.
-The appraiser "overlooks" major problems & does not report them, does not use true "comparative" houses, & does not take into consideration excessive repair costs, when coming to an appraisal value. The appraiser usually sets the appraisal amount of the house, at an "already pre-determined amount", which is usually set by the lender.
-The final inspector "overlooks" the condtion of the house & does not report problems of the house, and lets the deficient house pass final inspection, when he shouldn't.
-The flipper walks away from the deal with all the loan money, but the buyer winds up with a house that is not worth the loan he or she owes.
-The lender is covered by FHA's full repayment of the loan, if the buyer forecloses."
(The last line seems to give the reason "why" lenders go along with this crooked tactic...it is because they get their full amount for the loan, no matter what happens. Lenders also make a profit, every time they close a real estate deal.)
Welcome to the REAL "American Dream of Homeownership."
Even after homebuyers PROVE to HUD that a house was involved in fraudulent activities (as many homebuyers have done), HUD does NOTHING:
Citizens have lost faith in the HUD organization.
As taxpayers, we are giving our taxpayer dollars to see that HUD remains in use. It is time that HUD does what they are supposed to do, and for them to stop contributing to crime.
Homebuyers are sick of this mess.
We are asking that our government step in and DO something about HUD. HUD "IS" part of the problem.
We ask that the U. S. Treasury Department be allowed to oversee the Fannie Mae & Freddie Mac program, which has been proposed to the U. S. "House Financial Services Committee".
For more details:billiemichele@cableone.net
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HUD (& their FHA program) does not enforce their own rules, guidelines, policies, and procedures when it comes to crooks.
The HUD "Lender Accountability" reads:
"If problems arise after closing, that the house was overvalued or repairs were not done, it will be up to the lender to either pay for the repairs or pay down the mortgage to the actual value of the house."
Also put in to effect in 1999, is the HUD "Homebuyer Protection Plan", "which protects the FHA home buyer from getting a lemon, due to a bad appraisal."
HUD is not enforcing their rules.
Many homebuyers have been victims of Predatory Lending & Fraudulent Property Flipping. HUD is supposed to enforce against such things, but they don't. The crooks: crooked sellers, appraisers, inspectors, lending companies, and builders - simply continue on to their next victim, because they know HUD will not do anything.
"Fraudulent Property Flipping"
"The usual scenerio consists of the following:
-The flipper (seller) usually owns the house for a short length of time, before reselling it.
-The flipper does not tell the buyer that the sales price of the house is "much" higher than the house is worth.
-The flipper only does "cosmetic repairs", and does not disclose the major problems of the house.
-The flipper arranges a mortgage loan to cover the inflated sales price, but the loan is based on a false appraisal of the property.
-The appraiser "overlooks" major problems & does not report them, does not use true "comparative" houses, & does not take into consideration excessive repair costs, when coming to an appraisal value. The appraiser usually sets the appraisal amount of the house, at an "already pre-determined amount", which is usually set by the lender.
-The final inspector "overlooks" the condtion of the house & does not report problems of the house, and lets the deficient house pass final inspection, when he shouldn't.
-The flipper walks away from the deal with all the loan money, but the buyer winds up with a house that is not worth the loan he or she owes.
-The lender is covered by FHA's full repayment of the loan, if the buyer forecloses."
(The last line seems to give the reason "why" lenders go along with this crooked tactic...it is because they get their full amount for the loan, no matter what happens. Lenders also make a profit, every time they close a real estate deal.)
Welcome to the REAL "American Dream of Homeownership."
Even after homebuyers PROVE to HUD that a house was involved in fraudulent activities (as many homebuyers have done), HUD does NOTHING:
Citizens have lost faith in the HUD organization.
As taxpayers, we are giving our taxpayer dollars to see that HUD remains in use. It is time that HUD does what they are supposed to do, and for them to stop contributing to crime.
Homebuyers are sick of this mess.
We are asking that our government step in and DO something about HUD. HUD "IS" part of the problem.
We ask that the U. S. Treasury Department be allowed to oversee the Fannie Mae & Freddie Mac program, which has been proposed to the U. S. "House Financial Services Committee".
For more details:billiemichele@cableone.net
Printed from: http://www.free-press-release.com/news/200309/1064331667.html
Internet Marketing SoftwareSearch engine submission, Web site submission - promote your website Fast, Easy and Effective!
Click here to submit your press release free!
Press Release Tips | Free News Letter | Advertise on Us | Contact Us | Site Map | Free-Press-Release.com
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