RealtyTrac: AZ second again in 3Q foreclosures = Bank Repossessions and Scheduled Auctions Set Quarterly Records While New Defaults Continue to Decline

[mEDITate-OR:

not see that this was then, and it tis not now...

The huge overhang of underwater properties, along with the huge numbers of bad, Alt-A, neg ARMS and subprime RE loans in the sand states, makes this a really ugly map of U.S.

The sad thing is that NOTHING was being done about it.

Until a few Robo-signers got caught, not looking...

What is really sad for the Big lenders/servicer/banks is that when we DID look we found them buying forged docs to try to show courts that they had a "good title" right to foreclose.

So, the ones who WROTE all those bad RE loans are now stuck with them - literally & figuratively.

How sad, how glad, we all can be.

------------------

Nevada, Arizona, Florida post top state foreclosure rates in third quarter

As it has for the past 15 quarters, Nevada continued to document the nation’s highest state foreclosure rate in the third quarter of 2010 despite a year-over-year decline in foreclosure activity. One in every 29 Nevada housing units received a foreclosure filing during the quarter, almost five times the national average. Nevada foreclosure activity increased nearly 1 percent from the previous quarter but was down nearly 20 percent from the third quarter of 2009.

Arizona posted the nation’s second highest state foreclosure rate for the fifth consecutive quarter, with one in every 55 housing units receiving a foreclosure filing
Florida posted the nation’s third highest state foreclosure rate for the fourth consecutive quarter, with one in every 56 housing units receiving a foreclosure filing.

With one in every 70 housing units receiving a foreclosure filing during the third quarter, California documented the nation’s fourth highest foreclosure rate

followed by Idaho, with one in every 86 housing units receiving a foreclosure filing during the quarter. A total of 7,424 Idaho housing units received a foreclosure filing during the quarter, an increase of nearly 20 percent from the previous quarter and an increase of nearly 14 percent from the third quarter of 2009.

Other states with foreclosure rates ranking among the top 10 in the third quarter were Utah, Georgia, Michigan, Illinois and Hawaii.

---------------

------------

=============

U.S. Foreclosure Market Data for Top 10 States – Q3 2010

		Properties with Foreclosure Filings
Rate Rank	State Name	NOD	LIS	NTS	NFS	REO	Total	1/every X HU (rate)	%Change from Q2 10	%Change from Q3 09
--	U.S.	116,349	153,298	243,869	128,576	288,345	930,437	139	3.90	-0.79
1	Nevada	16,845	0	11,234	0	10,350	38,429	29	0.92	-19.81
2	Arizona	36	0	30,743	0	18,324	49,103	55	7.65	-2.46
3	Florida	0	61,745	0	59,240	36,041	157,026	56	12.41	0.06
4	California	80,886	0	63,448	0	46,682	191,016	70	-0.73	-23.61
5	Idaho	2,019	0	3,538	0	1,867	7,424	86	19.74	13.67
6	Utah	3,285	0	3,718	0	3,700	10,703	88	11.91	12.04
7	Georgia	0	0	25,592	0	15,639	41,231	98	8.3	23.5
8	Michigan	10,943	0	16,755	0	18,402	46,100	98	1.43	24.51
9	Illinois	0	21,932	0	12,230	13,640	47,802	110	4.9	28.26
10	Hawaii	186	0	2,504	0	1,370	4,060	126	18.13	48.01

==============

RealtyTrac: AZ second again in 3Q foreclosures

http://phoenix.bizjournals.com/phoenix/stories/2010/10/11/daily53.html?surround=lfn

----------------

Oregon foreclosure activity up 20.43 percent

http://www.bizjournals.com/portland/stories/2010/10/11/daily27.html

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Washington foreclosures continue to soar

http://seattletimes.nwsource.com/html/businesstechnology/2013163092_foreclosure15.html

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Foreclosure Activity Increases 4 Percent in Third Quarter

Bank Repossessions and Scheduled Auctions Set Quarterly Records While New Defaults Continue to Decline

http://www.realtytrac.com/content/press-releases/q3-2010-and-september-2010-foreclosure-reports-6108

============

U.S. Posts Second-Largest Annual Budget Deficit on Record = Tops US$ 1 Trillion.

[mEDITate-OR:
not see the HUGE difference between when W was Pres - in budget 08
and then when Obama became Pres in Jan 09

If you compare 07 and 08 you, too, will see that revenues were declining AND expenditures were rising for W exit strategy.

When you look at 09 you should remember that with declining revenues everywhere - Fed Govt and the state & local govts - we expanded our unemployment benefits and Medicare/Medicaid coverage. Oh, and food stamps too.

With the sole exception of when W took over a surplus budget from William Jefferson, W never once had a balanced budget and ran a large deficit every year he was in office. And, when he left office in Jan 09, he left U.S. with a jobless and budgetary mess.

But, of course, tis all Obama's fault.
---------------

---------------

-------------

-----------

=============
Deficit tops $1 trillion second year in a row
http://money.cnn.com/2010/10/15/news/economy/treasury_fy2010_deficit/index.htm
-------------
U.S. Posts Second-Largest Annual Budget Deficit on Record
http://www.bloomberg.com/news/2010-10-15/u-s-posts-second-straight-annual-budget-deficit-in-excess-of-1-trillion.html
===========

Banks seize 288K homes in Q3, but challenges await + September home foreclosures top 100,000 for first time

[mEDITate-OR:
not see the humour in this foreclosure mess...

Why use "robo signers"...?
bcuz they would NOT look at the docs, and see that they were forged.
So..., RUSH to Judgment..., do not pass inspection..., and then SELL asap...!!!

Venal.
Ugly.
Illegal.
actually wrong - morally, legally and now, !!!, economically.

Bath..., is not just a city in England.
-----------------

-------------

-------------

===========
Banks seize 288K homes in Q3, but challenges await
http://news.yahoo.com/s/ap/20101014/ap_on_bi_ge/us_foreclosure_rates
------------
September home foreclosures top 100,000 for first time
http://www.theatlantic.com/business/archive/2010/10/home-seizures-exceeded-100-000-in-september/64568/
--------------
http://news.yahoo.com/s/nm/20101014/bs_nm/us_usa_housing_foreclosures_4
===============

U.S.-Canada trade deficit grows wider + CAN Trade deficit cut by almost half = Is the U.S. 'debasing' its dollar, hurting other nations?

[mEDITate-OR:
not see what others see about U.S...
and in many ways it is not pretty.

Canada is very dependent upon U.S. - like sleeping next to an elephant.
They do not see U.S. as we do, nor as we would like to think they do.

Read the last Globe & Mail article, please.
Now, you, too, see it, don't you.
------------
Exports to the United States rose 2.7 per cent, led by higher exports of passenger autos, while imports fell by 3.3. Canada's trade surplus with the United States increased to $2.9-billion in August from $1.5-billion in July – its first increase since December 2009.
Exports to countries other than the United States grew 4.2 per cent, while imports rose 4.5. Both gains were largely due to increases in trade with the European Union.
Canada's trade deficit with countries other than the United States rose to $4.3-billion in August from $4.1-billion in July.
----
These were the eight countries with the largest trade imbalances over the United States in August:
China, $28.04 billion
Mexico, $6.04 billion
Japan, $5.83 billion
Germany, $3.43 billion
Nigeria, $2.67 billion
Ireland, $2.49 billion
Venezuela, $2.20 billion
Canada, $2.19 billion
----------

----------

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==========

U.S.-Canada trade deficit grows wider
http://www.bizjournals.com/dayton/stories/2010/10/11/daily38.html
-----------
CAN Trade deficit cut by almost half
http://www.theglobeandmail.com/report-on-business/economy/trade-deficit-cut-by-almost-half/article1756588/
------------------
Is the U.S. 'debasing' its dollar, hurting other nations?
http://www.theglobeandmail.com/report-on-business/top-business-stories/is-the-us-debasing-its-dollar-hurting-other-nations/article1756871/
===========

How Fracking works

[mEDITate-OR:
or not watch your diction..., very carefully...

This Canadian article and map show U.S. not only where the most Fracking is taking place, but provide U.S. with a picture about how it works.

Playboy is jealous, sorta.
----------------

===========
How Fracking works
http://www.theglobeandmail.com/report-on-business/industry-news/energy-and-resources/how-fracking-works/article1755918/
-----------

Drilling for gas: How 'fracking' works

http://www.cnn.com/2010/US/09/13/fracking.explainer/index.html

===========

US trade gap surged in August to $46.35bn boosted by rise in imports from China = Trade gap widens on record deficit with China

[mEDITate-OR:

forget that we are still gonna have a Merry Christmas..., at WalMart...

FAR more important is that the numbers are NOT what they are telling you...

The biggest share of American imports are oil and other industrial supplies, which rose 39% to $399.2 billion

and consumer goods, up 13% to $317.9 billion.

Please, note, we do NOT buy oil from China...

we buy it from Canada, Mexico, Venezuela and Nigeria.

This is NOT to say that the situation with China must be addressed...

BUT, not at this time.

They placed ALL of their trade surplus into US TBills.

We borrowed our money back from China to try to fix our own economy.

And, China cooperated, by buying down their holding in Japan, to increase ours.

So, what do we DO, we bash the living Hell out of them.

With friends like U.S...

no wonder they are shifting their trade over to Europe, Africa & their close neighbors.

---------------

Goods by geographic area (not seasonally adjusted)

The goods deficit with Canada increased from $1.4bn in July to $2.2bn in August. Exports increased $1.4bn to $21.0bn, while imports increased $2.1bn to $23.2bn.

The goods deficit with China increased from $25.9bn in July to $28.0bn in August. Exports decreased $0.1bn to $7.3bn, while imports increased $2.0bn to $35.3bn.

The goods deficit with the European Union decreased from $9.9bn in July to $8.1bn in August. Exports increased $0.7bn to $19.4bn, while imports decreased $1.1bn to $27.6bn.

The goods surplus with Brazil increased from $1.0bn in July to $1.3bn in August. Exports were virtually unchanged at $3.4bn, while imports decreased $0.3bn to $2.1bn.

-------------

U.S. imports jumped more than 22% from a year earlier, to $1.5 trillion.

The sharpest percentage increases were in imports of automobiles and related products, which soared 60%.

The biggest share of American imports are oil and other industrial supplies, which rose 39% to $399.2 billion, and consumer goods, up 13% to $317.9 billion.

-------------

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============
US trade gap surged in August to $46.35bn
boosted by rise in imports from China
http://www.finfacts.ie/irishfinancenews/article_1020789.shtml
-------------
U.S. International Trade (Exports + Imports)
Reaches 22-Month High Of $354 Billion In Aug
http://www.dailymarkets.com/economy/2010/10/14/u-s-international-trade-exports-imports-reaches-22-month-high-of-354-billion-in-aug/
-------------
Record gap with China sends U.S. trade deficit soaring in August
Commerce Department says the overall shortfall in the exchange of goods and services jumped to $46.3 billion — with more than half of that coming from China.
http://www.latimes.com/business/la-fi-china-trade-20101015,0,6570715.story
==========

China's September exports up 25.1%; trade surplus hits 5-month low

[mEDITate-OR:
not see that while ALL of the countries listed below had increased trade...
EU, Japan and China's neighbors growth was larger then for U.S.
and that does not take into account all of our Christmas toys & trinkets delivered to WalMart.
And, how soon we forget, that only a few months ago the EURO had collapsed and for China the loss of exports to their largest market was looming over and in addition to the beginning of a double dip recession for their 2nd largest market - U.S.
Only now, can the Chinese see that they are NOT facing an economic catastrophe.
-----------
What we also are seeing is a huge shift from a reliance almost totally on U.S.
to a balanced reliance with Europe, Africa and their ASEAN neighbors.
------------
Trade with the European Union, China's largest trade partner, jumped 34.4 percent year on year to 349.49 billion U.S. dollars
Trade with the United States climbed 31.5 percent to 278.54 billion
with Japan rose 32.2 percent to 214.46 billion
Trade with ASEAN countries surged 43.7 percent year on year to 211.31 billion U.S. dollars in the first three quarters
------------

----------------

--------------

---------------

----------------


===========
China's September exports up 25.1%; trade surplus hits 5-month low
http://news.xinhuanet.com/english2010/business/2010-10/13/c_13555809.htm
----------
China September trade weakens, surplus $16.9B
http://www.washingtonpost.com/wp-dyn/content/article/2010/10/13/AR2010101300702.html
-------------
China International Trade Review - September 2010
http://www.econgrapher.com/13oct-chinatrade.html
--------------
Trade with Africa set to achieve record high
http://www.chinadaily.com.cn/bizchina/2010-10/15/content_11413570.htm
------------
Chinese firms up the stakes in Europe
http://www.chinadaily.com.cn/bizchina/2010-10/04/content_11376651.htm
===========

Mortgage rates at historic lows = at 4.21 percent = now at 1951 levels + five reasons consumers still wary

[mEDITate-OR:
not see that there are many problems, for both buyers and sellers...
What we saw last week was a huge increase in REFIs...
and a small increase in purchase apps.
And, what that means is the for many staying put is their best, and in some places, like the sand states, the only option for them.
And, with new jobless claims going back up, and not down like we desperately need, we are likely to see more homes for sale, and many fewer buyers looking for them.
There are 5 times as many job seekers as positions available for them.
There are now, with the shadow inventory, 10 times more homes for sale than buyers.
And, most of those potential buyers do not qualify for a home loan.
Ugly.
---------------
The problems:
Higher credit standards
Higher down payments
Worries about home values
Low consumer confidence
Wait-and-see consumers
-------------

----------

---------

===========
Mortgage rates at historic lows:
five reasons consumers still wary
Mortgage rates are at 4.21 percent for a 30-year fixed-rate loan, spurring home buyers and home owners to take advantage. But there remain some reasons for caution.
http://www.csmonitor.com/Business/2010/1014/Mortgage-rates-at-historic-lows-five-reasons-consumers-still-wary
==========

The Mortgage robo problem it is not.

This problem is NOT that some signed foreclosure docs without reading them, nor is it about a few lost note or docs.


What we are discovering is that "ownership" of the mortgagee's interest was NOT legally transferred to the current putative owner/holder. The mortgage was NOT theirs to foreclosure. Since you cannot acquire what you have no legal right to have, AND you cannot re-convey what you did NOT legally acquire, there is a wee, skoshi bit of a title problem.

Far more serious is the fact that many of these current holder/mortgagees bought forged documents to try to prove that they HAD acquired the legal right to the mortgagee's interest, and DID have the right in court to foreclose on it. They committed intentional fraud - on the courts, on the title insurance cos they used, on any subsequent purchasers from them, and on U.S.

Foreclosure Moratorium: What Does It Mean for the Housing Market?

[mEDITate-OR:
be confused by all of the confusion...

While this problem is real, and serious, there is too much mis-information and speculation being made.

Below are some observations/clarifications.

============

John,

There are some critical pieces of information missing in all of the discussions of these issues. In my opinion the most important questions yet to be answered are:

1. Are the mortgage in question the more complex and now defunct private label ALT-A and subprime loans, Conforming FNM/FRE loans or both? In my experience as a mortgage broker conforming loans were originated to tighter standards with less shortcuts taken. Most of the high flying players who were relatively loose with the rules did ALT-A and subprime business. The main examples would be Aurora Loan Services and Bear Stearns Residential Mortgage/EMC mortgage who were huge wholesale and correspondent players taking in much of the ALT-A and subprime junk of 2005-2007.

2. How much of this has to do with MERS? There have been separate lawsuits with MERS as a central issue. Are these issues truly separate or will they compound? MERS seems to be a case-by-case situation with judges taking both sides of the issues and no clear resolution in sight.

3. The worst case scenario here is the banks being forced to sit on properties which lack marketable title. This can take a tremendous amount of time to cure and will likely involve some opportunistic attorneys. The banks will than be burdened with disposing of these assets.

-------------

Phjilip Gvinter - - -
You have very good points about what we don't know yet. There is much discovery yet to take place.

With respect to MERS, it seems to me that those MERS served (primarily banks) were responsible for making the proper legal filings. It will be interesting to see if further discovery supports my impression or not.

I see this as a potential financial hit to banks. They will not be able to control the timing of foreclosure and subsequent REO sales; they may be exposed to investor civil action for restitution of lost capital; and homeowners (mortgagors) may file suit for financial damage. Even if the banks are able to prevail in some of these cases the legal fee expense will by significant. (That is a segue to your final point.)

And then there is the point that Yves raises in her summary article linked in my article. She feels that we have to be on alert that the banks don't manipulate government involvement in such a way that the result is tantamount to another backdoor bailout.

---------

Phil & John, with regard to your first point/question: We have repeatedly, so will not again here, pointed out the securitized (not?) sand state mess. What we DO know is that about 85% of those 03-07 bad sand state RE loans are now in some stage of "trouble", AND we know that almost all of them are "securitized" loans being managed by/under the MERS system.

What that should suggest to all of U.S. are two things: the most severe part of this foreclosed property crisis is in fact localized in the sand states; and that most of those Alt-A, ARMs and subprime RE loans were originated by, are now serviced by, and are being foreclosed by Chase/WAMU, BoA/Countrywide and Wells/Wichovia.

While we are NOT saying that everyone who did not deal with them are OK, we ARE saying that those who DID deal with them, and have Alt-A, ARMs or subprime RE loan, probably are not.

---------------

Phil & John, with regard to your 2nd point/question: there are two quite different problems that must be distinguished.

The first problem is that what was required for the valid transfer of the mortgagee's interest simply did not happen. While that places the current so-called "holder/mortgagee" of the mortgage legally out of luck, it does NOT mean that the original note & mortgage are in any way impaired. IF you are the original mortgagor, YOU have two valid contracts - the note & the mortgage. You can force compliance with those two documents. Therefore, the problem is NOT yours.

You, and/or your original title company can solve any questions/problems, simply. Including your sale, refi or estate transfers.

The second problem is that some of the "lost" documents that were needed to prove the chain of title were, in fact, forged. Again, that is not the owner/mortgagor's problem. It IS a serious problem for the current holder/mortgagee and any subsequent purchaser. IF the current/foreclosing putative mortgagee is, in fact, NOT the true mortgagee, then the foreclosure is based upon fraud, and probably is void. You cannot take back what you had no right to in the first place. And, you cannot re-convey what you do not have.

==========

Jeff & John: you have most of this backwards.

IF you currently "own" a home, mortgaged or not, you still CAN sell, refi, devise or gift it to your kids or girlfriend(s); and any title co - note that YOUR original title co is your best bet - will issue you title insurance. And, defend your title.

This crisis is NOT yours!

Oddly, current owners, having valid titles to convey, might be able to sell out now where all the foreclosed competition is tied up in court. And, for more than they could have gotten recently.

Even more oddly, recent "investment" buyers, and the rest of U.S., who cannot re-sell or rent or eat their properties might be able to sue the foreclosed property sellers, and/or title cos, to get their money back, with damages. (Don't go telling all Those Attorneys about this one.)

Jeff, point me to even one (1) example of a title co refusing to insure any and all existing homes, other than a foreclosure. Take a deep breath, and relax. Please, so you can write to U.S. again.

And, John, forgive me for taking you back to Jan08 when there was NO non-agency funding, to July08 when there was NO funding for RE anywhere, at any price, from anybody - unless W placated China and "nationalized" FMae&FMac.

Oh, we know, John, what if the dog hadn't barked.

=========

Point well taken, however you are making two of them.

First, remember all property is a bundle of sticks. Bcuz of their own screw ups the current holder/mortgagee probably cannot "repossess" the property. Since their "secured interest" was not perfected, they "lost it" - figuratively & literally.

Second, that does NOT change their ability to collect the money. Contract law is not property law. Nor are either equity law. While they did loose their property rights to repossess, they still have the contractual rights to collect the money. However, there may be another "nice", little, common law, legal problem - he who asks equity must give equity.

If it can be shown that they intentionally committed fraud, they might be denied even their contractual rights of recovery. Now, wouldn't that be almost too delicious.

=============
Foreclosure Moratorium: What Does It Mean for the Housing Market?

============

Foreclosure Fraud 101: Why the System Risk + What Is a Note and Why Is It So Important? + Why Are Servicers So Bad at This Job? + How Could This Explode Into a Systemic Crisis? + The Necessity of Government Action and Ways Out of the Crisis

[mEDITate-OR:
ignore some very cogent explanations of this robo mortgage mess.

Below is a five part series, that will explain almost all of it for you.
---------

-----------

------------

---------------

==========

Foreclosure Fraud 101: Why the System Risk

http://seekingalpha.com/article/229142-foreclosure-fraud-101-why-the-system-risk

-----------------

Foreclosure Fraud 101: What Is a Note and Why Is It So Important?

http://seekingalpha.com/article/229587-foreclosure-fraud-101-what-is-a-note-and-why-is-it-so-important

-------------

Foreclosure Fraud 101: Why Are Servicers So Bad at This Job?

http://seekingalpha.com/article/229590-foreclosure-fraud-101-why-are-servicers-so-bad-at-this-job

----------------

Foreclosure Fraud 101: How Could This Explode Into a Systemic Crisis?

http://seekingalpha.com/article/229592-foreclosure-fraud-101-how-could-this-explode-into-a-systemic-crisis

--------------

Foreclosure Fraud 101: The Necessity of Government Action and Ways Out of the Crisis

http://seekingalpha.com/article/229743-foreclosure-fraud-101-the-necessity-of-government-action-and-ways-out-of-the-crisis?source=email

==========