Tuesday, April 10, 2007

Why are we having record foreclosures in Miami Dade County? Fraud or Incompetence? by Geniusofdespair

I picked a Miami Dade foreclosure out at random and researched the person and the property.

The guy in foreclosure had a federal tax lien and judgment in 2005. Which means the guy probably had trash credit. Yet it appears he bought three properties totaling $750,000 with no money down in a one month period. Here is the whole story...

On 3/30/06 he paid $350,000 for a property and according to County public records, he then got two mortgages from Aames FD Corp.: one for $280,000 and the other for $70,000. Which means he financed 100% of the cost. This is the property in foreclosure now.

Then 2 weeks later this same guy bought a second property (4/12/2006) for $170,000. On this one he again got two mortgages from Long Beach Mortgage Company this time: $136,000 and another for $34,000. Again, he financed the exact price of the sale.

A few days later he bought a third property, on 4/15/2006, for $230,000. He got 2 loans from Hdmc Funding Corp., one for $184,000 and one for $46,000, the exact price of the sale.

So in a one month period he bought 3 properties valued at $750,000 with nothing down and he did not have sterling credit from what I could see.

WHAT IS GOING ON HERE?

I wonder if there is fraud in any of these deals? How could this happen? And I would like to know why, in the foreclosure documents we have a new lender: Avelo Mortgage, L.L.C. Doesn’t anyone examine these mortgages to see if they are worthy deals when they get assigned? All three of the above mortgages appear to have been assigned to other lenders.

This mortgage monkey business leading to foreclosures is going to crash the housing market.

4 comments:

Anonymous said...

If he has tax liens, how did he get the first mortgage unless he bribed the mortgage officer? Could he have bought all three properties in quick succession, if the computer system in the county, updating title transfers, did not process the applications fast enough for the subsequent banks to pick up? And if G.O.D. picked this guy up randomly, how many others are there, out there?

It is extremely troubling to imagine this scenario replicating and yet it seems a scam of unprecedented proportions...

Geniusofdespair said...

agree.

He had a federal tax lien of $2,188.11 assessed in 2002 that was recorded as a judgement as of 9/5/2005

Anonymous said...

There must be a database somewhere in the county with title records to query transactions for same address/property owner within a specific date range.

This can't be rocket science, or, finding needles in a haystack.

If there is widespread fraud, a good computer programmer should be able to sort those records with a few key strokes ... which is also why some property owners fake their middle names, or, use initials on some transactions but not others, or, somehow transpose numbers, or, use maiden names or aliases. And some of these might even be elected officials.

Anonymous said...

Hi,

Question:

How can you know of the result of a foreclosure sales?
I'm interested in knowing for how much the properties are sold

Thanks