Mortgage Mess Continues
If you watched the recent 60 minutes segment (you can watch it here) on the continued mortgage mess – this time focusing on the false documentation and fraud that has penetrated the mortgage industry over the recent years – you know that the industry is anything but out of the woods.
A few years ago, we might have just worried that too many people borrowed too much, and a de-leveraging needed to occur. Now, we know that is the case, but there’s much more to the story.
Incredibly, an unknown number (thousands? millions?) of homeowners can’t get accurate, official documentation as to who owns their loan. I encourage you to watch the 60 minutes segment, and then consider calling your mortgage servicing company to request official documentation such as the assignment or mortgage letter. Again, watch the 60 minutes segment linked above.
It will take years and an insane amount of money to “clean up” the residential housing and mortgage industries. Years. From now.
This thing got so out of control that it is hard to fathom. How any regulators have kept their jobs through this mess is atrocious. Of course, regulators will always fail to regulate appropriately. The only regulator that really works is failure itself. But failing in a free market economy is just mean and therefore, unacceptable.
CreditLoan has more information on debt and solutions to too much debt in one’s life.
Side note: I know a few people personally that are going through this process, and playing a bit of hard ball with mortgage servicing companies. I will update my readers as to how it is going, and hopefully it might help you depending on your situation.