Foreclosure Defense and Offense: Evolving Mortgage Audit Criteria

The start of every case, as I see it, is the collection of facts and documents, so that a complete mortgage evaluation and status report can be prepared by an independent third party who can serve as an expert witness if the need arises.

The current “cottage industry” of TILA audits is insufficient but a necessary part of the entire package that needs to be completed in order to properly advise a homeowner, as well as impressing an attorney with the validity of claims to be made both defensively and offensively.

This requires not only a thorough mortgage audit but a case evaluation from the standpoint of issues raised by securitization of loans. The current Qualified Written Request form being used by most services dates back prior to securitization, as does the methods and analysis of the of the mortgage process in a specific transaction.

The objective is to get the case in position where it can be settled without litigation. This is not always possible, but there are a number of forms, letters and strategies I have either created or accepted from submissions of other lawyers, in which the Trustee, the mortgage broker, the appraiser, the escrow agent, the title agent, and the “lender” are put on notice that there is a damage claim that might apply against them and that might be covered by errors and omissions insurance policies or other insurance.

The failure of mitigators, auditors, and lawyers to see these transactions within the context of table-funded loans, assignments, pooling and securitization is a serious flaw in the advice and strategies employed.

You can play a part in this movement in which homeowners assert their rightful claims to be restored to the position they were in before the mortgage and appraisal and securities fraud occurred. While we are dedicated, we are not rich. Hence I have brought in some people who are putting my philanthropic efforts into a business model in order to pay those who wish to help but cannot afford to do so without compensation.

I designed a package of services that in my opinion meets the required criteria for the process to commence — and to enhance the prospect of a favorable result for the homeowner. While I have spoken with and reviewed the work of dozens of mitigators, auditors and lawyers, getting them to accept the criteria, which requires more work and less profit, has been a challenge. However we have one group thus far that is doing the audit package work as I have asked and I am assisting them. And we have many more attorneys now than we had even one month ago.

Tags: audit, foreclosure defense, foreclosure offense, lawyers, TILA
Posted in bubble, Eviction |