Cruel Hope: the Practices of the Home Builders and Their Mortgage Subsidiaries

Nov 7, 2010

Editor’s Comment: This paper reveals what I have been writing about for over 3 years. The Developers were not simply the innocent beneficiaries of Wall Street’s scheme. They were a necessary component. For half of all mortgages that were new-home purchases, Developers were dependent upon and made sure that the loan was brokered in a way that guaranteed “approval” (in fact there was no approval or underwriting process) on loans that could not possibly work, using appraisals based on data where the source was exclusively the Developer. As you can see, Lennar is about at the top of the list.

LAWYERS: Developer’s should not be omitted from your menu of defendants when you sue for damages or even equitable relief. The facts of the developer’s involvement may even have a direct bearing on the issue of rescission. Tendering the house back to the developer as a co-venturer in an illicit scheme may open some doors that Wall Street doesn’t want anyone to know about.

Lennar was my builder. They owned the originiator, paid the credits, made $25,000 on the loan, was paid for the insurance, was the trustee of the deed of trust, owned the title and excrow company, was the servicer, sold the note, and the list goes on.
Affiliates are:

here:http://www.scribd.com/doc/41291909/Lennar-Subsidiaries-Universal-American-Mortgage-Company-North-American-Title-Company

Cruel Hope written about this very topic:

http://www.scribd.com/doc/37992667/Cruel-Hope-the-Practices-of-the-Home-Builders-and-Their-Mortgage-Subsidiaries-in-California-Lennar-Universal-American-Mortgage-Company-of-California-Kb-Homes-Dr-Horton

Lennar in a study in California by me perfored nearly 70 per cent of sales of homes with their affiliated subsidiary Universal American Mortgage. They additionally recieved $14,000 rebates from a Mello Roos tax that they as one of the land owners voted to encumber on the homes. They got the credits for water school fee, sewer fees when they pulled the builder permits.

This is a complicated story but I have made a website of my community with the history to prove it. Was able to get $3,7 million returned for this tax. Collected two surety bonds for a total of $240,000 from Suncal the master developer. Working to get more.

Here is the community website with all the education.

https://sites.google.com/site/cfd20043melloroosspecialtax/

I could go on and on as I feel this is the key in California. Lennar is a teflon as they get away with everything.

brian davies