Foreclosure Investigations = Delaying the Inevitable
You have to be impressed with the ability of the popular media to generate sound and fury over nothing. This time it’s over foreclosure paperwork.
That’s all its about – paperwork.
Now we have attorneys general calling for a national investigation. I’m guessing that most if not all of these guys are in elected positions.
Despite all the handwringing and allegations of evilness against the banks, two key facts remain unchanged: (1) The homeowners owe the banks the money and (2) they either can’t (or in the case of strategic defaults) won’t pay it.
It matters not how many investigations are conducted. Sooner or later the non-paying homeowners are going to lose their homes. For purposes of economic recovery, sooner is better. We want these homes on the market so that people with jobs and money can buy them. Concerns about paperwork will interfere with the resale process.
Does it matter that affidavits of default were robo-signed? Not if the homeowners were in default, which they are.
Has anyone come forward with evidence that someone robo-signed them into foreclosure on a loan that was current?
Some bank employees may have used unverified or even incorrect data to accelerate the foreclosure process. Shame on them and fire them if necessary, but please do not declare a moratorium on foreclosures. That would just facilitate more months of rent-free living by non-paying home dwellers and introduce yet another obstacle in the path of real estate recovery.