Now you can see why our Real Estate industry is in turmoil.
Many mortgage frauds all over the country. The only consolation, the crooks are getting prosecuted but too late for many of the banks and the mortgage companies who lost so much money already. This is bad for the lending industry.
This is only one of the many, many stories on Originator Times.
Broker Arrested for Scamming at Least 15 Million
Tuesday, November 20, 2007 -
By Staff Writer, Originator Times
STUART, FL – Matthew Bevan Cox was sentenced this week to 26 years and four months in jail and hit with $6 million in restitution for mortgage fraud. Cox was arrested in his Nashville, Tennessee home in November of 2006 and plead guilty to charges in April 2007. Cox had been on the run from police and the FBI after arrest warrants were issued in August of 2004 for conspiracy, stolen identification, mail and wire fraud, money laundering, and social security number fraud. At the time arrest warrants were issued, Cox was already on the run from Florida police for violating his probation for a prior incident in that state.
Cox worked as a mortgage broker and is suspected of running hundreds of mortgage-related scams in at least five states including Georgia, Florida, North Carolina, South Carolina, and Alabama with an associate that he met on Match.com. Reports indicate Cox got away with at least $15 million by defrauding mortgage companies and duping desperate sellers. The pair acted as though Cox was the client and his partner, Rebecca Marie Hauck, was a real estate agent. The duo scoped out MLS ads and pounced on those offering partial owner financing, only to leave the mortgage unpaid and sending the property into foreclosure.
Cox, who has not used his real name since 2003, used the names Maxwell Price, David Richard Freeman, Gerald Scott Cugno, Michael Shawn Shanahan, Gary Lee Sullivan, Michael John Eckert, Michael White, Kevin White, David White, and James Redd. At the time of his arrest, he was operating the Nashville Restoration Project.
http://originatortimes.com/content/templates/standard.aspx?articleid=2630&zoneid=1
Another story:
Fraud Lands Two Brokers and Insider in Prison
Wednesday, August 22, 2007 - By Staff Writer, Originator Times
Click to Review
NEWNAN, GA - Joseph White of Southern Lenders Mortgage and Michael Jones of Infinity Mortgage have both been convicted and sentenced for their participation in an $11 million fraud perpetrated against nBank, with the participation of a then nBank vice president, Ronald Walton.
White, Jones, and Walton operated an elaborate scheme whereby they diverted funds from a broker line of credit issued to Southern Lenders mortgage and Infinity Mortgage by nBank.
According to court documents, once White and Jones closed on transactions with their nBank credit lines, they then sold the same loans to other investors and then diverted the proceeds to pay personal and business expenses.
White diverted $3,700,000 in proceeds from 34 loans and Jones $1,835,000 from 23 loans.
The court found that Walton, then a senior vice president at nBank, managed the division of nBank responsible for broker lines of credit to mortgage brokers. The fraud perpetrated on nBank by White, Jones, and several additional brokers was carried out with the cooperation of Walton, who received commissions from nBank based upon the number of loans nBank funded for brokers. The fraud against nBank was facilitated by Walton knowingly assisting the brokers in circumventing the nBank security controls that were specifically in place to prevent such frauds.
“This case involved the defrauding of a federally insured bank by various mortgage brokers, aided by an insider who was an officer at the bank,” said United States Attorney David E. Nahmias. “The integrity of the banking system and soundness of the lending industry is of importance to all citizens.”
Walton was sentenced to serve over 8 years in federal prison, White will serve over 4 years, and Jones will serve over 3 years for their participation in the fraud
Many on the bottom of this page:
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There are many more stories on this site:
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Latest News and Opinion About Real Estate Around The USA.
Friday, February 8, 2008
The Good News.
I subscribed to Original Times Newsletter and I learn about the latest news in the Mortgage Loan industry.
Purchase Applications Up in Latest Survey
Wednesday, February 06, 2008 - Mortgage Bankers Association
WASHINGTON, D.C. - The Mortgage Bankers Association (MBA) released its Weekly Mortgage Applications Survey for the week ending February 1, 2008. The Market Composite Index, a measure of mortgage loan application volume, was 1086.6, an increase of 3.0 percent on a seasonally adjusted basis from 1054.9 one week earlier. On an unadjusted basis, the Index increased 4.4 percent compared with the previous week and was up 73.2 percent compared with the same week one year earlier.
The Refinance Index decreased 1.0 percent to 5054.0 from 5103.6 the previous week and the seasonally adjusted Purchase Index increased 12.0 percent to 405.3 from 362.0 one week earlier. The Conventional Purchase Index increased 10.4 percent while the Government Purchase Index (largely FHA) increased 20.9 percent. On an unadjusted basis, the Purchase Index increased 19.1 percent to 386.5 from 324.4 the previous week. The seasonally adjusted Conventional Index increased 1.0 percent to 1552.6 from 1537.6 the previous week, and the seasonally adjusted Government Index increased 23.7 percent to 309.5 from 250.2 the previous week.
The four week moving average for the seasonally adjusted Market Index is up 10.4 percent to 1007.4 from 912.2. The four week moving average is down 0.5 percent to 417.1 from 419.3 for the Purchase Index, while this average is up 16.7 percent to 4477.8 from 3837.9 for the Refinance Index.
The refinance share of mortgage activity decreased to 69.2 percent of total applications from 73.0 percent the previous week. The adjustable-rate mortgage (ARM) share of activity increased to 8.8 from 8.6 percent of total applications from the previous week.
The average contract interest rate for 30-year fixed-rate mortgages increased to 5.61 percent from 5.60 percent, with points decreasing to 0.98 from 1.06 (including the origination fee) for 80 percent loan-to-value (LTV) ratio loans.
The average contract interest rate for 15-year fixed-rate mortgages increased to 5.09 percent from 5.04 percent, with points decreasing to 0.92 from 1.12 (including the origination fee) for 80 percent LTV loans.
The average contract interest rate for one-year ARMs decreased to 5.62 percent from 5.70 percent, with points remaining unchanged at 0.97 (including the origination fee) for 80 percent LTV loans.
http://originatortimes.com/content/templates/standard.aspx?articleid=2813&zoneid=3
Purchase Applications Up in Latest Survey
Wednesday, February 06, 2008 - Mortgage Bankers Association
WASHINGTON, D.C. - The Mortgage Bankers Association (MBA) released its Weekly Mortgage Applications Survey for the week ending February 1, 2008. The Market Composite Index, a measure of mortgage loan application volume, was 1086.6, an increase of 3.0 percent on a seasonally adjusted basis from 1054.9 one week earlier. On an unadjusted basis, the Index increased 4.4 percent compared with the previous week and was up 73.2 percent compared with the same week one year earlier.
The Refinance Index decreased 1.0 percent to 5054.0 from 5103.6 the previous week and the seasonally adjusted Purchase Index increased 12.0 percent to 405.3 from 362.0 one week earlier. The Conventional Purchase Index increased 10.4 percent while the Government Purchase Index (largely FHA) increased 20.9 percent. On an unadjusted basis, the Purchase Index increased 19.1 percent to 386.5 from 324.4 the previous week. The seasonally adjusted Conventional Index increased 1.0 percent to 1552.6 from 1537.6 the previous week, and the seasonally adjusted Government Index increased 23.7 percent to 309.5 from 250.2 the previous week.
The four week moving average for the seasonally adjusted Market Index is up 10.4 percent to 1007.4 from 912.2. The four week moving average is down 0.5 percent to 417.1 from 419.3 for the Purchase Index, while this average is up 16.7 percent to 4477.8 from 3837.9 for the Refinance Index.
The refinance share of mortgage activity decreased to 69.2 percent of total applications from 73.0 percent the previous week. The adjustable-rate mortgage (ARM) share of activity increased to 8.8 from 8.6 percent of total applications from the previous week.
The average contract interest rate for 30-year fixed-rate mortgages increased to 5.61 percent from 5.60 percent, with points decreasing to 0.98 from 1.06 (including the origination fee) for 80 percent loan-to-value (LTV) ratio loans.
The average contract interest rate for 15-year fixed-rate mortgages increased to 5.09 percent from 5.04 percent, with points decreasing to 0.92 from 1.12 (including the origination fee) for 80 percent LTV loans.
The average contract interest rate for one-year ARMs decreased to 5.62 percent from 5.70 percent, with points remaining unchanged at 0.97 (including the origination fee) for 80 percent LTV loans.
http://originatortimes.com/content/templates/standard.aspx?articleid=2813&zoneid=3
Tuesday, February 5, 2008
Prediction for 2008.
1. Seattle, Wash.
Median home price: $395,000
Annual price change from 2006: 8.9%
Projected price change to 2008: 3.09%
2. Pittsburgh, Pa.Median home price: $123,500
Annual price change from 2006: 2.7%
Projected price change to 2008: 3.37%
Columbus, Ohio
Median home price: $153,900
Annual price change from 2006: -1.2%
Projected price change to 2008: 3.49%
4. Dallas, Texas
Median home price: $156,500
Annual price change from 2006: 1.7%
Projected price change to 2008: 5.45%
5. St. Louis, Mo.
Median home price: $157,200
Annual price change from 2006: 2.7%
Projected price change to 2008: 3.01%
http://realestate.aol.com
Median home price: $395,000
Annual price change from 2006: 8.9%
Projected price change to 2008: 3.09%
2. Pittsburgh, Pa.Median home price: $123,500
Annual price change from 2006: 2.7%
Projected price change to 2008: 3.37%
Columbus, Ohio
Median home price: $153,900
Annual price change from 2006: -1.2%
Projected price change to 2008: 3.49%
4. Dallas, Texas
Median home price: $156,500
Annual price change from 2006: 1.7%
Projected price change to 2008: 5.45%
5. St. Louis, Mo.
Median home price: $157,200
Annual price change from 2006: 2.7%
Projected price change to 2008: 3.01%
http://realestate.aol.com
Blue-Chip Real Estate Investment Markets Forbes
If you can dream it....
FROM AOL REAL ESTATE (FORBES)
New York, N.Y.
Fifth Avenue And 70th Street
Median Home Sale Price: $2.45 million
Price Growth Since 1990: 325 percent
Chicago, Ill.
Lake Shore Drive And Route 41
Median Home Sale Price: $1.91 million
Price Growth Since 1990: 236 percent
Dallas, Texas
University Park
Median Home Sale Price: $898,640
Price Growth Since 1990: 148 percent
Philadelphia, Penn.
Walnut Street And Third Street
Median Home Sale Price: $914,115
Price Growth Since 1990: 184 percent
San Francisco, Calif.
El Camino Del Mar And Lake Street
Median Home Sale Price: $2.2 million
Price Growth Since 1990: 282 percent
http://realestate.aol.com/
FROM AOL REAL ESTATE (FORBES)
New York, N.Y.
Fifth Avenue And 70th Street
Median Home Sale Price: $2.45 million
Price Growth Since 1990: 325 percent
Chicago, Ill.
Lake Shore Drive And Route 41
Median Home Sale Price: $1.91 million
Price Growth Since 1990: 236 percent
Dallas, Texas
University Park
Median Home Sale Price: $898,640
Price Growth Since 1990: 148 percent
Philadelphia, Penn.
Walnut Street And Third Street
Median Home Sale Price: $914,115
Price Growth Since 1990: 184 percent
San Francisco, Calif.
El Camino Del Mar And Lake Street
Median Home Sale Price: $2.2 million
Price Growth Since 1990: 282 percent
http://realestate.aol.com/
Wednesday, January 23, 2008
Refi applications continue their rebound
Refi applications continue their rebound
Interest rate on 15-year fixed-rate mortgage falls below 5%, MBA data show
By Amy Hoak, MarketWatch
Last update: 7:03 a.m. EST Jan. 23, 2008Print E-mail RSS Disable Live Quotes
CHICAGO (MarketWatch) -- The volume of mortgage applications filed last week rose a seasonally adjusted 8.3% compared to the prior week as mortgage interest rates continued their decline, the Mortgage Bankers Association reported on Wednesday.
Refinance applications drove the increase: Applications to line up new financing on an existing loan rose 16.9% during the week ended Jan. 18, compared with the previous week, according to the MBA's weekly survey.
"Refinance applications are up 92% since the beginning of November and purchase applications are up 7%," said Jay Brinkmann, the MBA's vice president of research and economics.
"With tighter credit conditions, we do not know how many of these applications will become loans, but it is clear that borrowers are responding to the 40- to 80-basis-point drop in rates we have seen since Nov. 2," he said in a news release.
Week-to-week applications for mortgages to purchase a home decreased a seasonally adjusted 4.6%, the MBA said.
Total applications were up 63.7%, compared with the same week in 2007. The four-week moving average for all loans was up 13.7%.
Fully 66% of all applications were for refinance loans in the latest week, an increase from 62.7% the previous week. Applications for adjustable-rate mortgages accounted for 9.3%, up from 9.2% the previous week.
The average interest rate for the 15-year fixed-rate mortgage, a popular option for homeowners seeking to refinance, was 4.96% last week, down from 5.07% the previous week. The 30-year fixed-rate mortgage averaged 5.49% last week, down from 5.62% the previous week.
The rate on a one-year ARM averaged 5.51%, down from 5.77%.
The MBA survey covers about half of all U.S. retail residential mortgage applications.
Amy Hoak is a MarketWatch reporter based in Chicago
Interest rate on 15-year fixed-rate mortgage falls below 5%, MBA data show
By Amy Hoak, MarketWatch
Last update: 7:03 a.m. EST Jan. 23, 2008Print E-mail RSS Disable Live Quotes
CHICAGO (MarketWatch) -- The volume of mortgage applications filed last week rose a seasonally adjusted 8.3% compared to the prior week as mortgage interest rates continued their decline, the Mortgage Bankers Association reported on Wednesday.
Refinance applications drove the increase: Applications to line up new financing on an existing loan rose 16.9% during the week ended Jan. 18, compared with the previous week, according to the MBA's weekly survey.
"Refinance applications are up 92% since the beginning of November and purchase applications are up 7%," said Jay Brinkmann, the MBA's vice president of research and economics.
"With tighter credit conditions, we do not know how many of these applications will become loans, but it is clear that borrowers are responding to the 40- to 80-basis-point drop in rates we have seen since Nov. 2," he said in a news release.
Week-to-week applications for mortgages to purchase a home decreased a seasonally adjusted 4.6%, the MBA said.
Total applications were up 63.7%, compared with the same week in 2007. The four-week moving average for all loans was up 13.7%.
Fully 66% of all applications were for refinance loans in the latest week, an increase from 62.7% the previous week. Applications for adjustable-rate mortgages accounted for 9.3%, up from 9.2% the previous week.
The average interest rate for the 15-year fixed-rate mortgage, a popular option for homeowners seeking to refinance, was 4.96% last week, down from 5.07% the previous week. The 30-year fixed-rate mortgage averaged 5.49% last week, down from 5.62% the previous week.
The rate on a one-year ARM averaged 5.51%, down from 5.77%.
The MBA survey covers about half of all U.S. retail residential mortgage applications.
Amy Hoak is a MarketWatch reporter based in Chicago
Refi applications continue their rebound
Refi applications continue their rebound
Interest rate on 15-year fixed-rate mortgage falls below 5%, MBA data show
By Amy Hoak, MarketWatch
Last update: 7:03 a.m. EST Jan. 23, 2008Print E-mail RSS Disable Live Quotes
CHICAGO (MarketWatch) -- The volume of mortgage applications filed last week rose a seasonally adjusted 8.3% compared to the prior week as mortgage interest rates continued their decline, the Mortgage Bankers Association reported on Wednesday.
Refinance applications drove the increase: Applications to line up new financing on an existing loan rose 16.9% during the week ended Jan. 18, compared with the previous week, according to the MBA's weekly survey.
"Refinance applications are up 92% since the beginning of November and purchase applications are up 7%," said Jay Brinkmann, the MBA's vice president of research and economics.
"With tighter credit conditions, we do not know how many of these applications will become loans, but it is clear that borrowers are responding to the 40- to 80-basis-point drop in rates we have seen since Nov. 2," he said in a news release.
Week-to-week applications for mortgages to purchase a home decreased a seasonally adjusted 4.6%, the MBA said.
Total applications were up 63.7%, compared with the same week in 2007. The four-week moving average for all loans was up 13.7%.
Fully 66% of all applications were for refinance loans in the latest week, an increase from 62.7% the previous week. Applications for adjustable-rate mortgages accounted for 9.3%, up from 9.2% the previous week.
The average interest rate for the 15-year fixed-rate mortgage, a popular option for homeowners seeking to refinance, was 4.96% last week, down from 5.07% the previous week. The 30-year fixed-rate mortgage averaged 5.49% last week, down from 5.62% the previous week.
The rate on a one-year ARM averaged 5.51%, down from 5.77%.
The MBA survey covers about half of all U.S. retail residential mortgage applications.
Amy Hoak is a MarketWatch reporter based in Chicago
Interest rate on 15-year fixed-rate mortgage falls below 5%, MBA data show
By Amy Hoak, MarketWatch
Last update: 7:03 a.m. EST Jan. 23, 2008Print E-mail RSS Disable Live Quotes
CHICAGO (MarketWatch) -- The volume of mortgage applications filed last week rose a seasonally adjusted 8.3% compared to the prior week as mortgage interest rates continued their decline, the Mortgage Bankers Association reported on Wednesday.
Refinance applications drove the increase: Applications to line up new financing on an existing loan rose 16.9% during the week ended Jan. 18, compared with the previous week, according to the MBA's weekly survey.
"Refinance applications are up 92% since the beginning of November and purchase applications are up 7%," said Jay Brinkmann, the MBA's vice president of research and economics.
"With tighter credit conditions, we do not know how many of these applications will become loans, but it is clear that borrowers are responding to the 40- to 80-basis-point drop in rates we have seen since Nov. 2," he said in a news release.
Week-to-week applications for mortgages to purchase a home decreased a seasonally adjusted 4.6%, the MBA said.
Total applications were up 63.7%, compared with the same week in 2007. The four-week moving average for all loans was up 13.7%.
Fully 66% of all applications were for refinance loans in the latest week, an increase from 62.7% the previous week. Applications for adjustable-rate mortgages accounted for 9.3%, up from 9.2% the previous week.
The average interest rate for the 15-year fixed-rate mortgage, a popular option for homeowners seeking to refinance, was 4.96% last week, down from 5.07% the previous week. The 30-year fixed-rate mortgage averaged 5.49% last week, down from 5.62% the previous week.
The rate on a one-year ARM averaged 5.51%, down from 5.77%.
The MBA survey covers about half of all U.S. retail residential mortgage applications.
Amy Hoak is a MarketWatch reporter based in Chicago
Friday, January 18, 2008
Mortgage Demand Reaches 4-Year High
Daily Real Estate News | January 16, 2008
Mortgage Demand Reaches 4-Year High
Demand for mortgages surged last week, hitting its highest level in nearly four years as interest rates fell, the Mortgage Bankers Association reported today.
Mortgage application volume reached 906.4, an increase of 28.4 percent on a seasonally adjusted basis, up from 706 one week earlier. On an unadjusted basis, the index increased 64.8 percent compared with the previous week, which was shortened by the New Year holiday and was up 39 percent compared with the same week a year ago.
The refinance share of mortgage activity increased to 62.7 percent of total applications, up from 57.7 percent the previous week.
Adjustable-rate mortgages were only 9.2 percent of total applications.
Meanwhile, mortgage rates slipped during the week. They were:
30-year fixed-rate mortgages decreased to 5.62 percent from 5.73 percent.
15-year fixed-rate mortgages decreased to 5.07 percent from 5.21 percent.
1-year ARMs decreased to 5.77 percent from 6.04 percent
Source: Mortgage Bankers Association (01/16/08)
Mortgage Demand Reaches 4-Year High
Demand for mortgages surged last week, hitting its highest level in nearly four years as interest rates fell, the Mortgage Bankers Association reported today.
Mortgage application volume reached 906.4, an increase of 28.4 percent on a seasonally adjusted basis, up from 706 one week earlier. On an unadjusted basis, the index increased 64.8 percent compared with the previous week, which was shortened by the New Year holiday and was up 39 percent compared with the same week a year ago.
The refinance share of mortgage activity increased to 62.7 percent of total applications, up from 57.7 percent the previous week.
Adjustable-rate mortgages were only 9.2 percent of total applications.
Meanwhile, mortgage rates slipped during the week. They were:
30-year fixed-rate mortgages decreased to 5.62 percent from 5.73 percent.
15-year fixed-rate mortgages decreased to 5.07 percent from 5.21 percent.
1-year ARMs decreased to 5.77 percent from 6.04 percent
Source: Mortgage Bankers Association (01/16/08)
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