One Couple’s Fight With the EPA & What it Could Mean for Property Rights
Several conservative members of the Supreme Court criticized the Environmental Protection Agency (EPA) on Monday for heavy-handed enforcement of rules affecting homeowners after the government told an Idaho couple they couldn’t challenge an order declaring their future home site a “protected wetlands.”
The EPA said that Mike and Chantell Sackett illegally filled in most of their 0.63-acre lot with dirt and rocks in preparation for building a home. The agency said the property is a wetland that cannot be disturbed without a permit. The Sacketts had none.
Naturally, the Sacketts decided to challenge the EPA and their fight has brought them all the way to the Supreme Court. Should they be successful in their crusade against the federal agency, they would set a groundbreaking precedent.
“The decision in the Supreme Court case Sackett v. EPA, due later this spring, could very well affect the meaning of property rights and due process in the United States,” reason.tv reports.
But let’s revisit how the Sacketts got caught up in this mess in the first place.
See Reason‘s presentation on the Sackett’s story (via reason.tv):
“I remember coming home, told my mom and dad that I was going to move to Priest Lake, and they just said, ‘Oh, no you’re not.’ And I said, ‘Oh yeah. Yeah I am,’” Sackett told Reason.
Sackett and his wife, Chantelle Sackett, bought a plot of land near Priest Lake and started to build their home.
“After securing the necessary permits from local authorities, the Sacketts were only three days into the process of clearing the land when officials from the EPA showed up and put their dreams on hold,” Reason notes.
Three EPA officials showed up, said they believed the land was wetlands, asked for the appropriate permits, and told the workers to stop. Six months later, the EPA sent the order that triggered the court case.
“The EPA informed the Sacketts that they suspected they were building on wetlands and had to cease work immediately,” Reason reports, “The Sacketts were stunned because their property was a completely landlocked lot within an existing subdivision. When Chantelle Sackett asked for evidence, the EPA pointed her to the National Fish and Wildlife Wetlands Inventory, which showed them that their lot… was not on an existing wetland.”
Wait. What?
Yep, according to the Wetlands Inventory, the Sackett’s property wasn’t on existing wetlands. So how did the EPA respond to this?
“The EPA responded [by issuing] what’s known as a compliance order, which said that the Sacketts were in violation of the Clean Water Act and subject to fines of up to $37,500 a day,” Reason reports.
“You go to bed with that on your mind every night,” said Mike Sackett, who owns a contracting company. “It’s been painful personally. It’s been painful on our business.”The Sacketts tried to settle the dispute in court but lost based on the EPA’s claim that a “compliance order is nothing more than a warning and that they cannot be challenged until they actually enforce the fines,” which, by the way, were getting bigger with each day.
“The only way the Sacketts could get judicial review that way, was by ignoring the compliance order,” said Damien Schiff, attorney for the Pacific Legal Foundation. “EPA still might just sit on its hands and let the possible fines pile up.”
Despite losing to the EPA in lower courts, Schiff and the Pacific Legal Foundation took the case to the Supreme Court, The Blaze reported back in January. Some readers might remember that Justices Scalia, Roberts, and Alito accused the EPA of acting with an “outrageous” “high-handedness,” and blasted the entire ordeal by saying “this kind of thing can’t happen in the United States.”
“I was surprised by some of the questions that came from the justices,” said Mike Sackett. “They were questions that we would’ve asked.”
Should the Sacketts win, what would this mean?
“If the Sacketts do win in the Supreme Court, they will then have the opportunity to actually challenge the EPA’s compliance order in the lower courts,” Reason explains. “Just having the opportunity to challenge that, says Schiff, would be a major victory for property rights and for due process of law.”
Thursday, March 8, 2012
Thursday, February 23, 2012
I guess it's not only just me.....
NEW YORK (CNNMoney) -- Five years after the housing bubble burst, America's wealthiest families are now losing their homes to foreclosure at a faster rate than the rest of the country -- and many of them are doing so voluntarily.
Over 36,000 homes valued at $1 million or more were foreclosed on -- or at least served with a notice of default -- in 2011, according to data compiled by RealtyTrac, which tracks foreclosures. While that's less than 2% of all foreclosures nationwide, it represents a much bigger share of foreclosure activity than in previous years.
"These properties are accounting for a bigger piece of the foreclosure pie," said Daren Blomquist, vice president of RealtyTrac.
Out of all foreclosure activity, the share of foreclosures on properties valued at $1 million or more has risen by 115% since 2007 while the share of multi-million dollar foreclosures -- or homes valued at more than $2 million -- jumped by 273%. Meanwhile, the share of foreclosures on mid-range properties valued between $500,000 and $1 million fell by 21%.
Until recently, many homeowners at the high end of the housing market were able to postpone the foreclosure process, Blomquist explained. With other assets and alternatives, "they had more financial means to hold out against default."
In addition, lenders are typically more amenable to working with homeowners that have other resources, said Ron Shuffield, president of Esslinger-Wooten-Maxwell, a real-estate firm in Miami where homes priced over $1 million represented 9% of all foreclosures last year.
But with a recovery in the housing market still years away, foreclosure has turned out to be a worthwhile option after all. Saddled with bloated mortgages after a long run up in property values, many high-end homeowners have chosen to pursue a "strategic default." Even though they can afford the monthly mortgage payments, they still decide to walk away from their home because they owe more on the property than it is worth.
"In the lower-priced houses you'll see more people defaulting because they can't afford the payments and it's a choice between feeding their family and paying the mortgage on a home that's under water," said Stuart Vener, a national real estate and mortgage expert with the Florida-based Wilshire Holding Group.
"In million-dollar homes, you're looking at people who can afford it, but they have to make a business decision: Does it make sense to make payments on a mortgage when the home is worth less than they owe?" he said. In many cases, it often makes more financial sense to walk away.
0:00 / 2:59 Inside Florida's foreclosure crisis
At least they can take their time packing up all of their belongings. On average, it takes about 348 days for a foreclosure to be completed, Blomquist said. "They may get almost a year of free housing out of the deal."
But don't expect a few depressed mansions to bring down the neighborhood. A single foreclosure in an otherwise wealthy area is unlikely to impact surrounding values, Blomquist said.
"You're not going to see the weeds growing," Vener added. But there will be an opportunity for buyers to snatch up these impressive houses at bargain basement prices, he said, which could provide a much-needed boost to sales overall. "In a good way, this is going to drive turnover," he said.
Over 36,000 homes valued at $1 million or more were foreclosed on -- or at least served with a notice of default -- in 2011, according to data compiled by RealtyTrac, which tracks foreclosures. While that's less than 2% of all foreclosures nationwide, it represents a much bigger share of foreclosure activity than in previous years.
"These properties are accounting for a bigger piece of the foreclosure pie," said Daren Blomquist, vice president of RealtyTrac.
Out of all foreclosure activity, the share of foreclosures on properties valued at $1 million or more has risen by 115% since 2007 while the share of multi-million dollar foreclosures -- or homes valued at more than $2 million -- jumped by 273%. Meanwhile, the share of foreclosures on mid-range properties valued between $500,000 and $1 million fell by 21%.
Until recently, many homeowners at the high end of the housing market were able to postpone the foreclosure process, Blomquist explained. With other assets and alternatives, "they had more financial means to hold out against default."
In addition, lenders are typically more amenable to working with homeowners that have other resources, said Ron Shuffield, president of Esslinger-Wooten-Maxwell, a real-estate firm in Miami where homes priced over $1 million represented 9% of all foreclosures last year.
But with a recovery in the housing market still years away, foreclosure has turned out to be a worthwhile option after all. Saddled with bloated mortgages after a long run up in property values, many high-end homeowners have chosen to pursue a "strategic default." Even though they can afford the monthly mortgage payments, they still decide to walk away from their home because they owe more on the property than it is worth.
"In the lower-priced houses you'll see more people defaulting because they can't afford the payments and it's a choice between feeding their family and paying the mortgage on a home that's under water," said Stuart Vener, a national real estate and mortgage expert with the Florida-based Wilshire Holding Group.
"In million-dollar homes, you're looking at people who can afford it, but they have to make a business decision: Does it make sense to make payments on a mortgage when the home is worth less than they owe?" he said. In many cases, it often makes more financial sense to walk away.
0:00 / 2:59 Inside Florida's foreclosure crisis
At least they can take their time packing up all of their belongings. On average, it takes about 348 days for a foreclosure to be completed, Blomquist said. "They may get almost a year of free housing out of the deal."
But don't expect a few depressed mansions to bring down the neighborhood. A single foreclosure in an otherwise wealthy area is unlikely to impact surrounding values, Blomquist said.
"You're not going to see the weeds growing," Vener added. But there will be an opportunity for buyers to snatch up these impressive houses at bargain basement prices, he said, which could provide a much-needed boost to sales overall. "In a good way, this is going to drive turnover," he said.
Thursday, February 9, 2012
Nailing the Banks
By Jim Puzzanghera This post has been corrected, as indicated below.
February 9, 2012, 7:02 a.m.
Reporting from Washington— Federal and state officials on Thursday announced a landmark $25-billion agreement with the nation’s five largest mortgage servicers to settle investigations involving foreclosure abuses and try to stabilize the housing market.The deal would give $17 billion in relief to current homeowners, mostly by reducing the amount of principal they owe on their mortgages.An additional $5 billion would be paid in cash to California and more than 40 other states as restitution for foreclosure paperwork problems and other improprieties by the servicers in the foreclosure process. Officials said hundreds of thousands of homeowners would probably get $1,700 to $2,000 each under that part of the deal. About $1.5 billion of the $5 billion would be distributed directly to people whose homes were foreclosed on from 2008 through 2011.In addition, the five servicers -- Bank of America Corp., JPMorgan Chase & Co., Wells Fargo & Co., Citigroup Inc. and Ally Financial Inc. -- agreed to spend about $3 billion to refinance about 1 million existing mortgages, most of those likely to be for homeowners whose properties are worth less than they owe on their loans.The $3 billion is the amount the servicers would lose on the refinancings, not the total amount of principal to be written down, which officials expect will be much larger.And as part of the deal, $1 billion will come from one of the servicers to settle other outstanding claims.Federal and state officials will announce the settlement this morning. Iowa Atty. Gen. Tom Miller, who led the more-than-year-long negotiations will join U.S. Atty. General Eric Holder, Housing and Urban Development Secretary Shaun Donovan and other officials at a Washington news conference.California Atty. Gen. Kamala D. Harris, who was one of the last state holdouts, will announce the state’s participation during a Los Angeles news conference Thursday morning."California families will finally see substantial relief after experiencing so much pain from the mortgage crisis," Harris said in a statement Thursday morning. "Hundreds of thousands of homeowners will directly benefit from this California commitment."Federal and state officials will try to get another nine large mortgage servicers to sign on to the settlement, which could increase the deal to $30 billion.The servicers will get various credits for actions they take as part of the settlement, which could increase the total amount of assistance to homeowners.The complex series of credits are designed to encourage the servicers to make payments over the next year to speed assistance to struggling homeowners and quickly aid the housing market. Under the deal with the five largest servicers, the credits could result in a total of $40 billion in relief to homeowners. If the other nine servicers sign on to the deal, the total relief could reach $45 billion.Harris said Californians could receive up to $18 billion in assistance from the settlement.[For the record, 10:22 a.m. Feb. 9: An earlier version of this post said the mortgage foreclosure settlement totaled $26 billion, based on a figure from the Department of Housing and Urban Development. The department has revised the total to $25 billion.]
Copyright © 2012, Los Angeles Times
February 9, 2012, 7:02 a.m.
Reporting from Washington— Federal and state officials on Thursday announced a landmark $25-billion agreement with the nation’s five largest mortgage servicers to settle investigations involving foreclosure abuses and try to stabilize the housing market.The deal would give $17 billion in relief to current homeowners, mostly by reducing the amount of principal they owe on their mortgages.An additional $5 billion would be paid in cash to California and more than 40 other states as restitution for foreclosure paperwork problems and other improprieties by the servicers in the foreclosure process. Officials said hundreds of thousands of homeowners would probably get $1,700 to $2,000 each under that part of the deal. About $1.5 billion of the $5 billion would be distributed directly to people whose homes were foreclosed on from 2008 through 2011.In addition, the five servicers -- Bank of America Corp., JPMorgan Chase & Co., Wells Fargo & Co., Citigroup Inc. and Ally Financial Inc. -- agreed to spend about $3 billion to refinance about 1 million existing mortgages, most of those likely to be for homeowners whose properties are worth less than they owe on their loans.The $3 billion is the amount the servicers would lose on the refinancings, not the total amount of principal to be written down, which officials expect will be much larger.And as part of the deal, $1 billion will come from one of the servicers to settle other outstanding claims.Federal and state officials will announce the settlement this morning. Iowa Atty. Gen. Tom Miller, who led the more-than-year-long negotiations will join U.S. Atty. General Eric Holder, Housing and Urban Development Secretary Shaun Donovan and other officials at a Washington news conference.California Atty. Gen. Kamala D. Harris, who was one of the last state holdouts, will announce the state’s participation during a Los Angeles news conference Thursday morning."California families will finally see substantial relief after experiencing so much pain from the mortgage crisis," Harris said in a statement Thursday morning. "Hundreds of thousands of homeowners will directly benefit from this California commitment."Federal and state officials will try to get another nine large mortgage servicers to sign on to the settlement, which could increase the deal to $30 billion.The servicers will get various credits for actions they take as part of the settlement, which could increase the total amount of assistance to homeowners.The complex series of credits are designed to encourage the servicers to make payments over the next year to speed assistance to struggling homeowners and quickly aid the housing market. Under the deal with the five largest servicers, the credits could result in a total of $40 billion in relief to homeowners. If the other nine servicers sign on to the deal, the total relief could reach $45 billion.Harris said Californians could receive up to $18 billion in assistance from the settlement.[For the record, 10:22 a.m. Feb. 9: An earlier version of this post said the mortgage foreclosure settlement totaled $26 billion, based on a figure from the Department of Housing and Urban Development. The department has revised the total to $25 billion.]
Copyright © 2012, Los Angeles Times
Thursday, January 19, 2012
For A laugh During this Time of Adjustment
WHEN INSULTS HAD CLASS....
A member of Parliament to Disraeli: "Sir, you will either die
on the gallows or of some unspeakable disease."
That depends, Sir," said Disraeli, "whether I embrace your
policies or your mistress."
"I have never killed a man, but I have read many obituaries
with great pleasure." Clarence Darrow
"He has never been known to use a word that might send a reader
to the dictionary." - William Faulkner (about Ernest Hemingway).
"He has no enemies, but is intensely disliked by his friends."
- Oscar Wilde
"I am enclosing two tickets to the first night of my new play;
bring a friend... if you have one." - George Bernard Shaw to
Winston Churchill
In response Winston Churchill replied, ."Cannot possibly attend
first night, will attend second... if there is one."
"I've just learned of his illness... Let's hope it's nothing
trivial." - Irvin S. Cobb
"He is simply a shiver looking for a spine to run up." - Paul
Keating
"In order to avoid being called a flirt, she always yielded
easily." - Charles, Count Talleyrand
"Why do you sit there looking like an envelope without any
address on it?" - Mark Twain
"His mother should have thrown him away and kept the stork." -
Mae West
"He uses statistics as a drunken man uses lamp-posts... for
support rather than illumination." - Andrew Lang (1844-1912)
"He has Van Gogh's ear for music." - Billy Wilder
"I have had a perfectly wonderful evening - but this wasn't
it." - Groucho Marx
A member of Parliament to Disraeli: "Sir, you will either die
on the gallows or of some unspeakable disease."
That depends, Sir," said Disraeli, "whether I embrace your
policies or your mistress."
"I have never killed a man, but I have read many obituaries
with great pleasure." Clarence Darrow
"He has never been known to use a word that might send a reader
to the dictionary." - William Faulkner (about Ernest Hemingway).
"He has no enemies, but is intensely disliked by his friends."
- Oscar Wilde
"I am enclosing two tickets to the first night of my new play;
bring a friend... if you have one." - George Bernard Shaw to
Winston Churchill
In response Winston Churchill replied, ."Cannot possibly attend
first night, will attend second... if there is one."
"I've just learned of his illness... Let's hope it's nothing
trivial." - Irvin S. Cobb
"He is simply a shiver looking for a spine to run up." - Paul
Keating
"In order to avoid being called a flirt, she always yielded
easily." - Charles, Count Talleyrand
"Why do you sit there looking like an envelope without any
address on it?" - Mark Twain
"His mother should have thrown him away and kept the stork." -
Mae West
"He uses statistics as a drunken man uses lamp-posts... for
support rather than illumination." - Andrew Lang (1844-1912)
"He has Van Gogh's ear for music." - Billy Wilder
"I have had a perfectly wonderful evening - but this wasn't
it." - Groucho Marx
Wednesday, January 11, 2012
Mortgage Thoughts
The answer to the following info would be 'Duh'!
I don't know if this falls under the category of late-breaking news, and there are plenty in the industry who will disagree, but "The National Association of Home Builders (NAHB) concurs with a finding by the Federal Reserve Board (FRB) that excessively tight mortgage lending standards are hampering a housing and economic recovery. 'The Federal Reserve's report to Congress confirms what we have been saying for some time: That extraordinarily tight credit conditions are preventing creditworthy borrowers from obtaining home loans and this is harming the housing market and the broader economy,' said NAHB Chairman Bob Nielsen, a home builder from Reno, Nevada." Nielsen feels that the lack of credit extends to housing construction loans as well, which is crippling the housing industry and preventing construction of new homes in markets that need and want them.
Also, this in for all of you procrastinators!
The IRS said that taxpayers will have until April 17 to file their 2011 returns, thanks to two quirks of the calendar this year: April 15 falls on a Sunday, and the following day is Emancipation Day, which is observed in the District of Columbia. By federal law, District of Columbia holidays affect tax deadlines the same way federal holidays do, giving taxpayers an extra day - thank you District of Columbia.
I don't know if this falls under the category of late-breaking news, and there are plenty in the industry who will disagree, but "The National Association of Home Builders (NAHB) concurs with a finding by the Federal Reserve Board (FRB) that excessively tight mortgage lending standards are hampering a housing and economic recovery. 'The Federal Reserve's report to Congress confirms what we have been saying for some time: That extraordinarily tight credit conditions are preventing creditworthy borrowers from obtaining home loans and this is harming the housing market and the broader economy,' said NAHB Chairman Bob Nielsen, a home builder from Reno, Nevada." Nielsen feels that the lack of credit extends to housing construction loans as well, which is crippling the housing industry and preventing construction of new homes in markets that need and want them.
Also, this in for all of you procrastinators!
The IRS said that taxpayers will have until April 17 to file their 2011 returns, thanks to two quirks of the calendar this year: April 15 falls on a Sunday, and the following day is Emancipation Day, which is observed in the District of Columbia. By federal law, District of Columbia holidays affect tax deadlines the same way federal holidays do, giving taxpayers an extra day - thank you District of Columbia.
Wednesday, December 14, 2011
The Recent Piggybanking Crisis
Report on the Recent Piggybanking Crisis
By Eric Hague
The following report, prepared by a bi-partisan committee comprising both Mommy and Daddy, lays out a timeline of the principal events of last week’s Piggybanking Crisis and its aftermath.
4:15 P.M., Last Friday
Daughter Georgia becomes aware that Addison Murphy from next door is placing a recently refurbished dollhouse on the market at an asking price of $30. Because Georgia barely earns enough from her weekly chores to eke out the occasional candy purchase, she has never really considered herself a candidate for doll-homeownership. Nevertheless, she elects to pursue the classic dollhouse dream and begins to explore financing options.
4:24 P.M., Last Friday
Georgia consults older sister Johanna, the manager of a local piggybank with reserves totaling some $30.12, about the possibility of securing a mortgage. Although Johanna is aware of the meagerness of Georgia’s allowance, she feels that the recent precipitous expansion of the neighborhood doll-housing market, coupled with the effects of informational asymmetries—namely, that Georgia can’t really add yet—are enough to justify the risk.
4:31 P.M., Last Friday
Georgia closes on Addison’s dollhouse. She moves two naked Barbies and a velociraptor into it.
12:00 P.M., Sunday
After receiving her allowance, Georgia makes her inaugural mortgage payment to the First Piggybank of Johanna’s Room. Suddenly left with no funds with which to buy M&Ms on the weekly outing to Pathmark, Georgia begins to realize the enormity of her situation.
12:32 P.M., Sunday
Georgia lists her dollhouse with a local pretend-estate agent, Addison’s older sister Emma.
7:04 P.M., Monday
Dumbledore, the family hamster, is found dead in his cage. Georgia is laid off from her job as chief pellet-refiller.
4:19 P.M. Tuesday
Despite a promising open dollhouse with the twins from up on Fifth Street, Georgia still has not found a buyer. Facing the prospect of missing a mortgage payment, Georgia decides to walk away from her underwater dollhouse. She relocates her tenants to the big toy chest in the basement rumpus room.
4:22 P.M. Tuesday
While Joanna is out at the swingset negotiating the sale of Georgia’s subprime dollhouse mortgage to Jackson Meyers from two houses down, Georgia apprises Johanna that she is defaulting on her debt. Johanna announces immediate plans to foreclose on the dollhouse.
8:12 P.M., Tuesday
Confronting a shortfall of Piggybank liquidity, Johanna appears before Mommy and Daddy and requests a bailout. (See minutes from “Tantrum before the Parental Subcommittee on Finance”.)
8:14 P.M., Tuesday
Members of the fiscally liberal Daddy Party announce support for a short-term emergency loan to the First Piggybank. The Mommy Party adopts the view that though Johanna is a big girl now she is not too big to fail. Following a vigorous debate in both the house and the carport, the Daddy Party unilaterally authorizes the lending of $30.00 to Johanna from the Disney World savings jar on top of the fridge.
10:26 A.M., Wednesday
During morning recess, Johanna acquires $30 through the perpetration of a Ponzi scheme involving the fraudulent trade of Silly Bandz commodities.
3:31 P.M. Thursday
Georgia files a choreless claim with Daddy during the Pathmark trip. Daddy grants Georgia a distribution of candy benefits.
5:42 P.M., Friday
Johanna repays the Disney World treasury in full. In spite of this, the Mommy Party attacks the opposition during mid-dinner debate, castigating it for its failure to live up to is promises to create new chores, as well as for its wasteful candy entitlement programs. Desperate to shore up support among daughters of all backgrounds, the Daddy Party announces that the Disney World vacation will happen next month—and that he’ll just charge the trip on his MasterCard.
The Mommy Party opposes this increase in the household debt ceiling. Talks quickly stall, and the Daddy Party is forced to sleep on the smelly couch in the rumpus room.
6:30 P.M., Friday
Aiming to draw attention to the disparity of wealth that exists between younger sisters and greedy investment piggybankers, Georgia decides to occupy Johanna’s room with a blanket fort. Johanna soon finds herself mildly inconvenienced by Georgia’s vague, ineffectual whining and chants of “I am the 50 percent!”
11:30 A.M., Saturday
The Daddy Party calls for an end to unproductive inter-party bickering as well as for his return to the Mommy Party’s bed because his back hurts from the damn couch.
Conclusions
The parental government would like all daughters—regardless of socioeconomic status—to know that even if these conflicts ultimately prove insoluble and in time precipitate a complete parental shutdown, none of this is actually the fault of the general populace of children, and the Mommy Party and the Daddy Party love them both very
By Eric Hague
The following report, prepared by a bi-partisan committee comprising both Mommy and Daddy, lays out a timeline of the principal events of last week’s Piggybanking Crisis and its aftermath.
4:15 P.M., Last Friday
Daughter Georgia becomes aware that Addison Murphy from next door is placing a recently refurbished dollhouse on the market at an asking price of $30. Because Georgia barely earns enough from her weekly chores to eke out the occasional candy purchase, she has never really considered herself a candidate for doll-homeownership. Nevertheless, she elects to pursue the classic dollhouse dream and begins to explore financing options.
4:24 P.M., Last Friday
Georgia consults older sister Johanna, the manager of a local piggybank with reserves totaling some $30.12, about the possibility of securing a mortgage. Although Johanna is aware of the meagerness of Georgia’s allowance, she feels that the recent precipitous expansion of the neighborhood doll-housing market, coupled with the effects of informational asymmetries—namely, that Georgia can’t really add yet—are enough to justify the risk.
4:31 P.M., Last Friday
Georgia closes on Addison’s dollhouse. She moves two naked Barbies and a velociraptor into it.
12:00 P.M., Sunday
After receiving her allowance, Georgia makes her inaugural mortgage payment to the First Piggybank of Johanna’s Room. Suddenly left with no funds with which to buy M&Ms on the weekly outing to Pathmark, Georgia begins to realize the enormity of her situation.
12:32 P.M., Sunday
Georgia lists her dollhouse with a local pretend-estate agent, Addison’s older sister Emma.
7:04 P.M., Monday
Dumbledore, the family hamster, is found dead in his cage. Georgia is laid off from her job as chief pellet-refiller.
4:19 P.M. Tuesday
Despite a promising open dollhouse with the twins from up on Fifth Street, Georgia still has not found a buyer. Facing the prospect of missing a mortgage payment, Georgia decides to walk away from her underwater dollhouse. She relocates her tenants to the big toy chest in the basement rumpus room.
4:22 P.M. Tuesday
While Joanna is out at the swingset negotiating the sale of Georgia’s subprime dollhouse mortgage to Jackson Meyers from two houses down, Georgia apprises Johanna that she is defaulting on her debt. Johanna announces immediate plans to foreclose on the dollhouse.
8:12 P.M., Tuesday
Confronting a shortfall of Piggybank liquidity, Johanna appears before Mommy and Daddy and requests a bailout. (See minutes from “Tantrum before the Parental Subcommittee on Finance”.)
8:14 P.M., Tuesday
Members of the fiscally liberal Daddy Party announce support for a short-term emergency loan to the First Piggybank. The Mommy Party adopts the view that though Johanna is a big girl now she is not too big to fail. Following a vigorous debate in both the house and the carport, the Daddy Party unilaterally authorizes the lending of $30.00 to Johanna from the Disney World savings jar on top of the fridge.
10:26 A.M., Wednesday
During morning recess, Johanna acquires $30 through the perpetration of a Ponzi scheme involving the fraudulent trade of Silly Bandz commodities.
3:31 P.M. Thursday
Georgia files a choreless claim with Daddy during the Pathmark trip. Daddy grants Georgia a distribution of candy benefits.
5:42 P.M., Friday
Johanna repays the Disney World treasury in full. In spite of this, the Mommy Party attacks the opposition during mid-dinner debate, castigating it for its failure to live up to is promises to create new chores, as well as for its wasteful candy entitlement programs. Desperate to shore up support among daughters of all backgrounds, the Daddy Party announces that the Disney World vacation will happen next month—and that he’ll just charge the trip on his MasterCard.
The Mommy Party opposes this increase in the household debt ceiling. Talks quickly stall, and the Daddy Party is forced to sleep on the smelly couch in the rumpus room.
6:30 P.M., Friday
Aiming to draw attention to the disparity of wealth that exists between younger sisters and greedy investment piggybankers, Georgia decides to occupy Johanna’s room with a blanket fort. Johanna soon finds herself mildly inconvenienced by Georgia’s vague, ineffectual whining and chants of “I am the 50 percent!”
11:30 A.M., Saturday
The Daddy Party calls for an end to unproductive inter-party bickering as well as for his return to the Mommy Party’s bed because his back hurts from the damn couch.
Conclusions
The parental government would like all daughters—regardless of socioeconomic status—to know that even if these conflicts ultimately prove insoluble and in time precipitate a complete parental shutdown, none of this is actually the fault of the general populace of children, and the Mommy Party and the Daddy Party love them both very
Friday, December 2, 2011
So what is Obama getting Michelle.....
by Rob Chrisman
What is Barack buying Michelle this year? A little non-owner unit, perhaps, but not thanks to Freddie Mac's HomeSteps, which is owner-occupied only. The real estate sales unit of Freddie Mac launched a sales promotion for its inventory of foreclosed homes in select states. Under the HomeSteps Winter Sales Promotion, HomeSteps will pay up to 3% of the final sales price towards the buyer's closing costs and a $1,000 selling agent bonus for initial offers received between Nov. 15 and Jan. 31, 2012. Freddie sold a record number of real estate owned properties in 2011 at 94% of market value (whatever that means) and accounted for 4.4% of the nation's inventory of foreclosed properties as of Sept. 30. But accept no substitutes! The offer is valid only on HomeSteps homes sold to owner-occupant buyers - sorry Mr. Obama. It is available on HomeSteps sales in 28 states and the District of Columbia. Hey, before you scoff, take a look - there are some decent incentives and sweet deals: http://www.homesteps.com/.
Twelve miles up the road, Fannie Mae is promoting its HomePath Online Offers system, which collects offers and manages the submission process on properties listed on HomePath.com. On Pearl Harbor Day "agents and brokers representing buyers are required to submit offers exclusively on the web site. Only properties listed in the following areas are eligible to submit online offers on the designated launch date: California, Florida, and Wayne County, Michigan." Fannie believes its system offers, "A transparent offer process that keeps Selling Agents informed of the status of their clients' offers on HomePath properties listed on HomePath.com and improved communication between the Selling Agent and the Listing Broker regarding offers on HomePath properties listed on the HomePath web site." For more information go to http://www.homepath.com/ or give 'em a shout: 1-866-218-4446.
(By the way, Freddie is temporarily suspending all scheduled evictions involving foreclosed occupied single-family 1- to 4- unit residences. Freddie's announcement noted, "1-4 unit residences with Freddie Mac-owned mortgages beginning December 19, 2011, through January 2, 2012. The suspension will apply only to eviction lockouts related to Freddie Mac-owned REO properties and will not affect other pre- or post-foreclosure processes." The press mentions Fannie doing the same, although I could not find its announcement.)
Both agencies still have plenty of "foreclosure cannon fodder" although delinquencies continued to decline in October according to information released by Lender Processing Services. But foreclosure inventories reached a record high during the month, now representing 4.3% of all active mortgages - how does anyone expect house prices to move higher with that overhang out there? The total delinquency rate in the country is now about 8%, down from over 9% in October 2010. Per LPS the average delinquent loan in foreclosure has been delinquent for 631days versus a few years ago when an average foreclosure took 251 days from the first missed payment. The length of the process has increased by three months just since the beginning of this year for various reasons (backlog, type of foreclosure in the state, lawsuits, and so on).
What is Barack buying Michelle this year? A little non-owner unit, perhaps, but not thanks to Freddie Mac's HomeSteps, which is owner-occupied only. The real estate sales unit of Freddie Mac launched a sales promotion for its inventory of foreclosed homes in select states. Under the HomeSteps Winter Sales Promotion, HomeSteps will pay up to 3% of the final sales price towards the buyer's closing costs and a $1,000 selling agent bonus for initial offers received between Nov. 15 and Jan. 31, 2012. Freddie sold a record number of real estate owned properties in 2011 at 94% of market value (whatever that means) and accounted for 4.4% of the nation's inventory of foreclosed properties as of Sept. 30. But accept no substitutes! The offer is valid only on HomeSteps homes sold to owner-occupant buyers - sorry Mr. Obama. It is available on HomeSteps sales in 28 states and the District of Columbia. Hey, before you scoff, take a look - there are some decent incentives and sweet deals: http://www.homesteps.com/.
Twelve miles up the road, Fannie Mae is promoting its HomePath Online Offers system, which collects offers and manages the submission process on properties listed on HomePath.com. On Pearl Harbor Day "agents and brokers representing buyers are required to submit offers exclusively on the web site. Only properties listed in the following areas are eligible to submit online offers on the designated launch date: California, Florida, and Wayne County, Michigan." Fannie believes its system offers, "A transparent offer process that keeps Selling Agents informed of the status of their clients' offers on HomePath properties listed on HomePath.com and improved communication between the Selling Agent and the Listing Broker regarding offers on HomePath properties listed on the HomePath web site." For more information go to http://www.homepath.com/ or give 'em a shout: 1-866-218-4446.
(By the way, Freddie is temporarily suspending all scheduled evictions involving foreclosed occupied single-family 1- to 4- unit residences. Freddie's announcement noted, "1-4 unit residences with Freddie Mac-owned mortgages beginning December 19, 2011, through January 2, 2012. The suspension will apply only to eviction lockouts related to Freddie Mac-owned REO properties and will not affect other pre- or post-foreclosure processes." The press mentions Fannie doing the same, although I could not find its announcement.)
Both agencies still have plenty of "foreclosure cannon fodder" although delinquencies continued to decline in October according to information released by Lender Processing Services. But foreclosure inventories reached a record high during the month, now representing 4.3% of all active mortgages - how does anyone expect house prices to move higher with that overhang out there? The total delinquency rate in the country is now about 8%, down from over 9% in October 2010. Per LPS the average delinquent loan in foreclosure has been delinquent for 631days versus a few years ago when an average foreclosure took 251 days from the first missed payment. The length of the process has increased by three months just since the beginning of this year for various reasons (backlog, type of foreclosure in the state, lawsuits, and so on).
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