Foreclosure Help: Fannie Mae Interactive Tool – Too Little Too Late

‘WaysHome’ was created to educate homeowners about their options to avoid foreclosure and encourage them to get help. It’s a fairyland view of a broken system.

• Created robo-signers (a new word) – clerks who routinely authenticated false documents.
• Created rocket docket courts (another new word) – Florida courts with judges called from retirement – designed to reduce the foreclosure backlog.
• Foreclosed properties that had been approved for loan modifications.
• Foreclosed and sold properties that had no mortgage.
• Foreclosed properties on which the mortgage payment were current.
• Foreclosed properties on which the foreclosing lender held neither the note or the mortgage.
• Foreclosed when proper notice had not been given.
• Repeatedly lost documentation sent in by homeowners.
• Diverted properties to mass auctions that were scheduled to close on short sales within days .
• Continued the foreclosure process even while loan modifications were under review.
• Created a phone screening system that assures that a homeowner will never, ever be able to speak to the same person again – requiring them to repeat everything they told the last person.
• Allows some courts to rubber-stamp foreclosure paperwork that is incomplete or fraudulent on its face.
• Etc. etc. etc.

The foreclosure process (including options; short sale, dead in lieu, loan modification, forbearance, repayment plans) is simply overwhelmed. Hence the recent exposure of illicit shortcuts by lenders, mortgage servicers, law firms, and courts. Foreclosure processing mills resemble call centers more than cogs in a well oiled financial system. They are flooded with ill-trained new hires. The entire industry was created within the last two years.