Foreclosure Victims Buoyed By False Hope

July 31st, 2008

According to Asante Real Estate Group a feeling of false hope buoyed the expectations of foreclosure victims. Carey Sutton stated that it is a known fact that the country is in the grip of a foreclosure catastrophe with its epicenter being in California. The Congress in Washington is working on a Law (Foreclosure Prevention Act) that will supposedly help the borrowers at risk from foreclosure eviction. The whole plan will depend on the voluntary gestures of the lenders.

The harsh reality is all fangs and claws. In general mortgage lenders will fail or outright refuse to help the borrowers saddled with foreclosure or comply with the posturing of politicians. They will never do anything that will harm their own interests. The politicians rattle their sabers but it is all noise and bubble. Promises are empty and the legislation is just giving false hopes and nothing more.

The Asante Real Estate Group interacts with lenders and borrowers concerning short sales, bank repossessions etc. For instance it has been talking with American Home Mortgage Servicing to agree to offers that are in tune with market rates on two houses occupied by owners. The asking price is $449,000 in San Jose and $3.9m for another in Los Gatos. But the servicing company has refused both the genuine offers and causing the units to hurtle towards a foreclosure that could otherwise have been avoided.

Senator Dianne Feinstein asserts that the elected officials sincerely want to help the foreclosure victims. But the reality is that when the owners of both the aforesaid mentioned houses went to meet the Senator to seek her help, they were dismissed by her staff and asked to contact HUD counselors. Senator Feinstein’s office personnel did nothing to persuade American Home Mortgage Servicing Corporation to reconsider the offers of short sale. Finally the duo was asked to leave and was physically led to the door by the senator’s security guard.

It is a matter of concern and dismay that lenders like American Home Mortgage Servicing Corporation repeatedly fail to live up to expectations and rise to the occasion. They purposefully drag their feet causing delays running into months that finally end in foreclosures. Yet had they wanted to they could have easily averted it. The greater surprise and disappointment is that elected persons like the senator also refuse to help the distressed and yet make tall claims about extending a helping hand.