[VegasVicsezhowdy]

Originally Posted by ddrhazy

So you agree with my previous statement that AB-284 and similar laws are not laws designed by banks? Just say so, don't reply to the post with lackluster arguments in response.

All the robo-signing litigation was just a smoke screen so the banks could sell their foreclosures (as pre-foreclosures) at their own pace.

I agree that we have a whole world of things that can’t mark-to-market and that’s because there is so much fraud and so much criminal liability involved.

[von949]

It's not just houses being bought up by investors in LV.

If you rent a Las Vegas apartment, you might get a new landlord soon - VEGAS INC

Investors are snapping up local apartment buildings at the fastest pace seen in years, thanks to low prices, cheap financing and a plethora of potential tenants. Las Vegas has a large number of renters, as many residents can't buy homes because of past foreclosures, bad credit or financial hardship.

[ddrhazy]

Originally Posted by VegasVicsezhowdy

All the robo-signing litigation was just a smoke screen so the banks could sell their foreclosures (as pre-foreclosures) at their own pace.

I agree that we have a whole world of things that can’t mark-to-market and that’s because there is so much fraud and so much criminal liability involved.

No the robo signing was the bank's natural attempt to get the delinquent mortgage holder out of the house and sell the asset to offset their loss. Now they can't do that and the foreclosures have dried up. It's not "at their own pace". Their own pace was before all the regulation, that regulation was enacted by the state legislature at the BEHEST of constituents, not banks.

[lvoc]

Originally Posted by VegasVicsezhowdy

Missing here is any understanding of who controls the timing of a foreclosure. Banks do the foreclosing, after all, and it’s really up to them whether or not to put inventory on the market or to foreclose at all. And in both cases, they haven’t moved forward for very specific reasons.

The game plan has always been to run the clock. Hence all the “kick the can down the road” loan modifications, of which a large percentage are ultimately doomed to fail.

Banks are holding back inventory and goosing prices, to state otherwise is to not be intellectually honest.

Rules governing foreclosure and the approval to start it come from the investors not the banks. Same is true of short sales. Fannie and Freddie control most and can in fact be contacted for an over-ride if you get a hard time from a servicer. For instance I have seen any number of Fannie/Freddie listings as cash and conventional only. But if you know you go ahead FHA and they accept it.

I see very little reason why an investor wishes to have non performing assets on the books.

[VegasVicsezhowdy]

Originally Posted by ddrhazy

No the robo signing was the bank's natural attempt to get the delinquent mortgage holder out of the house and sell the asset to offset their loss.

No, it's much more complicated than that. The banks left the mortgage notes unendorsed so they would remain free to be bought and sold as "repos". As much as I hate to admit it LVOC is right about one thing... investors can foreclose, not on individual properties but on the securities themselves, that's the built in insurance of an SPV.

So what you end up with is a parallel banking system, based on securitization. It's not a genuine banking system in it's truest sense but it is the funding basis for the traditional regulated banking system and the housing shell game was accomplished behind the electronic smokescreen of MERS.

The hasty solution was a rash of assignments signed by an army of “robosigners”, it had nothing whatsoever to do with: "...the bank's natural attempt to get the delinquent mortgage holder out of the house and sell the asset to offset their loss". The investors were clamoring for their money and the banks were in full panic mode.

So now you have a situation that is quite complicated, the titles of the properties have become clouded by MERS and the investors cannot foreclose because of lack of documentation. Massive fraud, perhaps without criminal intent but fraud nonetheless.

That's just the way the system is set up, research "shadow banking"... it's a real eyeopener.

[VegasVicsezhowdy]

Underwriter's perspective... hot money creating new housing bubble


Another Housing Bubble is Starting to Form - YouTube

[VegasVicsezhowdy]

The Housing Bubble Is Reflating, And It Will Crash Again

SCHIFF: The Great Reflation - Business Insider

"For the first quarter of 2013, the Federal Reserve reports a 10% delinquency rate for residential mortgages (those with payments that are at least 90 days past due). This is more than 6 times the rate in the first quarter of 2006."

[Tarara Boomdea]

5-27 Hanson…Per Zillow…>44% of US Homeowners are Zombified; Over 60% when including income/credit restrictions

[Tarara Boomdea]

So Who is the Dumb Money Ruining the Rental Housing Market? « naked capitalism

Mostly about Florida, but mentions a likely incorrect (too low) estimate of investor holdings here in Las Vegas and concern about what happens when they decide to cash in their chips.

Also mentions Las Vegas' softening rental market (referring to this article):
Testosterone Pit - Home - Housing Bubble II: Institutional Investors Instead Of First-Time*Buyers

[VegasVicsezhowdy]

Originally Posted by lvnyc

5-27 Hanson…Per Zillow…>44% of US Homeowners are Zombified; Over 60% when including income/credit restrictions

I'm hearing tales of new bank/lender chicanery. Some people who filed BK and abandoned their homes early are now attempting to reenter the market and purchase and are finding that their old property is still in their name. Seems when the bank got wind that the owner was filing BK they sold the mortgage servicing rights. The new servicer was prevented by BK law from contacting the owner. How will they sort out that mess?