Supporting, Informing & Connecting People in Foreclosure
Everything screams STAY AWAY - but the temptation is still there.
The property is 28416 Bayhead Road, Dade City, FL 33523.
The Zillow listing shows an original sales price of $1M, and now it's down to $330k. Under normal conditions, this would be the deal of the century. But, when I looked up the owner at Pasco County's property appraiser website, it showed Wells Fargo as the owner. HUGE RED FLAG.
I then searched Pasco's Official Records page which revealed:
All of the links above are to the actual court documents and/or county websites.
I would be very grateful if someone with more experience could let me know:
Any help is appreciated.
[edited for readability and added original mortgage]
Thanks wayoff - my gut reaction is usually not wrong - so I couldn't agree with you more.
The only problem with finding a home "that has nothing to do with foreclosure" is, I think any home - current, delinquent, or foreclosed - which has had it's mortgage securitized (through MERS or otherwise), will likely suffer from the same clouded title deficiencies.
With all the media attention (not enough if you ask me) on the foreclosure fraud, it makes those properties the least attractive to insure for clean title. But if you follow through the risk to not just illegally foreclosed-upon homeowners, but investors in multiple trusts who may have been sold the same mortgage... well, the nightmare scenario pretty much extends to ALL homes.
Never mind that the original promissory notes can't be found for any securitized debt. The only difference between a foreclosed property and one that is not in default, is that with the foreclosure, it's a matter of record that no on knows who owns the debt. The non-default homeowner has the same issue, but until he goes into default, tries to refinance, pays off the mortgage, or tries to sell, he just doesn't know yet.
And therein lies my dilemma. If every home has a clouded title, what will it matter in the long run?
I certainly have not made up my mind. The temptation of a 'deal too good to pass up' has bitten me before with other things. I'm just trying to see all sides.
I am no expert in MERS and I don't claim to be. In my opinion MERS has destroyed the land title records whether it involves a foreclosure or not. Here is what I believe the difference to be. Even if MERS is determined to be illegal in all transactions, I feel that a house that has been sold and resold, if not in foreclosure, the paperwork to correct the transactions can be resolved within time. There are no former homeowners claiming fraud. However; in the case of foreclosures, the whole forecloure is illegal because the banks and the low lifes they hire are bringing in documents that involve fraud. Once fraud is involved everything changes. Whether or not the homeowner made payments becomes irrelevant. Fraud is illegal, period. The banks knew there could be a problem with MERS from the start and while they got away with it it was all fine.
I think it matters greatly because in non foreclosures the former homeowner that sold the house probably would want no claim to it. In foreclosures, the homeowners are fighting the fraud and corruption involved in the process. And if the day comes when the powers that be get their heads out of their you know whats, the house may be returned to the forelcosed on homeowner. Will that happen, I doubt it, but there is always hope true justice will prevail. You seem like a very kind person. Would you actually feel good about buying a house where an elderly person, a sick person, a disabled person, or a family with small children were thrown out of because of fraud all because the deal is too good to pass up? And no one knows if the correct party foreclosed on the home. Bad karma. All of this was started because the banks wanted to make millions off the misery of others. The desicion is yours and you will make your choice as you see fit. I still say stay away from foreclosed homes. Buying a house that was not in foreclosure, in my opinion, would be a safer and wiser choice. Good luck.
Well, for what it's worth, wife and I visited the property today (without a realtor) and found out why the home has been listed for so long, with price dropping every couple of weeks. The front corner of the home has a huge stair-step crack, at least 1" wide. No doubt, a sinkhole is opening up. Further, the front door frame has so much termite damage, there is little visible paint left.
The neighbor said one of the windows was broken, and not repaired for months. Power has been off for at least two years. Still, $300k for 20 acres of land, even if the home is completely demolished, is not a bad price.
But, given the uncertainty of the paperwork, the sinkhole, and about 1/3 of the property being within the SWFTMD flood plain, we've scratched this one off our list.
@SMHF - The original owners were clearly investors trying to flip the property. I've looked at their public record history, and they've bought/sold many homes per year leading up to this one - all the while living in their Cape Coral home since the late 90's. Not that I think it makes bank fraud any more acceptable (it doesn't), but if people are buying/selling homes like stocks, I have little sympathy when they get burned. Especially since this type of 'speculating' and flipping was a large part of the cause of the run up in home prices.
Remember how at the peak of the home buying/investing hysteria, builders were making buyers sign contracts forbidding them to sell the property within X years of closing? That happened to us when we bought in 2003 - before the peak. Builders were putting brand new homes on the market for $150k, and investors bought up everything before the first foundation was poured. Then, once construction was complete, they'd flip at closing for 50% increase. So, no sympathy here.
2PO40 - No doubt. I've scratched it off my list. County's appraised value is about the current asking price - with 2/3 of the appraisal coming from the value of the land.
Too much of a headache.
Thanks all for the words of wisdom.
Eric, in my opinion you made the rght choice. You did a good job in doing your homework and I think all others who have read your post should take a lesson from you. When buying a house now days, it is imperative you do research on the home you are buying whether the house was a foreclosure or not. There are all those hidden secrets one finds out after a couple of years. In all honesty, you cannot trust a realtor to give you all the facts.
Those of us who have lost our homes to illegal foreclosure are aware of the problems that this mess has caused. We care about everyone who is buying a home and here to warn people that the too good to pass up deal may not be that good after all. Good luck to you in your house hunting. And continue to do you research. My added personal moto "Stay away from foreclosed homes". Saving and 2 Pirates comments are right on the mark.
Alright, I lost my home to GMAC Mortgage, INC now known as Ally Financial two years ago. They intimidated me, threatened me and made my life so miserable my family and I were uprooted and left. We had no clue about mortgage foreclosure fraud at that time, and believed these miserable monsters were going to have the sheriff throw us out on the street.
Just two weeks ago I went to the County Clerk's office to get a copy of the file used in the foreclosure and GMAC fraudulently represented themselves as the note holder in due course, and produced an old Bank of America paid in full note in the amount of $60,000. they found somewhere, when they were foreclosing on a $417,000. mortgage. The Clerk of Courts rubber stamped it, and house was auctioned off. Now that I'm on top of things, I sent a RESPA letter to them three weeks ago, and received an unsigned response stating all they must give me is a copy of the note and payment history. Oddly enough, even though the loan was securitized in 2007, they produced a note altered showing pay to the order of (whited out) so it just shows a person's name. Oh I forgot to add my foreclosure affidavit was excuted by the now infamous Jeffrey Stephan. Once auctioned at sheriff's sale, GMAC immediately sold it to Fannie Mae and Fannie Mae sold the house to another individual, who has it now listed himself.
My question is how do I get a cloud on the title. Do I try to take a lien on the house? Or do I contact the current homeowner and tell he or she what happened? Do I make a claim with a title insurance company. I am in North Carolina, which sadly reigns as one of the Bankster capitals of the world (Bank of America) .... so not expecting any help from the state attorney general.