Need HELP...Predatory Lending AND Seller Fraud

[KIDINSANITY4]

Hi all, I'll try to give you all the CLiff Notes version of our story.

We began looking for a home in the summer of 2005 in Lakeland, FL. Our Mtg broker found us a home we assolutely fell in love with, but the price was a little high. We were repeatedly assured that they could find a program for us we could afford, so we were approved for an amount of $275k. The home we were buying was $249k. We kept reiterating to our mtg broker that we could not afford PITI payments of anything more than $1400/mo.
We were told that, because the sellers had done some renovations to the home, THEY had gotten an inspection on the home, so we didn't have to. The lender (Fremont) had signed off on it, and we would get the copy as soon as the closing was done and title transferred.

Throughout the whole process, everything kept changing, we were told to sign documents and disclosures that were blank and would be filled in later. (should have been a red flag.) We never found out what our payment was going to be or the program we were in till the closing, which was done standing up in the home with only daylight to see. The closing documents were printed on a travel printer, and were all so minimized that we couldn't read them, especially with my vision problems.

Long story short, the broker or lender inflated our income to qualify us for the home, and told us the lender was requiring it to be done as 2 separate loans for qualifying purposes. (!!) Stupidly, and against our better judgement, we signed the documents, and prayed for the best.

The week we moved into the home, our roof leaked all down the walls from the 2nd floor to the ground floor. Upon closer inspection, it was noticed that there was also old damage that was never disclosed. In the coming weeks. By the 2nd/3rd month, our entire plumbing system had to be replaced. 3 months after that, we were told our septic systems were rootbound and had to be completely replaced (home made septic systems we found out.) We ended up moving out for safety reasons, because a home inspection that WE had done after the fact showed multiple safety/health issues. We could have stayed there and saved so much money!

We paid a lawyer $5,200 (our last) and he sent the sellers a letter, after I found out where the sellers were living. We obtained affidavits from the neighbors about all the problems with the home.

In addition to that, the predatory lending stuff started to dawn on us, so we got hit with a double whammy. The attorney just told us "you have a fantastic case, but you're gonna need more $$ to follow through. Come see me when you have the $$."

Now, after repeated thwarted attempts to shortsale the home, Fremont is blocking our every move, scaring away the investors that wanted the home (3 or 4) and are now foreclosing, after telling us they wouldn't because we were selling the home.

We have no idea what to do, or where to turn. We supposedly have a court date of 3/25/08. Is there anything we can do? I'm sorry this ended up being so long, but believe me, this was the short version.
Is there anything we can do at this point??? The stress if affecting my health, marriage and family at this point, and I have no idea where to turn or what to do. We feel like even the attorney screwed us too!!
Thanks,

Sue Thompson

Welcome to the forum and thank you for sharing.....

We can not help on the realty side of this problem, however there has been a recent "Naughty Gram" enacted again Freemont in MA or CT, can not remember the state...they were forced by the Governor of the state to behave responsibly toward the situation or else, I would love to know what the or else is...

The only solution at this late date is an attorney and you need one yesterday, apparently you had one and unfortunately you need one....call NACA and see if they can refer...they are non-profit and very active in Florida. We have an attorney affiliated with the site that is licensed in Florida as well.

The problems that you have are complex and they have hit the short fuse wall, this is attorney territory and the problems with Freemont are such that you will need intervention to assist. Another source of intervention is HOPE and ACORN, they too are non-profits and due to the CT or MA issues may have some teeth to assist. Some degree of fear may be lodged in Freemont's heart due to the recent mandate by that state in question. HOPE 888.995.HOPE or ACORN www.acorn.org, they are proactive and very dedicated to assisting the homeowner. All in all Freemont was issued a cease and desist order last year early by the Feds and can not originate and was shut down on the mortgage side of the world, this is the beast that you deal with. .

Self-help at this point is rather futile, you do need an attorney or a really good advocate to assist you at this late date.

[KIDINSANITY4]

Thanks for your informaton, Poppy. Unfortunately, we cannot afford an attorney right now. Definitely between a rock and a hard place.

The "naughty gram" you're referring to was issued by the Attorney General of MA. I found it online a few days ago. This is part of what it says:

"Under the terms of the injunction, Fremont must provide the AG's office with at least a 30 day notice of all foreclosures it intends to initiate for the aprox 2200 loans that Fremont still owns and services, and allow the AG an opportunity to object to the foreclosure going forward. IF Fremont has issued a loan that is considered 'presumptively unfair,' and the borrower occupies the property as his/her principal dwelling, the AG has 45 days to object to the foreclosure."

It doesn't specifically state the ramifications, but Fremont can proceed with the foreclosure IF they file a request with the court.

At this point, because time is of the extreme essence, I will bring the copy of the press release from MA, and my mortgage documents to the hearing on the 25th, and hope the court can help block the foreclosure. In the meantime, I plan to contact a few people you mentioned and keep my fingers crossed. We had tried to go to Legal Aid where I live, but were told they were short staffed and weren't taking on any new cases.

Thanks for your help!
S

Please call HOPE, 888.995.HOPE or ACORN www.acorn.org, they will help and try to intervene for you. Please call them tomorrow and let me know how you are doing and if they can assist you. They are non-profit and will help for free. You can also call NACA as well, but I think that their attorney's do need some money. HOPE and ACORN may be able to intervene and assist in postponing the foreclosure and getting some modification or forbearance in the works to give you some relief.