Rep Kaptur: Foreclosed owners should squat in their own homes

[Rajiv]

Rep: Foreclosed owners should squat in their own homes

If you're poor and the bank is coming for your home, Congresswoman Marcy Kaptur has a plan for you.

Just squat, she says.

Yes, this Ohio Democrat is actually encouraging her financially distressed constituents whose homes have been foreclosed upon, to simply stay put.

In a Friday report, CNN's Drew Griffin explored the case of Ohioan Andrea Geiss, whose home was foreclosed upon in April.

"Behind in payments, out of work, a husband sick, she had nowhere to go," said Griffin. "So, she decided to follow the advice of her Congresswoman and go nowhere."

In Lucas County, Ohio, over 4,000 properties were foreclosed upon in 2008, reports CNN.

"So I say to the American people, you be squatters in your own homes," said Congresswoman Kaptur before the House of Representatives. "Don't you leave."

She's called on all of her foreclosed-upon constituents to stay in their homes and refuse to leave without "an attorney and a fight," said CNN.

"If they've had no legal representation of a high quality, I tell them stay in their homes," Kaptur told Griffin.

Kaptur is a high-profile advocate of an increasingly popular mode of fighting foreclosures best known for it's key phrase: "Produce the note."

By telling a bank to "produce the note," a homeowner can delay foreclosure by forcing the lender to prove the suing institution is actually the same which owns the debt.
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3 min 32 sec

[ax]

Re: Rep Kaptur: Foreclosed owners should squat in their own homes

I asked this question last week, but I'll ask it again. (Pending bankruptcy court judges being allowed to lower principle during foreclosure) Why should I pay my mortgage if my neighbor, who bought the same house as me with no money down, hasn't paid, and is now rewarded with $100K reduction in principle? Two things would happen. I would take a huge credit hit, yes. But, it may take 12-18 months for my home to go into foreclosure. It may take another 18 months for my case to make it to court. Then I might get a reduction anyway. If I go 3 years without paying my mortgage, I might be able to buy my own house (or the equivalent size, community) for half of what I originally paid, and be able to put closer to 40%-50% down, leaving my new mortgage at a pittance of what I currently pay. I don't know, I'm beginning to see why people have pulled a dine-and-dash on their own homes and rolled into a new one before their credit has had a chance to implode.

[World Traveler]

Re: Rep Kaptur: Foreclosed owners should squat in their own homes

It's like deja vu all over again. That is exactly what happened in the 1985-1990 in Houston.

In those days, mortgages tended to be much more local, i.e. people got their mortgages from local savings and loan associations or from local banks. There were so many foreclosures that these smaller institutions were in total disarray and couldn't keep track of all the foreclosures. And people knew it.

In my neighborhood, a new subdidvision in suburban Houston, approx. 60% of the homes were foreclosed. I had neighbors who actually bragged about doing what you described. They bought their second or dream house while they were still in the first and had good credit. Then they let the first house go into foreclosure.

It did kind of upset me, because there I was, with a house worth 60% of what we had paid for it, still paying our mortgage, while others were gaming the system.

Today, when the corruption in the banking system is lot more obvious than it was then, the "little guy" is just following the lead of the "big guys". "The rationale is "if bankers can stiff the system and everyone in sight, why can't I".

Shows the importance of honest and ethical leadership at the highest levels in a society.

[tsetsefly]

Re: Rep Kaptur: Foreclosed owners should squat in their own homes

I asked this question last week, but I'll ask it again. (Pending bankruptcy court judges being allowed to lower principle during foreclosure) Why should I pay my mortgage if my neighbor, who bought the same house as me with no money down, hasn't paid, and is now rewarded with $100K reduction in principle? Two things would happen. I would take a huge credit hit, yes. But, it may take 12-18 months for my home to go into foreclosure. It may take another 18 months for my case to make it to court. Then I might get a reduction anyway. If I go 3 years without paying my mortgage, I might be able to buy my own house (or the equivalent size, community) for half of what I originally paid, and be able to put closer to 40%-50% down, leaving my new mortgage at a pittance of what I currently pay. I don't know, I'm beginning to see why people have pulled a dine-and-dash on their own homes and rolled into a new one before their credit has had a chance to implode.

as has been pointed out a million times on this forum, the system is out to punish the wise savers, investors and those who have not gotten themselves into debt. Those are who will be paying for everyone else.

If I were you, I would try to game the system as well, if the government has punished you for being responsible then your way to fight back is take advantage of the system. In fact if it gets us closer to bankrupting the country and hopefully bringing the system down with it I would say it's the only moral action left.

[GRG55]

Re: Rep Kaptur: Foreclosed owners should squat in their own homes

as has been pointed out a million times on this forum, the system is out to punish the wise savers, investors and those who have not gotten themselves into debt. Those are who will be paying for everyone else.

If I were you, I would try to game the system as well, if the government has punished you for being responsible then your way to fight back is take advantage of the system. In fact if it gets us closer to bankrupting the country and hopefully bringing the system down with it I would say it's the only moral action left.

Isn't this exactly why there's been resistance to offering any direct help to "homeowners" by the Treasury Dept and Fed?

An unbroken chain of mortgage defaults must be their worst nightmare. :p

[ricket]

Re: Rep Kaptur: Foreclosed owners should squat in their own homes

I asked this question last week, but I'll ask it again. (Pending bankruptcy court judges being allowed to lower principle during foreclosure) Why should I pay my mortgage if my neighbor, who bought the same house as me with no money down, hasn't paid, and is now rewarded with $100K reduction in principle? Two things would happen. I would take a huge credit hit, yes. But, it may take 12-18 months for my home to go into foreclosure. It may take another 18 months for my case to make it to court. Then I might get a reduction anyway. If I go 3 years without paying my mortgage, I might be able to buy my own house (or the equivalent size, community) for half of what I originally paid, and be able to put closer to 40%-50% down, leaving my new mortgage at a pittance of what I currently pay. I don't know, I'm beginning to see why people have pulled a dine-and-dash on their own homes and rolled into a new one before their credit has had a chance to implode.

Life/Humans/Society/Civilization has, will, and always will be about survival of the fittest. If you are a gazelle and you are slower than the rest of the herd, your odds of getting eaten are higher due to circumstances that you have no control over. There's no "fairness" in life. That's a socialistic mindset.

I have lived in my home almost 3 years and paid almost 50k for my home already. If I wanted to sell, I'd have to cough up probably another 35-40k at the closing table. What makes *that* situation fair? I bought a house because I wanted to live in it and I wasnt speculating. Now I found out that I overpaid for my home because I was literally lied to and fraudulent practices are the only thing that contributed to me getting my home and Im practically stuck (unless I let the bank have it back)?

Please tell me how I should be responsible for a bank's deception and greed? Because I would love to hear your arguments about why it's fair for one class to steal from another, but not the other way around?

[tsetsefly]

Re: Rep Kaptur: Foreclosed owners should squat in their own homes

Isn't this exactly why there's been resistance to offering any direct help to "homeowners" by the Treasury Dept and Fed?

An unbroken chain of mortgage defaults must be their worst nightmare. :p

I think it was Fred that pointed out in another thread, the reason is not so much that as its the system is based on debt if you give direct help to homeowners to pay of at least a large part of the debt , the banks lose alot of interest money... not good in this debt based economy....

[politicalfootballfan]

Re: Rep Kaptur: Foreclosed owners should squat in their own homes

----nm----

[tombat1913]

Re: Rep Kaptur: Foreclosed owners should squat in their own homes

I asked this question last week, but I'll ask it again. (Pending bankruptcy court judges being allowed to lower principle during foreclosure) Why should I pay my mortgage if my neighbor, who bought the same house as me with no money down, hasn't paid, and is now rewarded with $100K reduction in principle? Two things would happen. I would take a huge credit hit, yes. But, it may take 12-18 months for my home to go into foreclosure. It may take another 18 months for my case to make it to court. Then I might get a reduction anyway. If I go 3 years without paying my mortgage, I might be able to buy my own house (or the equivalent size, community) for half of what I originally paid, and be able to put closer to 40%-50% down, leaving my new mortgage at a pittance of what I currently pay. I don't know, I'm beginning to see why people have pulled a dine-and-dash on their own homes and rolled into a new one before their credit has had a chance to implode.

Ah, now you're thinking like a business man and not a "homeowner". The biggest financial mistake I ever made was to try to keep paying my mortgage. Had I done things differently I could have come out with several thousands of dollars in my pocket, instead I came out with debt.

Here's what I should have done. As soon as I was out of work, stop paying the mortgage. Put absolutely no money or time into trying to sell my home. Live free of rent for several months while I looked for another job. After finding another job and moving I should have rented my house out and made money while I waited for the morons at the bank to foreclose on me.

Hind sight is 20/20.

[kingcopper]

Re: Rep Kaptur: Foreclosed owners should squat in their own homes

Ah, now you're thinking like a business man and not a "homeowner". The biggest financial mistake I ever made was to try to keep paying my mortgage. Had I done things differently I could have come out with several thousands of dollars in my pocket, instead I came out with debt.

Here's what I should have done. As soon as I was out of work, stop paying the mortgage. Put absolutely no money or time into trying to sell my home. Live free of rent for several months while I looked for another job. After finding another job and moving I should have rented my house out and made money while I waited for the morons at the bank to foreclose on me.

Hind sight is 20/20.

Well; how about this. Keeping your word has brought on unlimited good karma! A person's word is much more valuable than some green piece of turlet paper.

[Spartacus]

Re: Rep Kaptur: Foreclosed owners should squat in their own homes

Isn't this exactly why there's been resistance to offering any direct help to "homeowners" by the Treasury Dept and Fed?
:p

Noooo ... They want to bail out their rich buddies. Thus the banksters, not the plebes get the money.

If it was the rich buddies losing their houses there would be mortgage forgiveness.

Guaranteed.

[karim0028]

Re: Rep Kaptur: Foreclosed owners should squat in their own homes

Honestly, under normal circumstances i would agree with you that a mans word is his bond and should be more important than any contract or money.... But, when your facing unemployment, destitution and/or starvation these banks aren't gonna feed you or your family and they will suck every last cent out of you and in the end still foreclose if you even owe 1K from the original 100K you borrowed....

I say fuck the banks... As i've stated earlier, the bailouts (when all is said and done it will be close to 3-5T) go to the banks using our tax payer money to "recapitalize" banks and give them new life so they can go on compounding at interest the debt we owe them (even after they've taken our bailout money to stay afloat)...

Tax payer money should only be used for the benefit of the tax payer; and in this instance none of it will benefit anyone but the fuckers that inflated every house to high heaven and in the process will put ~90% of the american public under water and in debt (in the process making us all perpetual slaves with our own money)....

That's a rigged system...

[GRG55]

Re: Rep Kaptur: Foreclosed owners should squat in their own homes

Noooo ... They want to bail out their rich buddies. Thus the banksters, not the plebes get the money.

If it was the rich buddies losing their houses there would be mortgage forgiveness.

Guaranteed.

It's the same thing Spartacus. They don't bail out the "homeowner" because that allows him/her to pay down the mortgage to something more manageable, but that in turn reduces the assets of the bank, which ain't good for the system, now is it...

[Slimprofits]

Re: Rep Kaptur: Foreclosed owners should squat in their own homes

After reading her most recent news releases and floor speeches, my question is why does Rep. Kaptur's only solution to this crisis remain encouraging the refinancing of mortgages to fixed rate / 30 years?

Is she for real or not?

Congressman Marcy Kaptur 2007 - 2008

Campaign Finance Cycle:

Industry Total
Building Trade Unions $43,000
Lobbyists $41,000
Transportation Unions $35,150
Industrial Unions $33,000
Defense Electronics $26,000
Public Sector Unions $24,000
Crop Production & Basic Processing $22,000
Retired $16,600
Misc Defense $15,000
Lawyers/Law Firms $14,150
Misc Manufacturing & Distributing $14,000
Defense Aerospace $13,000
Business Services $12,750
Real Estate $11,750
Computers/Internet $10,800
Health Professionals $10,700
Misc Unions $10,200
Credit Unions $7,000
Automotive $6,000
Agricultural Services/Products $4,500

[tombat1913]

Re: Rep Kaptur: Foreclosed owners should squat in their own homes

Well; how about this. Keeping your word has brought on unlimited good karma! A person's word is much more valuable than some green piece of turlet paper.

Karma, give me a break. Maybe Santa Clause won't bring me presents this year as well

Per the contract that both parties (Wells Fargo and myself) agreed upon the bank has the legal right to foreclose on property in the event of default. I defaulted, they foreclosed, contract fulfilled.