Studies are showing that shorter term mortgage are becoming increasingly popular to existing mortgage holders and those obtaining new financing. More than 34% of mortgage holders changed their terms to 15 or 20 years, and Lending Tree is reporting a 30% increase in 15-year loans. These numbers make sense as people are waking up to the evil banking system and doing whatever possible to numb the pain.
Despite the promising news about people paying down their mortgage principle faster, I think some “experts” are getting a little carried away. “Mortgage-burning parties are back,” Bob Walters, chief economist for Quicken Loans, told USA Today. Slow down there, Bobby! A few quarters of people shortening the loan terms is a far cry from a “mortgage burning party”. Then again, a title like “chief economist” is basically the same as “head liar” or “top bullshitter” or something like that. Economist just has a nicer ring and sounds more professional…like someone you should believe and trust. Their job is to tell us how great things are even if the world is crumbling around us.
To any of you who may have never heard of a mortgage burning party, well that’s a crazy thing that used to occur back in the day when people would pay their mortgages off completely. Can you believe it? Sometime it even took 30 years but they did it!! Yeah, I know…that’s what’s supposed to happen. But how frequently do you see it? I never remember my parents having a mortgage burning party…at 18% interest they might still be trying if they didn’t sell. Back in a different time in America when people had the same job for 30 years and weren’t encouraged by the government to rack up as much debt as humanly possible before getting out of college, this all made sense. Many times, these mortgage burning parties occurred in the years following retirement.
Today, the only “mortgage burning parties” that I foresee are the ones where we burn the bad mortgages created by greedy lenders and illegally transferred several times with everyone cashing in along the way. These crooks who are shaking people out of their homes and refusing to modify mortgages, yet willing to spend thousands upon thousands on attorneys fees to take the property back.
Why would they go to such extremes instead of just taking payments from the homeowner? Because there is incentive for them to foreclose! They are paid by the Federal Reserve, they write off the loss on the books, then they resell the property and make more money. This is mortgage fraud at it’s finest!
Quiet Title Action is the answer to this problem. These lenders have broken the law in the handling of millions of mortgages and the current lender or servicer has no legal standing to that note in most cases. We call these jokers, “pretender lenders” because they have no legal standing but still manage to get paid in many cases. Technically the lender and the servicer are different, but in many cases services are still attempting to foreclose claiming ownership. Huh?
For the last few years I have been working with the Quiet Title but as a trustee and in one case on my personal mortgage, and there’s no better feeling than to make these greedy lenders pay for what they have done. The blatant deception and fraud on these loans, assignments, and transfers is unimaginable.
So, Quicken Loans can say whatever sounds good on their network television spots, but I will continue having the mortgage burning parties of today’s generation. Citimortgage and Bank of America were two of the most recent mortgages that we got to burn, who’s next?