Friday, May 29, 2009

Please God No!

A new low in bankster tricks. This from "Bank of america" despite the Calabasas location. You know, Countrywide's lair. My comments are interspersed.
Bank of America Home Loans Announces New Program to Help Municipalities Purchase Bank-Owned Properties
Guidelines for use with new federal Neighborhood Stabilization Program funds

Calabasas, Calif. - As part of its commitment to stabilize communities hardest hit by foreclosures, Bank of America Home Loans has announced new streamlined capabilities for municipalities to purchase properties from its real estate-owned (REO) portfolio. The new guidelines are exclusively for local and state government departments receiving U.S. Department of Housing and Urban Development’s (HUD) Neighborhood Stabilization Program (NSP) grants, to more easily and quickly acquire foreclosed properties for resale to home buyers or to address other community development needs.

Exclusive? Great a new tier of preferred participants. Bad enough that the RE industry saves the best for their own use now government gets the second bite before the apple gets put on display.
Bank of America is proactively briefing eligible municipalities about the new guidelines, and has dedicated staff to work with the government officials, agencies and their nonprofit designees throughout the entire REO review and purchase process.

Great, more work for public employees in a time of fiscal crisis.

Specifically, the new guidelines offer to NSP grant recipients the following:

“First Look” Purchase Opportunity – Review of Bank of America bank-owned properties before being listed on Multiple Listing Services (MLS) and other public sites.

Multiple Property Purchase Opportunity – The ability to purchase multiple properties in a single transaction.

Individual REO Sales – A dedicated servicing associate at Bank of America to work with the city from start to finish.

Real Time Listings – Private access to a new Web site providing real-time listings of all REO properties owned by the bank. Lists of all REOs within a specific zip code are also available.

Nothing like "private access" to generate transparency.

“Helping our customers stay in their homes is a top priority for Bank of America. However, where unemployment or other situations have made sustaining mortgage payments impossible, and foreclosure inevitable, we are working with communities to help ensure these properties do not negatively impact surrounding home values,” said Steve R. Bailey, national servicing executive. “Our new guidelines help municipalities leverage federal grants to purchase foreclosed properties with greater ease and speed, so they and their nonprofit partners can determine the best use of the properties to meet local needs.”

Government is the only sucker left in the game at these prices.

Bank of America Home Loans services one in five residential mortgages in America. These new guidelines are part of the company’s overall commitment to help preserve homeownership and stabilize communities. This includes modifying mortgage loans for up to 630,000 borrowers over a three-year period, representing more than $100 billion in mortgages; and a $35 million neighborhood preservation and foreclosure prevention package announced last year in grants and low-cost loans/investments to nonprofit organizations for foreclosure prevention counseling and REO purchases. Bank of America also works with nonprofits to help create and offer training programs for cities and local nonprofits in communities impacted by foreclosures to buy REOs.

BAHL is actually the former Countrywide. Say no more, say no more, wink, wink.


Anonymous said...

Angelo Mozilo and Ken Lewis should be executed.

Ken second, Angelo first.

Unknown said...

Oh boy, can't wait to see who these municipalities will buy them for.

TJandTheBear said...


I know you wanted to set up a new country, but how about starting small and set up the smallest possible incorporated municipality? Then you could apply for stimulus and take advantage of all these programs. Reedy Creek, micro-style?

Unknown said...

So, municipalities will now be able to "click a mouse and buy a house"?

techie22311 said...

Here is a good blog about today's PPT action at the end of the day to paint the tape to exactly 8500. unbelievable. Our tax dollars being leveraged to the hilt to manipulate the markets to get the little guys back in at absurd prices.

sm_landlord said...

So the plan is to let the city planners handle the bulldozing?

Or are cities supposed to go into the residential landlord business now?

It would be comical if a city called up Bank of Countryfried and offered to use eminent domain to take the REOs off their hands. :-)

Anonymous said...

Sure, broke ass municipalities are going to diminish their tax base by buying properties from banks with money they don't have. Great plan.

Lost Cause said...

So what is it GM.q today?

Jean ValJean said...

You mean Government Motors?

Peripheral Visionary said...

Up, up, and away! Good times are here again, and our troubles are behind us--just like the Summer of '07!

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