-----Original Message-----
From: 
Subject: obvious collusion between federal government & banks 

This is an actual recent experience of one of my grandsons and his family
and should be very interesting to the public at large. 
Especially in this era when foreclosures are at an all time high and the
government is supposedly regulating HUD properties for the benefit of the
public.

Tony B.

In my son's words:


HUD scam.

My son and his wife were interested in a house on 2 1/2 acres.  They drove
by it just about every day and since it sat back on the property my son
never noticed it but his wife did.  She mentioned it on Thanksgiving when
they went to her parents house and when they went past it, she pointed it
out.  Empty -- no signs.

Coming back a few hours later (this is on Thanksgiving) someone from the
government had put a "For Sale" sign up, so they stopped and looked at it.
Two-story, newer house, fairly big.

They looked it up when they got on the Internet.  "As is", (when they
foreclosed on it, apparently the old owner turned the water on and flooded
the bottom floor).  Maybe $1000, or so, worth of sheet rock replacement and
some odds and ends.  Roger found the original owner and found out it was one
of those expensive to build super-energy houses, with an ac system that's a
ground-source/geothermal heat pump, with tubes going 250 feet into the
ground.

This house cost $80 a month to cool when other similar sized houses in the
area were costing $600 or $700 for electricity.  (The city of Sanger had a
monopoly and they gouged on electricity costs.)  Also it was built with 2x6s
or 2x8s with extra insulation (48" in the attic) and blown in insulation in
the walls, plus exterior insulation between the house and the outside
bricks.  (The former owner bought the plans for the most energy efficient
house in the world, in 1997.)

Anyway the government sign goes up near the end of the day on Thanksgiving
and comes down three days later on Sunday.  The sign went up less than a
week before the bids were due,  12:00 pm Thursday, December 3rd.

The minimum price was $95,000, which is about half the price of similar
properties in the area.  Roger bid $105,000 and won the bid.  It's required
that he lives in it for at least three years -- it's not supposed to be for
investment purposes or to resell in the first three years.

But I asked, why was it on the market and not advertised and only available
for bid for less than a week?  And where you could find it on the Internet,
it had a lousy description and the two ugly pictures that made it appear to
be completely trashed and as unappealing as possible.
Not one positive word about it being a custom built house or anything.

So Roger asked about that.  This is the way they sell ALL the foreclosed
government-owned houses.  They give practically no notification and very
little advertising, and only days to put a bid together, even if you do
happen to know about it -- THEN -- when they don't get an acceptable bid,
which given the time frame seems to happen nine times out of ten -- THEN --
it goes up for auction to the banks and investors with no minimum bid.  (And
the time-frame to bid is a month or so.)

So, surprise, surprise, the Federal government is gaming the system, in
favor of the bankers and probably losing hundreds of millions of dollars a
day by actively NOT trying to get the highest price on foreclosed homes.

What a bunch of pricks.




 
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