Spoke with 1st position lender this morning and told them I have an offer for 380 in hand. The rep said it’s too late. I persisted by asking if it’s the price or the time-frame. He checked with manager and he said there is simply not enough time to stop the foreclosure sale tomorrow.
He said if I had a full pay-off and proof of certified funds then there may be a small chance they can stop it but since it’s a short sale offer and there is a lengthy approval process that needs to be followed - they simply can’t help me at this point.
I asked them if I will be responsible for a deficiency (In some states the lender can sue me for the money lost during the foreclosure sale and obtain a deficiency judgment). The rep said, most likely, but wasn’t sure. He referred me to a real estate attorney.
I checked my binder from Bruce Norris’ foreclosure seminar that I went to last year and it says this under New Mexico:
State: New Mexico
Type of Document: Trust Deed
Types of Foreclosure:
- Only judicial foreclosure is allowed in the foreclosing of residential real estate.
- Deficiency: The lender may pursue a deficiency judgment.
- Redemption: The borrower has between one and nine months to redeem the property. All they have to pay is the amount owed plus 10% interest.
So yes, looks like I may have a deficiency judgment to worry about as a result of tomorrow’s foreclosure. I wonder if that means BOTH the first and the second can sue me for deficiency or just the foreclosing lender. I also wonder if the lenders ALWAYS pursue a deficiency judgment or if sometimes they don’t bother with it. Anybody know?
I also looked up the foreclosure info for the other states where I have properties facing foreclosure (or already foreclosed):
State: California
Type of Document: Usually deed of trust with “power of sale clause.” Mortgages are used rarely.
Types of Foreclosure:
- Non Judicial: Used most often by lenders because deficiency judgments not available to them in most cases. The loan document must contain a “power of sale clause” to foreclose out of court.
- Judicial: Used when lender will seek a deficiency or if the loan documents had no “power of sale clause.”
- Deficiency Judgments: Available to lender only in judicial foreclosure. Not available if the loan was a “purchase money loan.”
- Redemption: Not available to borrower if property sold at a trustee sale. In the case of a judicial foreclosure the property may be redeemed in one of two ways. If a deficiency judgment was obtained (the property sold for less than what was owed), the borrower has twelve months to redeem. If no deficiency, the borrower has three months.
State: Texas
Type of Document: Mortgage and Trust Deed
Types of Foreclosure:
- Non judicial foreclosure is most often used when a power of sale is included in the loan document. The process is very fast. Only 21 day notice has to be given prior to the sale.
- Judicial foreclosure is available, however, with the simple process to foreclose the other way, few use it.
- Deficiency: A deficiency judgment can be obtained. Again the market value of the property will be subtracted from the amount owed to the lender to determine the validity of the deficiency.
- Redemption: No right of redemption in Texas.
State: Utah
Type of Document: Trust Deed
Type of Foreclosure:
- Only judicial foreclosure is available in Utah.
- Deficiency: A Deficiency judgment may be obtained by the lender.
- Redemption: Redemption is allowed by the state. Each case is considered individually so time to reinstate is the rule for all properties.
So looks like I will be OK on my California properties in terms of getting sued for deficiency. However, the New Mexico property may come back to haunt me in the future. We’ll see.
Anybody going down the the foreclosure auction tomorrow??
If yes, please report on what happens. Thanks.
- - - - -
Update: per the foreclosure sale letter I received, here is are foreclosure sale details for those interested in attending:
February 14, 2007 at 12:30 PM,
Outside the Front Entrance of the Sandoval County Judicial Complex
1500 Idalia Road, Building A, Bernalillo Rio Rancho, NM
I wish I can make it to the sale for educational value but I can’t afford to fly out there tomorrow. (Unless somebody offers to sponsors me)
193 Comments
February 13th, 2007 at 1:43 pm
Of course you should have been working this months ago as so many posters suggested, MONTHS AGO.
The fact that you had to pull out a binder on foreclosure seminar that you probably spend $5k on…well, that’s priceless.
I’m pretty sure if anyone is dumb enough to spend $5k on a foreclosure seminar, the goal would be to try to get educated on BUYING property in foreclosure.
The noose tightens.
February 13th, 2007 at 1:43 pm
“I also wonder if the lenders ALWAYS pursue a deficiency judgment or if sometimes they don’t bother with it. Anybody know?”
What does it matter if you intend to repay every dirty penny anyway?
Or if you are going to BK anyway?
Seriously, I don’t see how it matters to you. The RIGHT thing to do would be to repay. I am sure you will do this whether they get a judgment or not - right?
February 13th, 2007 at 1:47 pm
Do what you were told to do - talk to an attorney.
February 13th, 2007 at 1:50 pm
Deficiency = every dirty penny you still owe them
You’d said you’d pay them back, so you owe it. They should get a judgement for it and I hope they will.
Remember yoru promise to pay back every dirty penny. I’m only sorry they can’t go after you in CA.
February 13th, 2007 at 1:55 pm
Casey,
I don’t know if its worth the lenders time to go after you for the difference as you have no assets. However, if I were your lender I would look into having the DA file fraud charges against you. As you willingly admit to the fraud, they should be able to easily get a judgement of some sort should you ever make anything.
CA prisons are overcrowded as is. I doubt you’d ever see jail. But a criminal record is a distinct possibility.
February 13th, 2007 at 1:58 pm
Casey,
let them all foreclose, get notices of deficiency, then bk …. THAT is how you get out of this mess.
February 13th, 2007 at 2:03 pm
“Anybody going down the the foreclosure auction tomorrow??
If yes, please report on what happens. Thanks.”
One of your properties is being auctioned off tomorrow and you’re not going to even be there to see what happens? Seriously, are you that busy that the events that will decide your future do not warrant your time and attention? I think most people that cause harm because they were manipulated and have a vast lack of knowledge about the world and it’s simple rules deserve a second chance, but you are riding thin on that assumption. I think the more you let other people control the course of your destiny, the more they will decide upon a route which will lead to ruin. I have a simple request:
Tomorrow, the day a SECOND FORECLOSURE hits, please outline (in general terms) exacty what is so important that you cannot make it to the auction.
You have displayed a stunning lack of understanding for the basic rules of society and the laws that govern it. Unfortunately (for you), the consequences of your actions will be proportional to the harm that you have inflicted.
Let me say one thing:
If (by miracle) all your remaining houses sold and you were only left with a few hundred thousand in debt, do you still comprehend the situation that you are in? For the next 7 years, you will be unable to by any property (because you will be in jail or no one will lend you money). An pragmatic, business minded person would have taken that money and earned a degree. You could have financed an ENTIRE IVY LEAGUE EDUCATION with that money. At that point, you could have made actual SWEET DEALS. But you have decided to deal out the best cards in your hand and pushed all your chips into the middle. People in the real world don’t play the bluff. They have more at stake here than you do (their own money). You played like you wanted to go for broke and then left the table as if you were too busy to see what happened with your hand. I guess when you play poorly, you already know the outcome.
I hope that most people can work out of a situation that they got into by poor luck, but you were given extraordinary opportunity (a free education/citizenship in the United States) and squandered it. That is the real crime. Not the millions of dollars lost or the fraud, but the opportunity that your eastern block countrymen/women or 80% of the developing world would kill for.
February 13th, 2007 at 2:04 pm
In California I think the “second” holders can still sue you for their losses. “Purchase Money” if I remember correctly is only the first trust deed at the time of closing. If you have refinanced or created a second then those don’t apply.
I’m not a realtor but I think that’s how it works.
Have you read ANY of your loan documents to see what clauses are in there?
As far as whether they WILL come after you if they are allowed to, the answer is almost always “if it’s worth their time and effort”. If you owe a $5K and they can see no assets and $250K in debts they probably won’t bother but if you owe $75K they probably will. Also, there’s a statute of limitations on how long they can wait so if, by some miracle, 2 years from now your financial picture looks very different, they may come knocking.
February 13th, 2007 at 2:05 pm
You said, “I also wonder if the lenders ALWAYS pursue a deficiency judgment or if sometimes they don’t bother with it. Anybody know?”
Ha ha, hahahaha, hah hahahahaha. No, they HATE money, that’s why they GAVE it to you in the first place. As you have learned from personal experience, doing things like opening mail is harder than mining coal. Therefore, getting a deficiency judgement must be harder than a manned mission to the surface of the SUN!
This blog has a truly positive, uplifting, and motivating message. And that message is that sometimes bad things happen to bad people.
As always,
Richer Than Casey
February 13th, 2007 at 2:05 pm
As the previous poster mentioned, what does it matter if there is a deficiency? Didn’t you vow to repay every “dirty penny.” It seems like the only thing you can manage to be consistent in is the level of hypocrisy and arrogance that is evident in everything you’re doing. So predictable.
February 13th, 2007 at 2:06 pm
It’s getting close to the saga of Casey.
many undercovers will be in foreclosure to catch casey
YES. YES, JUSTICE WILL BE SERVE
February 13th, 2007 at 2:06 pm
Where is the auction tomorrow? Is it at the house or at a bank or courthouse?
What time is it?
I’ll go if I can find out where and what time.
February 13th, 2007 at 2:10 pm
“I also wonder if the lenders ALWAYS pursue a deficiency judgment or if sometimes they don’t bother with it. Anybody know?”
Why should they? I have ALWAYS found lenders to be the most generous, friendly, understanding and cooperative people in the world. Why they would give you the shirt off their backs if you needed to borrow one. They only retaliate against people when they are very angry, and otherwise make it a good business practice of ignoring things like annoying overdrafts, silly underpayments or perverse non-payments. After all, why would they bother at all with trying to recover their lost money, given bumps in the economy they know have holed your ship. That you lied to them to get the loans, and pocketed some of the proceeds is just part of the costs of doing business to most of those in the loan business today.
My advice: forget about it. Strikes me you have already done that anyway.
February 13th, 2007 at 2:13 pm
Tibetan Monk say:
Casey try get legal advice from blog.
Casey too busy to watch foreclosure auction.
Casey think biggest worry is deficiency judgment.
Casey facing insanity.
February 13th, 2007 at 2:31 pm
Casey -
Did it ever occur to you to crack open your binder, say, 8 months ago?
February 13th, 2007 at 2:32 pm
OK. I disagree with a LOT of Casey’s decisions…
But are any of you actually saying that Casey should spend $1K-$2K to fly to NM, rent a car, etc… just to attend the auction?
What would be the point of that? The auction is aparently going to happen with or without him and he’s not in a position to bid. He doesn’t have the money to go there. Anyone want to loan him some cash?
Casey, get your (insert bad word here) together and deal with the properties BEFORE two or three days out. You had problems with Texas because you sat on your hands until the day before, you had one lucky break that bought you a month in CA and now NM you have no runway left.
What’s going on with UTAH? That appears to be the only house that isn’t (I hope) in danger of foreclosure? Did you find that missing payment? It’s YOUR responsibility because YOU sold this as a “wrap around” leaving you on the hook. Since you “technically” still own it, I wonder if any of the other banks are likely to slap a judgement on that one before the buyer finishes is work and takes you off title? That would be a funny plot twist.
February 13th, 2007 at 2:35 pm
I said I will “pay back every dirty penny” back a few months ago IF I can find a way to do that. So far I haven’t found a way. I’m also OK settling the debt for less then full balance because if I can’t pay it all back I feel good about paying back at least a portion of it. I will do what I can do.
Forgiven debt - If the property gets foreclosed and they are not going after me for deficiency am I supposed to just mail them a check anyway?? (if I have the money that is)
If my debt is forgiven I’m not going to send any money.
February 13th, 2007 at 2:40 pm
Updated the main entry with details about the auction tomorrow. See above. Too bad I can’t afford to fly out tomorrow and visit the auction. Would be very educational I think.
February 13th, 2007 at 2:43 pm
you wont even show your face at the auction because theres no JAMBA JUICE in 87144
February 13th, 2007 at 2:52 pm
“I said I will “pay back every dirty penny” back a few months ago IF I can find a way to do that. So far I haven’t found a way. I’m also OK settling the debt for less then full balance because if I can’t pay it all back I feel good about paying back at least a portion of it. I will do what I can do.”
How hard did you look? Did you send out ONE single resume? Just one?
February 13th, 2007 at 2:53 pm
Hey KC!
Look at the bright side: That bank has bird-dogged a SWEEEET foreclosure deal in New Mexico for you! OOOPS! Now, you owe them ANOTHER $500.00!
February 13th, 2007 at 2:54 pm
ENDGAME A DAY FURTHER
The day before the foreclosure auction, our lad decides to sit down and read up on the consequences. This is another priceless moment in a long series.
AND, once more the cold, harsh grip of reality penetrates the fog of denial in which our lad resides. Notice the sober,
even rational tone of his blog.
Will it last?
Or after this foreclosure is done, will he go back to thinking about buying 100-unit apartment buildings for no money down?
To boost his spirits, given Casey’s work history so far, I suggest we offer future occupations for Casey–ones to avoid, and ones to look into.
Future occupations for Casey to avoid: heart surgeon,
brain surgeon, air traffic controller, pilot, Secretary of Defense, Governor of any of the 50 states, accountant, controller, parent, any occupation which involves the handling of money OR the opening of mail.
[…]
The floor is open for further suggestions!
February 13th, 2007 at 3:04 pm
I do have a question for everyone here and I would like an answer.
Where I live, I can purchase trhe rights to someones debt. If they don’t pay me then I can force them (with other creditors) into bankruptcy. While in bankruptcy I can petition the court for criminal charges in the bankruptcy if fraud is uncovered. Further, as one of the creditors, can I substitute the Trustee Casey chooses for one of my own?
Again, where I am living this is _very_ possible and can be done with little of my time being wasted. Is there a BK attorney here that would know anything about this?
Casey has been dumb enough to list his creditors and how to contact them.
I just went and saved the letters on this site.. and will wait for your answer. I’ll post it on a few others if it is edited here (ie: erased/modified by Casey).
February 13th, 2007 at 3:25 pm
I would love to see Casey on the Apprentice, or even hosting his own contest reality show.
February 13th, 2007 at 3:27 pm
Doesn’t some dude owe you several thousand? How would you feel if he said he can’t pay it, but then in a few years you see him driving a new sports car? You would want your money back, right?
You have decades to pay back the money you wasted. What church teaches it is OK to not pay back debt? Before ever going on a vacation again you should pay back the money. Or rot in Hell forever. Your choise I guess.
February 13th, 2007 at 3:33 pm
Who wrote this on his blog?
“In my own mind, I would feel best if I repaid every single dirty penny I borrowed. That’s a respectable thing to do. I’ve never NOT repaid a loan in my life. I don’t want to just weasel out of it via a short sale and bankruptcy.”
“Worst case scenario - I may have to volunteer to sign a promissory note to pay the lenders back after they loose money via short sale. We’ll see.”
Why the change?
February 13th, 2007 at 3:40 pm
“I said I will “pay back every dirty penny” back a few months ago IF I can find a way to do that. ”
Bull$h%t! Here’s what you said:
“In my own mind, I would feel best if I repaid every single dirty penny I borrowed. That’s a respectable thing to do. I’ve never NOT repaid a loan in my life. I don’t want to just weasel out of it via a short sale and bankruptcy.”
Do you see anything about “IF I can find a way” anywhere in there? You lie even about things that are easily verifiable. Must just be your character.
According to what you said, you should repay “every dirty penny” since that’s what will make you “feel best”.
And as for “forgiven debt”, if there really is to be any, it would only be because you’re REFUSING* to pay it back, not because the lender is in love with your looks, or that you’ve have been so prompt with your payments.
*Yes, you’ve actually refused to make payments by refusing to make any attempt to earn (there’s a foreign concept for you) any money in order to do so, and to take responsibility for your obligations like an honest citizen.
February 13th, 2007 at 3:42 pm
I thought you said you would take care of this a very long time ago.
What are you doing with your time- you keep missing the most important matters in your life for a tiny glimpse of fame.
what a waste
February 13th, 2007 at 3:43 pm
FYI Casey, you’re going to get a bill from someone a little scarier than your New Mexico lenders pretty soon. Using your spreadsheet and a 25% income tax bracket as a guide, you’re going to owe about $75,000 to the IRS in 2007 as taxable debt forgiven.
Wow, dude! You’re sinking faster than the Titanic.
February 13th, 2007 at 3:44 pm
You haven’t found a way to pay back the loans because you haven’t earned any income. If you had an income, you might have a way to pay back the dirty pennies. But you refuse!
Things sure have changed since that post you just linked to. Then, you proposed signing a promissory note for the difference. You didn’t make it contingent on whether or not you had the money or whether or not the lenders were willing to forgive the balance.
Then you wanted to pay it back because it was the right thing to do. Now that push comes to shove, you only want to do the right thing if it doesn’t inconvenience you — or require you to earn a living.
I guess that was just another one of those “thinking out loud” posts that have nothing to do with reality. You will do what you can do? There’s plenty you CAN do that you REFUSE to do.
February 13th, 2007 at 3:55 pm
“I said I will “pay back every dirty penny” back a few months ago IF I can find a way to do that. So far I haven’t found a way…”
In the meantime, you have spent a small fortune on Jamba Juice and Maccaroni Grille, $5,000 for a car and unaccounted amounts on silly RE courses. If you were serious about paying back money you owed, you would have forgone these extravagances and given the banks some more “dirty” pennies of the payments you owe. (You might think the dirty penny thing raises a question about the cleanliness of the pennies when the bank gave them to you.).
But no, there’s more. You spend money on all these
“educational” courses which are meaningless and actually harmful.
For example, you state today apparently on the basis of knowledge drawn from the Norris course that “So looks like I will be OK on my California properties in terms of getting sued for deficiency.”
No. All the loan companies have to do is to go to court to get a judgement before foreclosure instead of going the other method and they can get a deficiency judgement. It’s just an alternative way California has chosen of handling these issues. It used to be infrequent and the court proceedings protracted, but no longer because the courts are fed up with the caseload of these foreclosures and are simplifying the proceedings, and loan companies want their money or the right to state on their profit-loss statements that they have court-ordered judgements for X amount of money. It helps when the Federal Reserve auditors stop by. The banks and loan companies also have lawyers on their payrolls who handle these cases, and the lawyers have to have something to do.
So no, you are not OK in California in terms of getting sued for deficiency.
Last point: I’ve been to foreclosure auctions on the court-house steps and you should save your money. It’s a 10-second event, and hardly sexy. The sheriff stands on the courthouse steps, brings up the case, begins the bidding and the lawyer for the bank or loan company makes the bid and gets the judgement. Only, and very rarely does anyone else make a bid.
Trust me, it’s a waste of your time.
Whoa, on second thought, for God’s sake, don’t trust my words. Trusting some guru’s word is part of the reason you got into the incredible trouble that you are now in.
February 13th, 2007 at 3:57 pm
“I also wonder if the lenders ALWAYS pursue a deficiency judgment or if sometimes they don’t bother with it. Anybody know?”
Yes, they’ll always try to recover their losses any way they can, especially when it’s over $100,000 as this is shaping up to be. Lenders don’t like losing this kind of money on a single loan.
However, they might make an exception in your case since you’re so special and posess the magical ability of not opening mail and the belief that:
Unopenned Mail Containing Problem = No Problem
February 13th, 2007 at 4:00 pm
Yes, Casey, I think you would find it “educational” to go to the bankruptcy sale. Too bad you ignored all your Gurus’ advice and bought out of state. Feels silly now doesn’t it?
The good news is it looks like you will have 4 more of these Educational Opportunities much closer to your home in the coming months. You may be able to attend one of more of these.
Have you added up the TOTAL of how much you received as “Cash Back” at closings for all your deals in 2006? That’s all income you told your tax guy about, right? I’m guessing it was between $100K and $200K… I may be low though. Want to tell us? Also what did you do with ALL THAT money? You stopped paying your mortgages around June of last year so was all that cash gone in under 6 months?
February 13th, 2007 at 4:03 pm
Who is John Galt? Keep the posts coming. Before we know it, Atlas will shrug and Casey’s going off the deep end.
Casey, sorry to hear that your sweet deal couldn’t work out and the bank wants to actually try to get rid of this ‘asset’. Oh, there’s not much to learn at a foreclosure auction. You will have spent more time reading this post than it takes to auction of your property unless the intial bid is a great price. So save the airfare and show up at your Sacramento and Modesto ones.
February 13th, 2007 at 4:11 pm
For those who want to attend the foreclosure sale, I got an email from somebody with precise directions because apparently the address on the letter is misleading:
Thanks you Rio Rancho Friend.
February 13th, 2007 at 4:21 pm
Since I’ll be in the area and I have the week off, I figure I’ll head into town and make a video of it tomorrow. I’ve never been to a RE auction before!
February 13th, 2007 at 4:23 pm
Quote: “I can’t keep living fantasy world, I must learn to be more realistic so that’s why I am changing some of my attitudes that you may have seen earlier on this blog.”
In that case, you need to get a job, maybe even 2 or 3. Get your a** working.
February 13th, 2007 at 4:29 pm
What do you mean by:
“I may have to go under the radar”
Does that mean you will try to weasel your way out of your creditors garnishing your paycheck or what is rightfully yours?
Thanks Casey I have just sent your “under the radar” comment to Jan Scully the Sacramento DA as further evidence of your intent to defraud the public.
February 13th, 2007 at 4:30 pm
Well Casey boy, it looks like the bank has pulled the “Big Dirty” on you!!!!!!
SWEEEEEEET!!!!
I think you should go to the auction and bid like a madman….then walk away right before the auctioneer says “SOLD”. Then get one of your friends to do the same and continue this all day. That should give you enough time to work in the short sale…
This is part of my new seminar “The Big Dirty, How to beat foreclosure”. You need to sign up, Dude!
Julian-The Original Trailer Park Boy
Trailer Flippin Guru
R/E Seminar Guru
Best Friend to Ogg, Homey da Clown and Casey Serin
February 13th, 2007 at 4:35 pm
Casey, I like the idea of going underground that you mentioned in post #29 before you edited it. Let’s be honest here — all this stuff has to be very depressing for everyone involved. And the fact of the matter is that it’s just going to continue for years and years. Who wants that? What kind of life is that?
I believe that going underground *is* the solution to you and G’s problems. She’ll need to quit school and neither one of you can ever answer a piece of mail with your names on it again. Take jobs waiting tables and save up enough cash to start a lawn care business. Do that during the day for cash. Work the restaurant gigs at night. Save all the cash until you can move (which should happen ASAP.) You need to lead a life with ZERO credit and everything needs to be done with cash. Make up phony names for your next apartment.
The goal is to get enough cash so you both can leave the country.
All this RE nonsense has done nothing but cause heartache pain. So, stop the pain, flip the switch and go underground. It’s not easy but it certainly would be a worthy adventure for a young person. Very bloggable, too, I would imagine.
Imagine a world with no foreclosures, no bad credit history, no debt, no bankruptcies. Imagine a world where you wake up free of worries about anything other than getting to your clients to mow their lawns and trim their hedges and collecting cold, hard cash each and every day.
You’d be on a positive path, and a nice, simple one at that.
February 13th, 2007 at 4:39 pm
#35: Wow, Casey, buddy… From the tone of this post, it seems like you’re actually starting to grasp the reality of your situation! Are you sure that’s wise? If I were in your shoes… I would be either in a major depression or on the verge of suicide. That, or I would just throw in the towel and lie low for awhile until things died down a bit … Good luck sorting it out now that the foreclosures are coming in. Not sure where you’re gonna go next with this, hopefully you can find somewhere that bill collectors can’t follow you. (Hint: try New Zealand!).
February 13th, 2007 at 4:41 pm
If you do file BK, I promise to be there in court pointing out ALL of the fraud to the Judge and how the unsecured debt is tied to the properties purchased via fraud.
February 13th, 2007 at 4:43 pm
“(I probably shouldn’t care too much about what the haters think, they are going to hate no matter what I do).”
Actually, that couldn’t be further from the truth. If you ever actually followed the advice here (like what I posted immediately before this post), we would all support you. If you actually got out of debt and paid back every dirty penny, we would root for you. I think we would be as proud as parents should you some day rise out of debt, pay it all back, and become a successful real estate investor.
People here are “haters” because you make bad decisions, while at the very same time ignoring the advice that would lead to a GOOD decision. Think of every poster who has offered you a good plan to get out of this situation. They’ve been doing it for months, and you ignore all of it. You sign bad deals impulsively, then you ask if you should have signed it. Lately you ask for advice first, we all scream NO, then you go and write “yes” anyway. It drives people nuts.
People also don’t like it when you lie. You consistently claim that you’re going to do one thing, like “pay back every dirty penny”, but then you continually allude to trying to weasel out of a problem. For example:
“I also wonder if the lenders ALWAYS pursue a deficiency judgment or if sometimes they don’t bother with it.”
You’re going to pay back every dirty penny, right? So who cares if they pursue a deficiency judgement?
Casey, we hate because you lie. We hate because you are denser than a brick wall. We hate because when we try to help, you ignore us.
We don’t hate “no matter what you do”.
February 13th, 2007 at 4:44 pm
I wonder if that means BOTH the first and the second can sue me for deficiency or just the foreclosing lender. I also wonder if the lenders ALWAYS pursue a deficiency judgment or if sometimes they don’t bother with it. Anybody know?
Casey,
I don’t know the right answer to your first question. I’ll find out though. Regarding the second question, the answer is it depends. It depends on if there’s anything to go after. In your case there isn’t. The lender may file a judgment against you in which case you will never own property in your own name again. No wrap arounds can skirt that.
Like many people have been advising you for months, bankruptcy would have delayed this process further until you could sell through a short sale or some other manner. Will you listen now and protect your remaining three properties, or will you let them go in a similar manner?
Just curious, when is the last time you spoke to this lender besides today? Was it in December when you found out about the Utah wrap? Have you done anything regarding the deed in lieu suggestion I emailed you? Otherwise you’re going to see this very same scenario play out three more times. At the end, you’ll have six figures in judgments, no property and no ability to purchase property. Are you going to be proactive, or just let them all slip away?
Take care of yourself otherwise.
Nigel
February 13th, 2007 at 4:53 pm
This is about to really get good. I did foreclosure sales in San Joaquin County, California. If the debtor does not show up and no one else does (normally happens) the bank can bid $1 and have the property back and debtor still owes the entire amount minus $1 in the judgement.
I don’t know about Texas.
Someone to bid up the bank is a must.
February 13th, 2007 at 5:15 pm
Casey:
I will sponsor your flight, I fly Southwest twice a week, so it’s no big deal for me to spot you one this. Call me at 619-807-23xx tonight so we can workout the details.
February 13th, 2007 at 5:33 pm
Looks like newly minted MBAs doing private equity now take in $289,000 a year, average. And that’s just out of business school.
http://money.cnn.com/2007/02/1...../index.htm
Too bad they are so busy with the “rat race” to truly enjoy their huge salaries.
I mean, for that kind of salary they must be working 50-60 hours a week. Of course, all of the entrepreneurs I know work at least that much and the very best one makes half as much money. Most of them make a quarter of that amount.
What fools these students must be to subjugate themselves to education all the way to the frail age of 23 to only receive the pittance of a third-of-a-million-dollar-a-year-salary upon graduation!
February 13th, 2007 at 5:33 pm
Casey:I can’t keep living fantasy world, I must learn to be more realistic so that’s why I am changing some of my attitudes that you may have seen earlier on this blog.
@Casey:
The world (the one we share) doesn’t exist for your benefit. Why it exists, nobody knows.
In this world, one can aid others, largely ignore others or detract from others. You detract from others. Financially, aiding another by providing a good or service can benefit you and them (read win-win), ignoring (eg: un-employed, as you are) provides no benefit to you or another… and detracting (eg: wasting capital as you have) results in losses for yourself and those who have aided (provided a good or service).
This is why you have detractors (haters).
Casey: (I probably shouldn’t care too much about what the haters think, they are going to hate no matter what I do).
@Casey: I think DLG has not quite left the building as you still troll.
February 13th, 2007 at 5:34 pm
Casey is right about one thing, people. A real estate lawyer can’t save him now. The best thing a bankruptcy lawyer could do at this point is to negotiate on Casey’s behalf with his creditors to work out forebearance and repayment agreements. But because Casey has borrower money from so many different lenders, even that is unlikely to make much progress. If Casey doesn’t go belly-up before summertime, it’ll be a modern-day miracle.
February 13th, 2007 at 5:45 pm
Anyone interested in what the IRS has to say, regarding Federal tax due during foreclosure proceedings?
http://www.irs.gov/publications/p908/ar02.html
February 13th, 2007 at 5:52 pm
They won’t sue you unless you pissed them off. D’oh!! You went and pissed them off. If I were you I’d be more worried about a wire fraud conviction than a Jamba Juice. California might have a prison overcrowding problem, but the feds always have room for one more. See you in the funny papers.
February 13th, 2007 at 5:56 pm
I originally posted that you should use the bankruptcy path, and why. From my vague recollection, I think it was somewhere back in early October.. maybe earlier.
I mentioned that bankruptcy will not discharge everything, but it will allow you to force the banks to accept short sales, and it will give you a way to reduce the interest rates you were being charged. Taking this path would have reduced the amount you would have ended up owing. It would have allowed you to force the sale of the assets (houses) at whatever price you could get w/o the bank trying to hold out for more at your risk (I mentioned that you should not expect a Real Estate turn around for a while). It would have forced credit lenders to lower their high interest rates.
Since then, 4 months have gone by and at what I had estimated as a negative cash flow of roughly $15,000/month due to interest charges alone, you have managed to pile on an additional $60,000 in debt. This does not take into consideration the drop in the value of the underlying assets (houses), which would have fetched higher prices 4 months ago (which is a much greater negative cash flow, but hard to estimate… guessimate would almost be %25 per year for this last year). NOTE: There are homebuilders dropping the asking price on new houses by that much currently.
I had also mentioned the difference between recourse and non-recourse loans. In California, first/primary mortgages are non-recourse, 2nds are recourse (as you are just starting to find out). New Mexico, both are recourse (also as you are trying to find out). I told you back then to identify which were recourse and which were non-recourse.
With non-recourse, the banks can’t come after you for the balance (deficiency judgment), but the bank WILL declare the loss and you will be charged for loan forgiveness as income. The reasons why the banks WILL declare the loss is that it allows the banks to offset any earned income with losses (net) and thereby reduce the taxes that the bank is responsible for. I mentioned that you needed to track costs here to find a way to show a capital RE loss to offset this income. (keep all records)
With recourse loans, the banks can come after assets you have… and you need to make sure the Utah property is properly retitled because they may come after that (if title is still in your name). If the banks take the Utah property, you may have legal problems with the current owners. You may also get declared income in the form of loan forgiveness on recourse loans should the bank calculate that pursuing would be more expensive than writing off.
All the above was mentioned too… but seemed to be ignored. Maybe some of those ‘haters’ were just being honest, and recognized your real predicament.
The last two postings you did are a step in the right direction, but as always; a day late and a dollar short (or many of both).
You should see, that time is usually of the essence. Not moving because you don’t like the scenario is usually not an option. It will only get worse.
PS: You may have a problem declaring chapter 13 now. Eligibility requirements indicate less than $307,675 in unsecured debts and $922,975 in secured debts for individual.. note that this is also for those with regular income. (might have to be chapter 7, see also Chapter 13 hardship discharge).
-Back to train wreck watching. (or imminent impact with cliff wall).
February 13th, 2007 at 5:56 pm
you should have called this blog “iamdeferringbankrupcy.com.” the fact is you’ve chosen foreclosures before bankrupcy rather than doing it all right once, through a court settlement among your creditors. instead of asking a judge to divide your assets, you want to steeply erode your position for a year or two more first, and simply let luck determine which bank gets screwed most. then when your “homes” are all gone you’ll have so much debt that you are compelled to declare bankrupcy anyway. throughout this process you won’t get a job to offset losses, and your skills will erode, so you’ll experience marginal employability, making the bankrupcy an obvious last step to a long string of utterly unnecessary and inappropriate “attempts” to pull your balance sheet out of the fire. when in fact you should decide on bankrupcy today, file tomorrow, and get a job the next day. that would be the virtuous thing to do for your creditors, and the healthy thing for you and your family. the fbi needs to realize that letting you run around eroding the bank assets (unoccupied properties, ballooning debts you will never repay) is doing them a disservice. in fact i’m baffled the banks haven’t begged the fbi to take you in, if only to strike a deal wherein you declare bankrupcy in exchange for state leniency. maybe they think you’ll win the lottery. dunno.
February 13th, 2007 at 5:59 pm
And what will not working get you?
February 13th, 2007 at 6:01 pm
“And getting 5 more night jobs and working 24hr/day is not the answer.”
MORE? Where are you getting ‘more’ from? You can’t have more when you’re starting with none.
GET A JOB.
“No job is going to pay me enough to float my thousands dollars of minimum payments and tens of thousands to catchup all the past due balances.”
Good point. Getting a job would just be stupid. Doing nothing, as you’re currently doing, is a much better idea.
GET A JOB.
I love this blog, much like I love watching someone choke to death on their own hubris. Both are favorites.
February 13th, 2007 at 6:13 pm
Your debt can, and will, be sold for .05-.10 on the dollar. Whoever buys it will do all sorts of things in attempts to make their investment pay off. So, after you BK, DO NOT sign anything accepting responsibility for any of it. I don’t think you’re that stupid, but one never knows.
February 13th, 2007 at 6:15 pm
Pro bono attorney = friend who is attorney. You need a BK specialist. If your friend is worth their salt, he/she will tell you this.
Prepaid legal: Sorry, you have a “pre-existing condition.”
February 13th, 2007 at 6:19 pm
Have you been looking for a job(s)?
February 13th, 2007 at 6:39 pm
So you managed to rack up all this debt, and we can’t figure out why (and based on the lack of math skills you presented in the Kiyosaki video, you certainly can’t provide ANY insight). Even IF you’re this far in the hole, why keep digging? Even getting a small day job that meets your current basic living expenses will improve your situation or at least stop your sink rate. Who cares if you can’t do much for the debt in that instance? At least then you wouldn’t just be a huge leech.
If you won’t work, they should throw you in jail (where you’d last a week, tops) or ship you back to Uzbekestan.
February 13th, 2007 at 6:48 pm
Hey there Casey -
Can you explain what you meant above by “under the radar”?
Thanks, hombre
February 13th, 2007 at 6:55 pm
In a prevoius thread to Casey Longshanks said:
“(Casey)I bet you are no more than $500 to $700k in the hole. That works out to a loan amount of around $2000 - $3000 per month over 30 years”
Payments of $2000 to $3000 per month would be a killer. Casey declare bankruptcy! If it doesnt go your way then move to a nation that speaks Russian and take your computer skills and significant other with you. The United States is on the decline. Escaping the US would be a great oppurtunity. If I was offered a position in say - Australia I would sell my business and gladly move immediaty.
You wont be extradited back to the United States and may even be able to come back once or twice a year for visits.
When you add up your earnings, factor in taxes, interest, and biggest of all oppurtunity cost you will see that $2000-$3000 per month even for an above median income earner is a financial death sentance.
Sell all these properties as fast as you can and declare bankruptcy with any funds you have over. Get a good attorney and hope that the repayment amount (if any) is low.
Be sure to scope out places overseas and get prepared as much as you can in the meantime just in case.
February 13th, 2007 at 7:10 pm
FORGET NEW MEXICO.
Did you get your $250? Go to the COSTA RICA and invest invest invest invest. Go Casey. get Cash Back. IN COSTA RICA.
February 13th, 2007 at 8:44 pm
Casey,
Here’s some real advice. You should not care about paying back the loans. You should only care about what gets you outta this mess the best way. Talk to an attorney - its got to be bankruptcy. Those deficiency judgements I told you about before. You will not be able to do any sweet real estate deals with judgements, because they will need to be paid off first (title company won’t close until judgements are paid). That’s why when I think I have a flaky tenant, I ask for a co-signer that owns real estate. If they don’t pay, I can sue them and will get the money when they sell their real estate.
As when you were doing your real estate stuff, you’re making the wrong decisions now.
You should read “Down and Out in Paris and London” by George Orwell, a good account of poverty.
Loads O Money
February 13th, 2007 at 8:47 pm
Casey what do you mean you have 23 accounts? Bank Accounts?
February 13th, 2007 at 8:47 pm
darn I hate to hear that casey! good luck on your future real estate endeavors
February 13th, 2007 at 8:53 pm
You’re not going to learn much at a foreclosure auction, except watch an auction, but if you’re really hungry for the educational experience, or even if you’re just trying to distract yourself from your avalanche of problems (more likely), why not pull out the local classifieds, pick a local foreclosure auction, and drive the five miles in your sweet Jetta? That way you only need to leech $10 from a sponsor, not $1000. That’s righteously sweet, like a Strawberries Wild from Jamba J.
February 13th, 2007 at 9:15 pm
Under the onerous bk laws that passed a while back, doing a bk becomes much more difficult and the debtor may no longer be able to walk away from the debts.
February 13th, 2007 at 10:00 pm
“also wonder if the lenders ALWAYS pursue a deficiency judgment or if sometimes they don’t bother with it. Anybody know?”
February 13th, 2007 at 10:01 pm
Good grief. I can’t believe this. John T Reed warns people of BK and now I know why.
Peter
February 13th, 2007 at 10:03 pm
“also wonder if the lenders ALWAYS pursue a deficiency judgment or if sometimes they don’t bother with it. Anybody know?”
Many times, perhaps mpst of the time, they don’t bother. However, they frequently sell the loan to someone who does bother.
February 13th, 2007 at 10:11 pm
Casey,
Can you explain what you meant above by “under the radar”?
The FBI is really interested in your blog all of a sudden, not sure why, but you really caught their attention this time around
February 13th, 2007 at 10:15 pm
Can someone video the foreclosure sale so Casey can post it here (or YouTube and link from it here?)
February 13th, 2007 at 10:32 pm
I think you should try to pay back all of the debt eventually, even if some of it is forgiven. Pay off the worst debt first but alway send some money nomatter how small or how long it takes. This will do your conscious well and help you succeed as opposed to poisoning it with the reality that you
had stolen peoples money which will constantly defeat your
endeavors.
Also I think you should try to get a small job even if it’s just for a few hours as it will show you really tried everything and it can help no matter how small. If you get a job say with a grocery store, you may be able to get an employee discount which can help you pay for your food and lower your expenses.
February 13th, 2007 at 10:34 pm
@Nigel: if I don’t care about trying to KEEP the houses, how does it hurt me to wait until the foreclosures run their course and THEN declaring bankruptcy on the unsecured debt?
What advantage is there in stalling the foreclosure process with bankruptcy if the lenders are going to foreclose regardless? Either way my credit is screwed and I will get foreclosure on my record.
However, if I hold off on bankruptcy and attempt to short sale the houses first at least I would have a chance to avoid multiple foreclosures and show a proactive effort to settle the debt.
Am I missing something?
February 13th, 2007 at 10:44 pm
Good things are coming and so is the FBI my criminal friend and not just for you, but for wify as well.
SWEET!
February 13th, 2007 at 10:57 pm
Dude! Enough with the FBI scare. Getting tired of hearing it.
What am I gonna do? Am I gonna run away to another country like some kind of criminal? Am I gonna be crippled by fear? No.
I’m right here. I’m not hiding. If they want to come get me, let them come. I stand by everything I’ve said. I never had intent to defraud anybody. I made some mistakes. I’m learning a ton and trying different things that will help me get out. I’m documenting my experience for other people’s benefit. I may or may not declare bankruptcy, we’ll see. I’m gonna be careful about getting into shady deals in the future. I’m going to recover from this and make it one way or another.
I’m not going to stand any more “OH NO!!! THE FBI IS COMING!!!” type of comments. If you have something constructive to say, say it. Otherwise, go back to your hater club and spread your poison there.
February 13th, 2007 at 11:08 pm
@Nigel: if I don’t care about trying to KEEP the houses, how does it hurt me to wait until the foreclosures run their course and THEN declaring bankruptcy on the unsecured debt?
No matter what these other posters tell you, real estate is an asset. You don’t care about giving away your assets? Come on. If things continue down this path, barring some huge miracle, you will have given away assets that you may be able to use in the future. Once you have judgments against you, you’ll never be able to buy real estate again until they’re settled. BK now, sell the remaining property, except for one and move into it. Otherwise you’ll be renting for a long, long time.
What advantage is there in stalling the foreclosure process with bankruptcy if the lenders are going to foreclose regardless? Either way my credit is screwed and I will get foreclosure on my record.
BK will allow an interested third party to get involved and actually help you. So far your efforts have resulted in foreclosures. Forget about your credit. What do you think five foreclosures and multiple collections are doing to your credit? We’re talking about your life and your future here.
However, if I hold off on bankruptcy and attempt to short sale the houses first at least I would have a chance to avoid multiple foreclosures and show a proactive effort to settle the debt.
BK is a guarantee of putting off foreclosure until you can sell or simply negotiate a deed in lieu. Otherwise you’re at the mercy of an indeterminate market and lenders who want to cut their losses. “Your” burn rate at this point is really “their” burn rate.
Am I missing something?
You are completely missing the gravity of this situation. Your life is at stake here. Treat your decisions as such. There is no reset. There is no redo. In this case, “game over” will mean exactly that.
I’ve been following your story since you first started the blog. In the beginning, I thought you were making progress. What really put me off was your early riser post revealing you were sleeping till three in the afternoon. The post about the VW pissed me off as well, but I didn’t say anything because you had already cultivated a legion of “haters.”
In retrospect, you haven’t accomplished much to fix your problems. You haven’t sold a single home in six months. You haven’t improved the curb appeal of a single home in six months. You almost blew the one success you had being the Utah wrap. And you wasted more borrowed money going to that b.s. NR “college” in AZ.
You have one last chance here. Once these houses are gone, it’s goodbye real estate for you, whether you like it or not.
The good news is you still have a precious little amount of time left. BK now, save a primary residence.
Take care,
Nigel
February 13th, 2007 at 11:16 pm
“I may or may not declare bankruptcy, we’ll see.”
That decision has been made for you the second that house sells at auction. Read up on the new BK laws. A refinance of any type means you give up your right to have those debts discharged.
February 13th, 2007 at 11:17 pm
Casey my criminal friend, don’t get so upset, good things are coming, sweet
Now Casey, are you trolling us again? You invited Jerome and you made a video of the call. Jerome told you that you should turn your self into the FBI. This is not a “negative” post, but rather, the fact that you are failing to listen to good advice.
But now you are saying that if they FBI wants you, to have them come after you? What happen to the “good” you want to do?
February 13th, 2007 at 11:19 pm
Don’t get me wrong, I’m not angry you don’t have a ’standard w-2 job’. Just from my experience, the cash jobs are small, few, and far between and as such are not reliable. And I’ve been at least able to feed myself either at an employee discount or for practically free in some hard times which I am greatful for.
Also, even though some of the jobs were crummy or the managers were plain mean (and some of the managers were absolutely the best people I’ve ever met), it seems every one had something to offer other than just a pay check, either by learning things or by meeting people or opportunities which helped even more than the pay.
February 13th, 2007 at 11:30 pm
Casey,
The best option for you right now is to declare bankruptcy. Every day you spend not moving towards bankruptcy is an extra day you have your wages garnished. Since you seem to be putting a lot of these things off to the last minute anyway, you’re really not showing good faith by holding off on BK.
The IRS tax debt is going to be an issue that won’t go away with Bankruptcy, but $75K in debt isn’t horrendous. At the ~8% interest the IRS charges, that’s $6K/year or $500/month. That’s relatively manageable.
Finally, being a programmer myself, have you ever considered a job as a financial programmer? If your interests are like mine (finance/business), you’d probably enjoy it. Get a job working as a programmer at a trading firm, make $60K/year plus a massive bonus (perhaps the size of your salary), and work with some of the most intense and exciting people in the world- traders. Best off, your job will revolve a little more around business than trading.
The combination of business (real-estate investing) and programming experience would make you an attractive hire to a lot of finance companies. And there’s a job boom in that sector right now.
So I’m just going to reiterate what other visitors have said:
1.) Call a Bankruptcy attorney TOMORROW.
2.) Declare Bankruptcy ASAP.
3.) Find a job. You’d be great working as a programmer for a financial firm or trading firm. Don’t mention your bankruptcy; don’t bother applying to firms that ask for a credit report. If they ask why you got out of Real-Estate, say that you think there are more opportunities in the trading world at the moment. (An understatement, but not a lie.)
4.) Work out a deal with the IRS on settling your debt. Employers HATE having to deal with the IRS putting a lien on your paychecks. Hire a tax attorney for help.
Assuming the banks don’t go after you for fraud, I see no reason why you shouldn’t be able to have a happy and successful career and financial situation by the time you’re 30 if you change the way you handle finances and start moving towards bankruptcy today.
February 13th, 2007 at 11:34 pm
“I’m not going to stand any more “OH NO!!! THE FBI IS COMING!!!” type of comments. If you have something constructive to say, say it. Otherwise, go back to your hater club and spread your poison there. ”
Exactly. So why all this worry about “showing good faith”? My humble guess is that they’re probably not gonna go after you for fraud. (They might go after the guys who sold you these fraudulent loans.)
-CALL A BK ATTORNEY FIRST THING TOMORROW.
-FILE BK ASAP.
-GET A JOB.
-PAY OFF YOUR TAX DEBT.
-GET ON WITH YOUR LIFE.
February 14th, 2007 at 12:26 am
Casey, if I remember the reason you wanted to avoid BK was because of the impact on your credit score and financial life. However, I have to wonder if you’ve got two foreclosures (soon to be anyway) on your record what the difference really is? (I know you believe the first one won’t show up, but it’s a public record and will show up sooner or later)
At this point I agree with some of the other posters, this is a bad phase of your life that isn’t going to go away on its own. You should seriously consider BK as a way to get this behind you and move onI really do think that’s in your best interest.
February 14th, 2007 at 1:15 am
Casey wrote “I stand by everything I’ve said.”
Why then have you deleated your original “earth mission log” blog?
February 14th, 2007 at 3:56 am
While I have a lot of issues with some of Casey’s actions, most of my concerns have to do with his poor judgement. While its true that Casey did defraud lendors, and yes, that affects all of us, I don’t believe Casey did this intentionally. He’s was just dumb, and he’s admitted that.
That being said, I think some of Casey’s recent posts have been very positive. He’s admitted to learning things in the process, I wish he’d learned more, but its a step in the right direction. For the first time that I recall Casey has stated that he “might” declare bancruptcy, that’s good too. And I’m getting tired of all the “lock Casey up” and “the FBI are coming” posts too. Its boring and simply not true.
Casey isn’t a cold blooded criminal, he was just dumb, and the authorities have better things to do than prosecute him unless a lendor files a complaint. If lendors did that for everyone who got in to Casey’s position their employees would be spending a huge amount of time talking to prosecutors and appearing in court. It just isn’t worth their time.
Creditors have procedures that they follow and that’s what they’re doing. He’s my guess about what’s going to happen with most of the properties. They’ll foreclose on the properties, in many cases they’ll just buy the properties themselves for a few pennies on the dollar leaving Casey with the bulk of the debt. Next they’ll sell the debt to a professional collections company for a few pennies on the dollar. The debt will be large since they may have purchased the properties for next to nothing (maybe even $1), this way they’ll get more when they sell. They still have the property which they can sell on the open market and between that and the money they get from the collections company the bank will recover the most amount of money that they can.
The collections company will most likely make Casey’s life hell at that point. Casey: I’m not saying that because I want it to happen, it’s just what I think is the likely outcome.
Casey’s best tactic is probably to wait until everything forecloses and when all of the collections guys are on his a** he should declare bancruptcy at that point.
February 14th, 2007 at 5:01 am
Casey, you clearly don’t know how the sheriff sale procedure works. The lender will have a representative at the auction with explicit instructions to bid on the property until it reaches a knock down price, which will be somewhere between 88 and 92% of the balance due. Based on your posting of a balance just over $500K, they will let it go at sale somewhere between $445 and $465 or so. They have already received at least 2, and maybe more, drive by appraisals and if you requested a short sale packet, a full appraisal so they have some clue as to the real value. Since you have been racking up fees and interest since your last payment, it might even be higher than the numbers I posted above.
Someone asked for future careers for Casey:
How about offering to translate all of the late night “millionaire” infomercials into Uzbek so you can sell them on television there. With 20% unemployment, I’m sure there are plenty more Caseys who will part with their Som to get rich quick.
February 14th, 2007 at 5:35 am
He can’t get a job at a financial institution, they do very thorough background checks. A BK would eliminate him from almost every job at a financial institution. It’d eliminate him from plenty other places too. You don’t have this kind of s*** storm and expect everything in the future to be “sweet” as if nothing happened. Casey better pray the FBI doesn’t come down on him hard or some other gov. entity.
February 14th, 2007 at 5:40 am
Hey Akula, lay off Casey on not going there in person.
He has to fly out there, and is too broke to make it there. He can’t drive the broken down Jetta there, and likely get stuck in the desert. At least he’s not taking on more debt by buying a last minute airline ticket.
Cut the guy a little slack.
February 14th, 2007 at 6:05 am
Dude,
When will you come out of the FOG and get a “job”, whether it is w-2 or not. You say you have a job, well why can;t you pay your bills and rent on time. I think the reason is because you just don’t care. You have never been all the way to the bottom, to know what it means to have to work just to eat today!
You worry about having a car and cell phone and internet connection.
You need to grow up and be a man(?), if you understand what that means. You are not a kid any more even thou you act like a spoiled brat rick kid.
you will probably not allow this post because you don’t want to hear it.
February 14th, 2007 at 6:22 am
“I never had intend to defraud anybody”
Of course you did, you knew you were lying and I’m pretty sure you know that lying on an application is wrong. I don’t understand how you can say you didn’t intend to defraud anyone.
“Was That Wrong, Can I plead ignorance” “If I had known that was wrong I would never have done it” George Castanza
February 14th, 2007 at 6:48 am
“I never had intent to defraud anybody.”
In this case the law doesn’t care what your intent was. And your intent is extremely questionable since all those loan papers you signed had the law stated on them.
Regardless, you committed fraud on your loans and your creditors have suffered real and material damages. That’s all that matters. Nobody cares what your supposed intent was.
February 14th, 2007 at 7:05 am
Why do you keep taking my post down, Casey?
I’m not a hater, I’m a person who wants to protect those who have to pay for mortgage scams that you do!
February 14th, 2007 at 7:06 am
-CALL A BK ATTORNEY FIRST THING TOMORROW.
He did call a BK attorney. I would imagine that he is following what that BK attorney said and not the uniformed opinion of an Internet flame thrower.
-FILE BK ASAP.
STOOOOOOPID advice. Tell me you ARE NOT a BK attorney. IF he is going to (can) file BK the time to do that is after ALL of these homes are disposed of and he KNOWS FOR A FACT if any will come for the balance. Doing so before hand only delays matters and likely makes any amounts higher and harder to BK out.
-GET A JOB.
Hard to disagree with that one.
-PAY OFF YOUR TAX DEBT.
What tax debt? Are you aware of a 1099 that Casey hasn’t mentioned? Until someone hits him with forgiven debt he doesn’t owe a tax bill.
-GET ON WITH YOUR LIFE.
As much as I think he is misguided and seeing the world only through Casey colored glasses I think he is trying to get on with it. His skull is as thick as lead but slowly I think his eyes are opening to his situation and that there won’t be a Hollywood ending to this like he has assumed all along there would be.
February 14th, 2007 at 7:08 am
Look Casey, there was a good post made by Nigel on “OCTOBER, 2006″
http://slcrealestate.blogspot......lemma.html
If you followed his and MANY people’s GOOD advices, you wouldn’t be in this situation right now, and you could’ve pursued real estate investing with better knowledge (and maybe had a better attempt at paying EVERY DIRTY LITTLE $$$)
Honestly, with so many foreclosures being seemingly inevitable, I must say with brute force:
GAME OVER!
You could’ve handled this in a better way.
You had so many chances.
You just had to screw it up with going to the “UNIVERSITY” (why don’t you go to a real university instead?)
You had to screw it up by going to meet RK instead of doing your job to prevent first foreclosure.
You just had to screw it up by buying jamba juice, starbucks, and so on disregarding overdraft fees.
You just had to screw it up by not going out there aggressively and finding a JOB…(How much did you make ->positive income by actually working? [without sponsor )
You should’ve gotten a second job!
If you followed some people advice + get two jobs, you could’ve stayed as a RE investor.
You just had to screw it up by SLEEPING AND SLEEPING AND SLEEPING. Grow up man. You’re a grown man. You are not supposed to sleep like a child.
You just had to screw it up by putting your financial priority in some idiotic things like CELL PHONE BILLS ($400 … in your situation… what the heck is going on inside your head?)
You just had to screw it up by signing stupid documents and getting loans you shouldn’t have (at least if you followed people’s advices, you wouldn’t even have to make a loan)
AND MORE!
Do you understand what I’m talking about Casey?
I’m telling you that if you followed some people’s good advices, you really could’ve avoided this situation and could’ve got back into the game.
You’ve been ignoring their advices, getting stupid “SWEET” deals…
now you’re lashing out at people who gave good advice (and very frustated -> so called hater) for writing “hate”.
Understand them Casey, they’ve tried their best to help you ,and you ignored them.
I know I know
You are probably thinking: Why is this guy telling me now?? I need to know what I have to do NOW and not talk about past.
GAME OVER
February 14th, 2007 at 7:10 am
I never had intent to defraud anybody.
Why then the simultaneous multiple closings last spring all with misstated incomes and debts and signed where it says you are not engaged in multiple simultaneous closings, your income and debt are accurate?
You’ve never been able to reconcile those actions with your 11th hour claims of intent.
What about what Nigel said today? Did he say anything you hadn’t heard from the haters in October? As to turning yourself in. EVERYONE who has expressed an opinion has said yes. Has procrastination ever worked for you? Why do you think it will work now? Nigel offers one piece of original and valuable advice when he tells you this isn’t a game with a redo button. I’ve noticed this attitude in your age/demographic and younger. If you can only come away with one concept that will helpyouit is this; “THERE IS NO DO OVER, THERE IS NOT PAUSE BUTTON, THERE IS NO RESET LOW SCORE.” Oh, and in the same vein, yes, it is possible to rack up a negative score in the games you are playing.
February 14th, 2007 at 7:15 am
You are being very mysterious about this alleged “income” you are receiving. I bet you are actually pocketing the mortgage payments from the Utah wrap, and not passing them on to the lender. And I bet the appropriate parties have already been alerted to the likelihood of this scheme.
Notice your sitemeter details lately–visits from your lenders, the Department of Justice, the Department of Treasury, and others.
If I were you, I’d be less concerned with the FBI, and more concerned about Cash Call. After all, a federal prison is pretty cushy, expecially compared to a visit from a knee-breaker called Vito.
February 14th, 2007 at 7:29 am
Duude, stop trying to beat the system. It saw you coming and you’re more than stupid enough to fail at trying.
Your only option at this point is BK, after foreclosure or handing back the keys to the lender. This will require an attorney to do it right as lenders will try to as$%#ck you into filing BK and not getting their debts dismissed.
What has kept you from doing this so long is the delusion that you are salvageable. You’re not. You’re a failure. And the sooner you admit to this the sooner you can stop being a failure or at least stop getting yourself deeper in debt. If you do nothing no one will come after you since you obviously have no assets to speak of. But the moment you do get something, bingo it’s gone. Seized. And the longer you wait the LESS likely your debts will be discharged by the judge.
So what’s it going to be? You can’t accomplish anything with your life until you pay off your mountains of debt or discharge it. If you try to pay it off you’ll spend the rest of your life doing so. Cause you’ll have to work at it penny by penny, you’ll never be able to invest, save or start a business… all routes which can acquire wealth faster than working by the hour.
These are your only choices…
1) Remain a sidelined failure forever cause the moment you work on the books your assets are seized.
2) Go into BK and start over. This time from the bottom with lots of hard work. You will be granted further opportunities only if you deserve them. If not you remain an hourly wage earner who earns his keep or starves.
3) Leave the country and don’t come back.
In any case America fixed you good. People who “can’t” don’t get another opportunity to fail again. Not unless they’re willing to work ten times as hard to prove themselves worthy. Which apparently you’re not. But now that you have painted yourself into the corner it’s the day of reckoning. Either put up or shut up and cry in that corner for the rest of your life.
February 14th, 2007 at 7:33 am
I DO have a little bit of incoming coming in from various sources and I AM working. What does it matter to you HOW I make my money?
Because we suspect that your income is as shady as your loan applications.
February 14th, 2007 at 7:34 am
Casey,
It could be a long time before you could get a decent paying job. Credit checks are part of the standard pre-employment check. Nobody in a business that deals with money/fianance is going to take you.
WalMart, Target.. Lots of people with Masters degrees in San Jose took those jobs when the economy went to s*** . They were able to survive awhile until they could move back into real jobs..
February 14th, 2007 at 7:45 am
“If my debt is forgiven I’m not going to send any money.”
You are not only financially bankrupt, but morally bankrupt. How do you spout your Christian BS and yet break a commandment on a daily basis? Thou shalt NOT steal. I’m not a Christian, but I have higher moral standards than you.
Are you still tithing with this stolen money?
If you have time to do this (zero income) blog, you are clearly not working hard to repay any dirty penny. I used to root for you to pull out of this mess, now I see you aren’t trying, you just disgust me.
February 14th, 2007 at 8:02 am
Nice work dude! Can’t believe someone sponsored you! I thought that guy was on the hater list too…So did you take him up on it and fly out there? I’m sure we’ll know soon…
To all those that think this is getting boring…What are you talking about? This is the climax! It should be intereting to see what happens…Casey I’m not exactly a lover but don’t freak out and kill yourself. Not the ending I’m looking for.
February 14th, 2007 at 8:04 am
I still can’t believe why you won’t file BK. There is no way you will ever pay anything back. Where will you get the money? Unless you win the lottery, you will never get a chance.
February 14th, 2007 at 8:21 am
Well, being ‘tired’ of something certainly doesn’t make it go away. You’ve been operating as if bad things vanish if you just stop thinking about them, and surprise! They don’t.
As for your loathing public, think of us like doctors, and you’re the patient. You come in to the office with a gash on your arm and get stitches. Then, every day after you rip out your stitches and come back to us, complaining that the wound won’t close. Then you hear about a ‘miracle tonic’ that closes wounds. It’s guaranteed to work, it costs $2000, and you ask us if you think you should buy it. We tell you no. So instead, you rip out your stitches again, shell out for the tonic and drink it. It of course does nothing, you’re out $2000, and possibly it’s even made you sick. We tell you it was a dumb idea to buy the tonic, and you get angry at us for criticizing you. Then you rip out your stitches some more.
That’s a pretty ridiculous scenario, right? Even the kindest doctor in the world would get fed up with a patient like that after a while. As a doctor he/she would feel compelled to continue giving good advice, because well, that’s what doctors do. But would he/she be giving it with a smile on their face and a pat on the back for you?
No. God, no.
February 14th, 2007 at 8:21 am
Casey you have become a successful theif. Common sense tells casey serin of sacramento as he attempts to bypass income problems with some “creative” paperwork on the part of unethical people who work in the real estate industry.
Has someone involved with your home buying transaction asked you to make false statements on your loan application or do something else that you feel uneasy about? Don’t even think about it unless you’re prepared to commit loan fraud, and don’t think you can say later that you simply didn’t know what you were doing was illegal–that won’t work.
Any false statement made to a lender is loan fraud.
Rebates and credits to any individual as a result of a real estate transaction must be disclosed on the settlement statement.
If they are not disclosed, it’s loan fraud.
Common Loan Fraud Schemes
Source of or actual amount of a buyer’s downpayment
Actual amount of closing costs paid by the buyer
An inflated appraised value for the property that is collateral for the loan
False information about the borrower’s creditworthiness
False statements about who will live in the property (for instance, you claim it will be owner occupied when you actually intend to use it as rental property)
Undisclosed rebates to any third party (real estate agent, mortgage broker, loan officer, etc.)
Falsely Claiming that the Owner Will Occupy
Some loans are only intended for owner-occupants, not investors. If you obtain one of those loans, you’ll be asked to sign a statement that you intend to occupy the home. Some loans ask you to verify that you’ll be an owner-occupant for a specific length of time.
The Bottom Line
Making a false statement to a lender is a federal crime. Don’t do it on your own and don’t do it because someone encourages you to.
If someone asks you to do something that doesn’t seem right, start asking questions and don’t stop asking until you are sure you have uncovered the truth.
Let them know?
https://tips.fbi.gov/
www.eltoroenergy.com
February 14th, 2007 at 8:26 am
You know things have really changed around here when even Nigel is talking sternly to Casey about his mistakes.
February 14th, 2007 at 8:38 am
You said, “I also wonder if the lenders ALWAYS pursue a deficiency judgment or if sometimes they don’t bother with it. Anybody know?”
Gee, I’m sure that they employ an army of lawyers so that they can go after that money sometimes. What are you smoking them for?? 150 grand?? They’re going to want it one way or another.
The good news is that all they can do is garnish your wages. The max that they can garnish is like 20% so everyone will have to get in line.
February 14th, 2007 at 8:40 am
I’m no Casey fan, but all this talk of IRS problems is silly.
IRS taxes profits. IRS taxes relief of debt income, unless someone is insolvent. Casey does not have income. Casey does not have profits. Casey is clearly insolvent.
Chances that Casey has IRS problems? Nil.
Casey has a ton of problems. But IRS problems are not one of them, at least based upon his story/history.
February 14th, 2007 at 8:40 am
The five stages of receiving catastrophic news
Denial : We’ve seen that
(I’ll pay it all back, DOn’t worry honey stay in school)
Anger: We are seeing that
(Stop the FBI Scare)
Bargaining: well that’s starting
(Maybe, i can do a short sale or two, then file)
soon
Depression
(I’m broke, i’m foreclosed, i’m in debt, I’m ruined)
and
Acceptance.
(Hey, they jumpsuit is actually a good color for my skin)
February 14th, 2007 at 8:57 am
The reason why you get such hostility–OK, ONE of the reasons you get such hostility–is that your words are meaningless. “I will pay back every dirty penny IF I can find a way” is not what you said back when. If there were any conditions (and I’m not going to waste my time to scroll back through your posts), they were not stated clearly or even reasonably implied.
But even if you did condition your pledge, this is contemptible. It would be saying, in effect, that you solemnly committed to repaying “every dirty penny” as long as you can do it in a way that remains relatively comfortable for you, and doesn’t require too much sacrifice. As long as someone will magically refinance your debt, the market resumes its flipper-driver upward march and you can repay those dirty pennies without too much of a hit to your lifestyle or your self-conception–well, heck, you’re good to go. And you want your readers to applaud you.
It’s the equivalent of crossing your fingers behind your back–that old childhood game in which you surreptitiously negate what you’ve just said. You lack integrity and this will ultimately be far more of a roadblock to your future business activity–whatever it is–than the shorter term financial mess you have created for yourself.
February 14th, 2007 at 9:02 am
Wow - Casey kept my comment off his site. I mut be getting better at this!
February 14th, 2007 at 9:58 am
Casey says,
“I’m not going to stand any more “OH NO!!! THE FBI IS COMING!!!” type of comments. If you have something constructive to say, say it. Otherwise, go back to your hater club and spread your poison there.”
I’m sooo confused Casey. I thought this blog was the hater club??? Is this blog your idea of a support club??? Then where are your supporters???? Your little cheerleader, Duane, went running to the hills. Even your good ol boy Nigel is finally starting to call you an idiot. I guess the stress is really getting to you. But it’s all good right. Great things are gonna happen. Now go get yourself some jamba juice and sip away all the problems like you always do. Don’t worry your magical opportunity is right around the corner.
February 14th, 2007 at 9:59 am
sounds like your ready for new sponsors..the type with those silly commercials and websites that say they can
settle with the irs for pennies on the dollar and even get garnishments and penalties refunded!
sweet deall, except you may be scammed for money upfront of course, classic casey victim schemer will fall for it of course!
February 14th, 2007 at 9:59 am
Umm… I have a “job” you could do for me. B. Job, that is.
Yowza! Sha-Zam!
February 14th, 2007 at 10:11 am
FYI-
Your reference to what a hater is is incorrect
a hater is a person who is jealous of you and trash talks you.
Nobody on this blog is jealous of you- we just like to poke at you because you are stupid- and do nothing but make dumb decisions-
Its good entertainment- so props to making this blog- I think you have done well with it.
February 14th, 2007 at 10:34 am
Casey’s got himself a repreive. Snowstorm in New Mexico overnight. The courthouse is closed.
Rio Rancho, City of: 2-hour delay
Rio Rancho Muncipal Courts: Closed
Sandoval County Offices: Closed
February 14th, 2007 at 10:41 am
131. Sprezzatura
February 14th, 2007 at 8:26 am You know things have really changed around here when even Nigel is talking sternly to Casey about his mistakes.
I’ve always been a realist about Casey’s situation. My first advice to him said declare bankruptcy. I’m not the type of person to rush to judgment without knowing all the facts. Once I spoke to him, I did reach some conclusions.
I’ve tried to be as supportive as possible because he is a human being, but at this point time is running out. I haven’t said anything different than the critics (declare bk, get a job), I just said it in a different way hoping Casey would listen. (Not get defensive.)
He’s had time to work his way out of this and hasn’t done it.
Again Casey, you have precious few options left. BK to protect your three remaining homes and get a job. It’s good that you’re doing things on the side, but you should be doing that along with having a full time job.
Have you attempted to get a regular job in these past six months?
February 14th, 2007 at 10:43 am
Apparently numerous people are in the similar situations like yours. Many bought 3-8 houses in the last 2 years and here are their stories:
http://www.nctimes.com/article....._13_07.txt
This could be an epidemic. Let’s see.
February 14th, 2007 at 10:50 am
once i had real estate costs that exceeded my potential income. i still got a job, though! sheesh. you think you’re a cutie pie who doesn’t have to sacrifice for your dreams. i also think you don’t really care about these houses, whereas i love my home, and so i was willing to work at nearly minimum wage for it. we’re different, you and me.
February 14th, 2007 at 11:23 am
jamba jammy jam jam:
Here is the plan:
1. wait until all remaining properties go to forclosure.
2. file bk
3. find a job and start over
Disclaimer:
paying back every dirty penny* means every smelly penny that’s currently in Casey’s pocket, not every penny he owe.
forget jobs for now, bk first get debt wiped clean then get jobs. Sweeeeeetttttttt!
That’s all folks, thanks for your attention.
February 14th, 2007 at 11:23 am
“He can’t get a job at a financial institution, they do very thorough background checks. A BK would eliminate him from almost every job at a financial institution. It’d eliminate him from plenty other places too. You don’t have this kind of s*** storm and expect everything in the future to be “sweet” as if nothing happened. Casey better pray the FBI doesn’t come down on him hard or some other gov. entity. ”
Disagreed. Many of the people I work with don’t have great credit. Some have come out of college six figures in debt. However, most of the financial firms I interviewed with actually didn’t make me sign for a credit history check (Goldman Sachs was the one exception.)
Now he’d better have a clean history in terms of crime. If he gets chased for mortgage fraud and gets convicted, that could cause problems. But most firms won’t actually notice unless his wages get garnished or the IRS comes after him.
Casey,
Start going to Citigroup.com, MorganStanley.com, WellsFargo.com, UBS.com; wherever, and start applying for jobs. Framed the right way (A programmer who spent some time in real-estate investments), your background makes you a sparkling candidate for the finance firms, and they’re desperate to get more competent programmers working for them. With your experience, six figures of compensation per year may be possible.
February 14th, 2007 at 11:27 am
Casey
If you want to see how a foreclosure auction works, why don’t you go to one locally? You can pretend it’s your own and see how much you learn. Alternatively, you can just wait for one of your local properties to be foreclosed and learn then, but that would delay the value of this knowledge that I’m sure you’d apply in some meaningful way.
They won’t give you a door prize or anything else for attending this one in NM. Sorry you won’t have closure, but it’s better this way.
February 14th, 2007 at 11:28 am
Casey,
Some people said that due to your bad credit someone will be able to buy your debt @ 0.05 to 0.10.
Find out how you can buy it yourself trough a fake company or something similar. It will be an awesome debt reduction pay 25K or 50K for a 500K debt.
Best of luck, Ideea man.
February 14th, 2007 at 11:31 am
@ 118. Don’t TALK just LISTEN
February 14th, 2007 at 7:08 am
Look Casey, there was a good post made by Nigel on “OCTOBER, 2006
And here was Casey’s reply:
Casey Serin
September 30th, 2006 at 4:46 pm
Nigel - That’s some very good advise. Thank you for that. I am going to think about some of those points.
Casey, I can understand why you wouldn’t have taken ALL that “advise,” but maybe you could have acted on ONE of those suggestions?
February 14th, 2007 at 11:41 am
#49. Nigel Swaby
“The lender may file a judgment against you in which case you will never own property in your own name again.”
95. Nigel Swaby
“Once you have judgments against you, you’ll never be able to buy real estate again until they’re settled.”
Obvious BS. You can always pay cash. Come to Texas, there are houses for $80K-$90K down here that are nicer than some of the ones you “own” now. Texas has a homestead provision so you won’t lose it to a judgment as an added bonus!
February 14th, 2007 at 12:14 pm
New Mexico is on MST right, so the auction is complete! What’s the news? Maybe it got bid over your 1st and 2nd obligations and you can get some sweet $$$ back!
February 14th, 2007 at 12:17 pm
All,
Let’s be honest here, he can NOT file BK because ALL bankruptcy attorneys will require payment for their services up front. You can NOT file BK by charging it to a credit card. You file BK because you have credit problems, so it would be pretty dumb for an attorney to allow you to pay their fee on credit.
Please come clean and tell us that this is really the reason you can NOT file BK. Come on you admit to paying for your rental room late. Maybe one of the sub-prime lenders that have not yet had to go out of business will give you a loan.
February 14th, 2007 at 12:28 pm
From a previous poster:
“IRS taxes profits. IRS taxes relief of debt income, unless someone is insolvent. Casey does not have income. Casey does not have profits. Casey is clearly insolvent”
One word: rubbish. Read up on tax laws before you make statements.
The VAST majority of Casey’s loans are recourse loans. Let me itemize how this works:
Casey takes out loan for $500,000 to buy house. (100% financing)
Casey tries to sell house but market is tanking.
Casey begins deliquency on his house payments.
House eventually goes to foreclosure.
Bank reclaims house and sells it for $400,000.
An incurred $100,000 loss appears on the banks books which is written off. Due to the fact that his was a recourse loan, that $100,000 loss appears on Casey’s 1099 as a capital GAIN. Which is taxable.
In the state of California, only an initial home purchase and initial mortgage are “non-recourse”. Which means one can simply walk away and take the bad credit rating. But in Casey’s situation, he will have a multitude of recourse loans to contend with.
Which is why this can ONLY end in bankruptcy. But no matter how you slice it, the IRS can garnish his wages once he begins to earn income. I know of friends who had to contend with this due to AMT issues during the nasdaq boom and bust.
But to imply that he has no IRS issues is completely incorrect, insolvency or not.
February 14th, 2007 at 1:03 pm
“The good news is you still have a precious little amount of time left. BK now, save a primary residence.”
Why bother?
With all the REOS coming back, Casey should be able to get a no qualifying seller financed house with 5 -10% down in a couple of years. The good news is the price will be a lot lower than what he paid for any of his existing properties. The bad news is the price will be 10 - 20% higher than what he could get for an all cash purchase. That is a typical premium for seller financing when credit is tight.
February 14th, 2007 at 1:04 pm
Hey Casey!
I think you might be on the right track laying low for a while. If you get a full time job now, the income from the job may prevent you from getting a full discharge of all of your debts. Im not an expert on this but my impression is that if you earn more than the median income in your state of residence then you are forced to pay a small portion of the debt to your creditors over a seven year period. Those earning below the area median can still get a full and immediate discharge of debt. I am not sure if the taxes owed as a result of the “forgiveness of debt” relating to the foreclosure are dischargeable or not. Please see a good BK attorney so that you can create a comprehensive plan to get rid of as much debt as possible, rebuild your credit, and keep the money that you earn in the future.
Peace
February 14th, 2007 at 1:12 pm
Casey,
People here are treating you like a parent would treat a child that is lazy, tells lies and refuses to grow up. It has absolutely nothing to do with “hate.”
February 14th, 2007 at 1:13 pm
“Why are so many of you so angry about me not having a standard W-2 job?
I DO have a little bit of incoming coming in from various sources and I AM working. What does it matter to you HOW I make my money? ”
Simple questions -
A. Could you make more money by getting a job than you are making now (doing whatever you are doing)?
B. Could you continue to do whatever it is you are doing and get a job?
C. What is your aversion to getting a job?
I suspect if you honestly answer these questions, you will realize the sideline income is less than you could make in a real job. In addition, you probably would have enough time to continue the sideline income while working a real job or 2.
Last, it appears you aversion to work is 2 fold (a) you are lazy and (b) you refuse to give up the pie in the sky dream of getting rich quick.
February 14th, 2007 at 1:32 pm
And Casey, please–pleeeze–spare us your faux rage at the FBI comments and your continued insistence that you never meant to defraud anyone.
Look, I believe you that you fully intended to pay back the banks and whoever else, AS LONG AS (and you were crossing your fingers behind your back here) you made the very large profits you were expecting from your flipping.
What you did was decide to gamble. With other people’s money. But in obtaining that money, you fraudulently misrepresented a number of key facts. You used other people’s money, which you obtained through fraudulent misrepresentations (e.g. did you not know that you could not simultaneously inhabit eight houses as your principal residence(s)?) to gamble.
In doing so, you did not do these other people the courtesy of allowing them AN INFORMED CONSENT to decide whether to lend you money so you could gamble. You lied to them, under penalties of perjury, using their money so you could gamble that the market would not change. And, when you gamble, sometimes you loose/lose/loose!
Now, if you held up a bank this afternoon, took the $20K you stole and went to the track, and won $30K, and you immediately returned $20K plus one day’s interest to the bank–the very same day!–do you think your actions would not constitute a crime, despite your repayment? Do you think that the FBI would say “hey! no crime here! he intended to repay?” Of course not, because you gained access to those funds under fraudulent (dare I say, completely criminal?) circumstances.
But, unlike the”you” in my hypothetical example, you have not repaid the money you fraudulently grabbed. You have not even made a start. And you intend to get around to doing so if and only if you can do it without taking a major hit to your lifestyle or to your silly conception of yourself as some kind of wheeler and dealer.
Perhaps in your bright, but very immature mind, you can gradually come to understand why so many people condemn you. Is there any glimmer of cognition beneath your unbelievably thick skull?
But I don’t want to dwell on negativity. Somewhere in your recent posts you spelled “sucks” correctly. It’s not “sux” anymore! Congratulations, Casey!
February 14th, 2007 at 2:08 pm
Yo, Case…just checking in from a better place. In fact, it’s the same place most of your audience has gone.
How you must long for the days of 400+ threads. How easy it would’ve been to keep us, haters or not.
Now all you get are latecomers, sloppy seconds and law enforcement.
Circle the drain, baby!
February 14th, 2007 at 2:27 pm
Isn’t it about time to change the name of this blog to
iaminforeclosure.com?
February 14th, 2007 at 2:41 pm
Casey,
Here’s the answer to the question about your 2nd position lender:
If the first forecloses and there is a 2nd, the 1st mortgage note plus interest gets paid, then all foreclosure costs, then the 2nd gets what’s left over and then the foreclosee gets any remainder.
If the non payment of the first causes a loss for the 2nd mortgage company the 2nd can absolutely get a deficiency judgment. They rarely do however; it’s usually a write-off for the lender.
If they go after the borrower it usually causes a bk and they don’t get anything anyway.
This is from my mortgage boss who has bought and negotiated dozens of foreclosures.
Nigel
February 14th, 2007 at 3:22 pm
Maybe, just maybe if you got a full time job, there would be some benefits attached (think medical insurance for you and G). That would be one item that’s in your budget now that you could scratch off the list. Maybe, just maybe if you moved into one of your houses you could save or stall the foreclsoure and save on the rent expense you pay to your in-laws. I am pretty sure they are sick of looking at you.
Has the train wrecked yet ?
February 14th, 2007 at 3:37 pm
Its 4:37 here in the Mountain Time Zone. Any idea how the auction went?
February 14th, 2007 at 3:44 pm
I can tell you why Casey refuses to move into any of his homes. This will sound strange, but hear me out. The reason he refuses to move into one of his house is: He cannot afford the mortgage. Granted, he does not pay the mortgage now, but he would not feel right about living in one of his homes and not paying the mortgage. I know that this makes no rational sense whatsoever, but I believe that this is the truth. He feels safe paying $550 a month in his sister-in-law’s place. Technically he would save $550 a month if he moved into one of his houses. But that’s not how our lads brain works.
Fascinating, actually.
Oh, there’s another reason that he will not move into one of his homes: He’d have to admit to his colossal failure. I’m collecting the relevant data points on this last point right now and will have more clarification soon.
February 14th, 2007 at 4:07 pm
@ 156. Mayhem
February 14th, 2007 at 12:28 pm From a previous poster:
An incurred $100,000 loss appears on the banks books which is written off. Due to the fact that his was a recourse loan, that $100,000 loss appears on Casey’s 1099 as a capital GAIN. Which is taxable.
That’s not true at all. Just because a bank has written off a $100,000 loan does not automatically mean someone else has a $100,000 capital gain. The mortgage amount has absolutely nothing to do with the capital gain. Lenders don’t tell you what your gain is on a 1099. They report how much they send you if they sent you any money. It’s up to YOU to calculate your gain and report your basis.
If they ended up taking a hit, they might send you a 1099-C for cancellation of debt, but not a 1099-DIV.
February 14th, 2007 at 4:23 pm
What’s with the trampoline pictures on your Flickr account? You look like an idiot. Shouldn’t you be working on fixing this mess instead of acting like some retard?
Let me guess, you bought the trampoline new, right?
February 14th, 2007 at 4:44 pm
“I never had intend to defraud anybody”
On all those loan applications, when you wrote down phony numbers representing income, when you knew you had none:
- were you forced with a gun held to your head? All 8 times?
- were you hallucinating on drugs? All 8 times?
- did your fingers slip and accidentally write down bogus numbers? All 8 times?
- All the above? All 8 times?
What about when you wrote down you will be occupying the house yourself on each application? All 8 of them? Same questions as above.
If the answer to each of these question is “no” (and we all know it is), you stated what you did in order to secure those loans, knowing full well that stating the truth would result in denied loan applications, $0 in loans and no sweet deals. You KNOWINGLY and CONSCIOUSLY lied for one clear purpose: to get loans that you were clearly not qualified to get.
This is the textbook definition of FRAUD with INTENT. It doesn’t get any more clear than this. And it seems the only person on the planet that doesn’t get it is you.
And this is to say nothing of the inflated appraisals and the back-door cash-back arrangements you made and participated in.
You can lie to yourself all you want, but the facts speak for themselves and you’ll find that society will not be as gentle and easy on you as you are on yourself.
February 14th, 2007 at 4:48 pm
Ho Ho Ho - It’s Santa Flipper Clause
CS “Good things are coming…”
And so is Santa F. Clause
On December 25, I will be visiting many of you, except for Julian unless he puts some chimenys in those trailers.
Santa F. Clause
February 14th, 2007 at 4:56 pm
Casey,
You have a group of us concerned cititizens worry about your statement that you may go “under the radar” if things go bad.
Casey, given the fact that you openly commited mortgage FRAUD and pocketed money from the banks, that kind of statement makes a lot of people nervous.
February 14th, 2007 at 5:53 pm
Not to mention the fact that the taxpayers of America will clean up all your mess. Can you spell RESENTMENT?
February 14th, 2007 at 7:56 pm
92. Casey Serin
And yes this month we didn’t have enough to pay her credit cards so she will probably get a 30 day late if she hasn’t already. That part sucks
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
A 30-day isn’t going to make a difference with that foreclosure on her record.
She doesn’t know about the foreclosure being on her record. Did you just not give her the mail relating to the foreclosure?
You didn’t tell her, did you?
February 14th, 2007 at 8:20 pm
>.RECOURSE LOAN
A debt instrument wherein the lender can legally require repayment of a loan from personal funds if the collateral is not sufficient to repay the note. As opposed to a NON-RECOURSE LOAN where the lender can only obtain compensation from the collateral or funds of the business.
February 14th, 2007 at 8:29 pm
“Start going to Citigroup.com, MorganStanley.com, WellsFargo.com, UBS.com; wherever, and start applying for jobs. Framed the right way (A programmer who spent some time in real-estate investments), your background makes you a sparkling candidate for the finance firms, and they’re desperate to get more competent programmers working for them. With your experience, six figures of compensation per year may be possible. ”
Are you kidding me? I make close to six figures, do consulting work not related to finance in any way and do not handle cash or accounts. Before I was hired, my company not only ran a very thorough background check on me (including credit check), but my supervisor googled my name and found an Amazon.com book review I made. I highly doubt that a big name company is going to be interested in someone like Casey - young, uneducated, very little work history, financially ruined, and if they google up this blog - lazy, incompent, and poor descision maker.
February 14th, 2007 at 8:37 pm
Casey,
Why do you keep ignoring my comments, truth hurts?
February 14th, 2007 at 9:26 pm
Casey I see a lot of talk about your mortgage loans and fraud. I would like to ask one question so we may clear a few things up for the distraught public.
When you applied for these mortgage loans what kind of program did you apply under? (ie. Full dock, limited dock, no dock, signature loan etc)
The way I see it, and I am no judge or jury, is that unless you intended from the beginning to never pay the loans back and walk away with all the cash, you did not commit fraud. A case in Indiana that I know of that was fraud I will use as an example. The case involved three people who brought homes for 20 to 30k found out of state investors who never saw the homes and placed trust in the people with the information they were given. The three found an appraiser to appraise the homes falsely at 200 to 300k. They sold them to there victims for 100 to 150k. They pocketed the money and when the poor victims tried to sell thats when they found out they had overpaid for there homes. They caught all involved and it is going through the court system now. As with any crime, intent has to be proven. Was Casey’s intent never to pay back the loans and just walk away with as much cash as possible? The only problem I see is the cash back at the table. I am not sure how that would be looked at, but if it was any criminal negligence it would not be just you involved. You may have taken the money but someone had to allow it.
As far as my question goes the answer will bring to light more knowledge. If he did a full doc and willingly falsified the paperwork required to get the loan (ie. pay stubs, tax forms, w-2’s, bank statements, etc.) then yes he committed fraud. Otherwise if he stated and it was not verified or checked…. Shame on the banks. The banks do have a title 18 sec 1001 et seq clause in there applications, but they also have a clause in there about checking and verifying all information. In my personal opinion it would be a tough sell to any judge residing over a criminal hearing to rule in favor of any bank if they did not do there due diligence in the first place.
February 14th, 2007 at 11:45 pm
Jerome Mayne, the guy Casey was interviewing during the podcast, said that the best way Casey could show he wanted to make good was to go down to the Sacramento FBI office with his files and tell the agents what he’s been up to. That would save taxpayer dollars since the FBI agents wouldn’t have to work as hard researching the case. If the FBI isn’t looking into Casey right now, they will be soon. He may as well make it easier for them since the outcome will be the same. And perhaps Casey could be a good witness for federal prosecutors when they go after Casey’s enablers. Despite $2.2 million in fraud, Casey’s at the bottom of the fraud ladder. The mortgage brokers, appraisers and “get rich quick in real estate” seminar shysters are the ones who deserve the most time. Casey needs to squeal like a pig.
February 15th, 2007 at 11:01 am
Casey,
When you signed the 8 loan applications, what part of this did you miss?
“any intentional or negligent misrepresentation of this information contained in this application may result in civil liability, including monetary damages, to any person who may suffer any loss due to reliance upon any misrepresentation that I have made on this application and/or in criminal penalties including but not limited to, fine or imprisonment or both under the provisions of Title 18, United States Code, Sec. 1001, et seq.”
Casey, did you misrepresent any info on the loans apps?
February 15th, 2007 at 8:22 pm
Lostsite, I’m glad you see it that way, and I’m sure Casey will be recruiting you for his jury box, but you’re wrong. Think about it for a second. Pretend you’re a lender.
Based on past history, you know that people who don’t have a certain income to support the mortgage default in greater numbers. You know that people who buy property they don’t intend to live in have less of a problem walking away from it when the going gets rough. And especially when they didn’t put at least 80% down. You know that people simultaneously buying multiple houses in multiple states are trying to pull a fast one with their credit scores.
Based on all this, you have certain guidelines that you use to decide whom to lend to. Now we’re not talking about lending $3, $300, or even $3,000. We’re talking about lending $300,000 or more of hard-earned money. That’s a lot of dough to lose.
If someone lies about their situation to get you to give them the dough, you’ve been defrauded. Even if they INTEND to pay it back, the truth is they are not in a good position to pay it back, and if they told you the truth, you wouldn’t give them the money and they know it. Their intention may have been to pay it back, but their intention was also to defraud you out of the money.
Yes, lenders and/or mortgage brokers are often complicit in the fraud, or they were before the market crashed, but that does not absolve the applicant of their fraud. In fact, it might make it part of a conspiracy.
Listen to the interview Casey did with a guy who went to prison for mortgage fraud. (Apparently, Casey should give it a listen, too, because it seems he either never got the message or “forgot.”)
March 9th, 2007 at 3:34 am
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March 12th, 2007 at 2:14 pm
News items And getting 5 more night jobs and working 24hr/day is not the. It’s actually in a very safe area in Rio Rancho. I guess it. Jeez, I know an elderly Mexican man with a set of twisted limbs from. [iamfacingforeclosure.com]
March 14th, 2007 at 9:57 pm
Casey Serin was just mentioned on the Coast to Coast AM radio show in an interview about the sub-prime mortgage crisis.