My question involves a foreclosure in the State of: Nevada
This should infuriate most people who try to live within their means ........
I work with a few people that have used their house as a cash register for the past few years. Refi's, seconds anything to keep cash coming. As we know this has come to an end and even they finally saw it.
When they finally realized there was just about no more cash accessible out of the home and it was worth a fraction of what they owed, they decided to buy one of the recently reduced foreclosures on the market. How did they do it? They took the last bit of their credit line on the first house and used it as a down payment on the bank owned house.
How this came to me was one of them asked me what I thought. I gave them my laymans opinion that it sounded like mortgage fraud or theft by deceit.
This has taken place over the past 6-9 months so I know they have all moved, and others have done the same.
There had to be some collusion by the broker, they did not make enough to cover both house payments. Did they say one was a rental? With the payment they owed the rent collected would have been a fraction of the payment.
This information has now gotten around the office and people are upset enough that he is afraid someone is going to turn them in. He still has not consulted an attorney.