Legal - St Louis Real Estate News

Real Estate Terms Defined

By Diana Davis, on March 21st, 2013

Making Sense of Confusing Real Estate Terms

If you are buying, selling or refinancing a home you will come across real estate terms and industry lingo that may sound foreign to you. To help address this issue, below you will find definitions for the most common real estate terms that you are likely to come across when buying, selling or refinancing a home. If you have other questions about title insurance, or the role of the title company in these transactions, please contact me and I’ll be happy to help.

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Free Foreclosure Avoidance Help Is Available In St Louis

By Dennis Norman, on March 14th, 2013

What to do if you are facing foreclosure and losing your home. Continue Reading →

Attorney General Koster sues businesses that had promised foreclosure modifications and debt relief

By News Desk, on March 12th, 2013

Attorney General Chris Koster today filed a lawsuit against two related businesses that purported to provide loan modification and mortgage relief to desperate homeowners. Koster’s suit is against Legal Helpers Debt Resolution, LLC and Mortgage Law Group, LLC, as well as the companies’ managing partner, Jason Edward Searns; senior partner, Thomas Macey; and senior partner, Jeffery Aleman. Continue Reading →

Dr. Martin Luther King Jr. remembered

By Dennis Norman, on January 21st, 2013

One of the most important accomplishments of Dr King and the Civil Rights movement was the passage of the Civil Rights Act of 1964 which was signed into law on July 2, 1964 and prohibited discrimination in public places, provided for integration of schools and made employment discrimination illegal. It did not, however, make discrimination in housing illegal which Dr. King and the Civil Rights Movement continued to work toward. Continue Reading →

Things You Should Know Before You Repair Your Credit; St Louis Mortgage Interest Rate Update

By Robert Fishel, on December 26th, 2012

“Every single thing about housing is flashing green,” stated James Dimon, chief executive of J.P. Morgan Chase, in an interview with CNBC last month. “Household formation is rising, inventory is falling, and affordability is near a record high.” This should mean many potential homebuyers will be assessing their finances in 2013 to get ready to buy a home. Checking your credit score is at the top of the list, and in turn credit myths and credit misconceptions are plentiful. Continue Reading →

Attorney General Koster announces plea agreement with Lorraine Brown Over Robo-Signing

By News Desk, on November 20th, 2012

Jefferson City, Mo. – Attorney General Chris Koster today announced that the state of Missouri and Lorraine Brown, former President of DocX, LLC, have reached a plea agreement. Under the agreement, Ms. Brown will plead guilty to one felony count of forgery, one felony count of perjury, and one misdemeanor count of making a false declaration. Continue Reading →

New Law Improves VA Loan Benefits; St. Louis Mortgage Interest Rate Update

By Robert Fishel, on October 4th, 2012

The new legislation is titled: Honoring America’s Veterans and Caring for Camp Lejeune Families Act (H.R. 1627) and has been signed into law on August 6, 2012. Congress expanded the scope of the legislation and specifically mandated improvements in VA home loan benefits through the VA Home Loan Guaranty Program. Realtors and lenders will now be able to help more veterans and their families become homeowners. A portion of the new law makes VA loans available to more surviving spouses, provides easier funding fee waivers for disabled vets and helps single and dual-duty parents with occupancy hurdles. Continue Reading →

Missouri Attorney General Files Lawsuits Against Three Mortgage-Modification Companies For Misleading Consumers

By News Desk, on September 27th, 2012

Yesterday, Missouri Attorney General Chris Koster filed three separate lawsuits against individuals and their companies for misleading Missouri consumers in connection with mortgage-modification services. The lawsuits were filed against Colleen Kelly, a Missouri resident operating Heartland Loss Mitigation, LLC,; Eric Mader, a Florida attorney operating Mader Law Group, LLC, a Florida company; and Jim Caplan, a Florida attorney operating CAPLAW, P.A., a Florida company. Continue Reading →

Should I use a lease option to sell my home?

By Dennis Norman, on September 17th, 2012

Maybe you’re a seller that has found yourself faced with the reality that you can’t sell your house or condo for a price today that will yield enough to pay off your loan, and you are not a candidate for, or don’t want to do, a short-sale? Or, maybe you are a seller with a house or condo that, for one reason or another, there is very limited demand for and, in fact, it seems that perhaps no one wants to buy what you have to sell? If so, maybe someone suggested, or you have considered, using a lease/option or a lease purchase to sell your home? After-all, there is a large demand for lease-options and lease-purchases by buyers but, you are just not sure if it is right for you? Continue Reading →

Is there a 3.8 percent house sale tax in the health-care legislation?

By Dennis Norman, on July 16th, 2012

In the past few months I have received dozens of emails being forwarded around the internet warning of a new “3.8 percent real estate tax” or “tax on home sale” coming as a result of Obamacare. Given there seem to be many misconceptions out there about this topic I decided to address it this morning. For starters, there is not a 3.8 percent house sale tax in the health care legislation per se. There is, however, a 3.8 percent on unearned income for high-income individuals and couples that could end up being applied to the sale of one’s home. Continue Reading →

Survey shows banks expect strategic defaults to increase in 2012

By Dennis Norman, on April 16th, 2012

FICO, a provider of analytics and decision management technology to the banking industry, today announced results from its latest quarterly survey of bank risk professionals which showed that almost half (46 percent) expect the volume of strategic defaults in 2012 to surpass 2011 levels as a result of more than 25 percent of U.S. homeowners owe more on their mortgages than their homes are worth. Continue Reading →

Should the buyer and seller close at the same title company?

By Dennis Norman, on February 6th, 2012

In most parts of the country, when a home is sold, the closing is handled by one title insurance company at which both the buyer and seller close at. In St Louis, “split-closings” are common, meaning that the buyer and seller close at different title companies. Is this bad, or a risky move for them? To answer this, I turned to Wendy Cromer, Vice-President of Marketing for Security Title Insurance Agency, LLC and the current President of the Missouri Land Title Association for her perspective. Continue Reading →

AG Settlement: Not Perfect, But Significant Reform of Mortgage Servicing

By News Desk, on January 24th, 2012

Based on what we’ve heard, the settlement between major banks and states’ Attorneys General (AGs), the federal Department of Housing and Urban Development, and the Department of Justice would represent an important step forward in addressing foreclosure abuses. The settlement would include key reforms to clean up unfair mortgage servicing practices. It would also provide an important template for ways banks can use principal reduction to reduce unnecessary foreclosures and put the country back on a path to economic recovery. Continue Reading →

Former Coral Mortgage Operator Pleads Guilty to Multi-Million Dollar Securities Fraud

By News Desk, on November 26th, 2011

ST. LOUIS, MO—The United States Attorney’s Office announced the guilty plea of Matthew Kent, vice president and co-operator of Coral Mortgage Bankers Corporation’s University City office. According to court documents, between May 2007 and December 31, 2010, Kent, his partner in Coral Mortgage David Rubin, and Joshua Gould, formerly of Woodbury Financial, embezzled approximately $1,500,000 from a retired individual solicited by Rubin to provide funds for operating capital for Coral’s St. Louis operations. The individual was assured that the funds would not be spent, would be held in a secure trust account, used only as collateral for Coral’s operations, and that the individual would receive regular interest payments. Between May 2007 and December 2008, the client provided Rubin and Kent approximately $1,200,000 from his and his wife’s life savings. Despite Continue Reading →

Justice Department Settles Housing Discrimination Lawsuit in Rolla, Missouri

By News Desk, on November 21st, 2011

WASHINGTON – The Justice Department today announced that Roger Harris, Hediger Enterprises Inc., Carroll Management Group, Forum Manor Associates L.P. and Forum Manor LLC have agreed to pay $295,000 in monetary damages and civil penalties to resolve a Fair Housing Act lawsuit alleging sexual harassment, race and sex discrimination, retaliation and intimidation at Forum Manor Apartments, a federally-subsidized apartment complex in Rolla, Missouri. Continue Reading →

How to Earn Tax-Free Income as a Serial Homebuyer

By Thomas J. Lucier, on September 2nd, 2011

In my opinion, the capital gains tax exclusion that was granted to homeowners under the Taxpayer Relief Act of 1997, is the single best, wealth-building opportunity, that’s ever been made available to the average American. That’s because, under Section 121, of the Internal Revenue Code, a single homeowner can exclude, up to $250,000, from the sale of their principal residence, from capital gains tax, and a married couple, filing a joint tax return, can exempt up to $500,000. The only requirement is that a homeowner must have owned and occupied their home, for a total of twenty-four out of Continue Reading →

FBI Report Shows Mortgage Fraud Continues at Elevated Levels

By Dennis Norman, on August 16th, 2011

The FBI released it’s Mortgage Fraud Report for 2010 showing that mortgage fraud continued at elevated levels in 2010 and was consistent with levels seen in 2009. The top states for mortgage fraud activity in 2010 were Florida, California, Arizona, Nevada, Illinois, Michigan, New York, Georgia, New Jersey, and Maryland.

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Undercover Investigation Reveals Possible Discriminatory Treatment of REO’s by Lenders

By Dennis Norman, on April 11th, 2011

Forty three years ago today, President Lyndon Baines Johnson signed into law the Civil Rights Act of 1968 which included Title VIII, the Fair Housing Act which, as described on HUD’s website, “prohibits discrimination in the sale, rental, and financing of dwellings, and in other housing-related transactions, based on race, color, national origin, religion, sex, familial status (including children under the age of 18 living with parents or legal custodians, pregnant women, and people securing custody of children under the age of 18), and handicap (disability).“

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Should homeowners walk away from underwater mortgages?

By Dennis Norman, on April 5th, 2011

Most Americans are opposed to the idea according to recent survey

There have been several stories published on this site concerning borrowers that are “underwater” (owe more on their home than it is currently worth) and whether they should simply “walk-away” or do a “strategic default” in order to get out from under their problem. We have published views from both sides of this argument and both sides have made good points in support of their position. However, according to a survey conducted by FindLaw.com, it is clear that the majority of Americans, 60 percent to be exact, believe it Continue Reading →

Five Insurance Mistakes for Homeowners to Avoid

By Dennis Norman, on March 11th, 2011

The Insurance Information Institute (I.I.I.) just published the results of a survey of homeowners that showed almost half of the homeowners surveyed believe that coverage limits of their homeowners insurance policy are linked to the value of their home. However, this is not the case according to the I.I.I. “The real estate value of a home, that is the price you can buy or sell it for, has absolutely nothing to with the amount of insurance needed to financially protect the homeowner in the event of a fire or other disaster,” said Jeanne M. Salvatore, senior vice president and consumer Continue Reading →

Real Estate Investor Pleads Guilty to Bid-Rigging at Foreclosure Auctions

By Dennis Norman, on February 4th, 2011

Today Richard W. Northcutt, a California real estate investor, pleaded guilty to conspiring with a group of real estate speculators who agreed not to bid against each other at certain public real estate foreclosure auctions in San Joaquin County. According to the court documents the primary purpose of the conspiracy was to suppress and restrain competition and to obtain selected real estate offered at these foreclosure auctions at non-competitive prices.

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FHA Condominium Recertification Requirements

By Dennis Norman, on February 1st, 2011

Yesterday my wife received a letter from the condo association for a complex she owns a rental in with “OWNER ALERT!!!!!!!” (yes, that many exclamation points) at the top of it in big letters. The reason for the “alert” was to let condo owners know that FHA certification for this condominium complex expired December 31, 2010 (as it did for many complexes across the country) and that, in order to be eligible for FHA-insured financing the complex would have to obtain re-certification.

Now, in this particular case, the board is using this as a scare tactic to try to convince Continue Reading →

Justice Department Settles Disability Discrimination Case Against Property Management Company for $1.25 Million

By News Desk, on December 27th, 2010

The Justice Department today announced a $1.25 million agreement with Warren Properties Inc., Warren Village (Mobile) Limited Partnership and Frank R. Warren to settle allegations that the defendants violated the Fair Housing Act by refusing to grant a tenant’s requests for a reasonable accommodation. This settlement is the largest ever obtained by the department in an individual housing discrimination case.

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Are Reverse Mortgages Safe for Seniors?

By Dennis Norman, on December 10th, 2010

Ah, the reverse mortgage battle continues…Consumers Union says their risky and dangerous; RetireSafe, a grassroots organization that advocates on behalf of seniors says they provide financial independence to Seniors…so who’s right?

First off, I have to say that I personally feel reverse mortgages offer an excellent opportunity for seniors to live a better life, or get them through a tough financial period, by tapping the equity in their homes. I have written before about a friend of mine, Tom Carter, who has helped dozens of seniors over the years with reverse mortgages. Having said that, obviously, like almost Continue Reading →

Justice Department Reaches Settlement with Prime Lending to Resolve Allegations of Lending Discrimination

By News Desk, on December 9th, 2010

Settlement Provides $2 Million to African-American Borrowers Who Paid Higher Interest Rates

PrimeLending, a national mortgage lender with 168 offices in 32 states at the end of 2009, has agreed to pay $2 million to resolve allegations that it engaged in a pattern or practice of discrimination against African-American borrowers between 2006 and 2009.

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FTC Issues Final Rule Banning Upfront Fees From Mortgage Relief Companies

By News Desk, on November 29th, 2010

Homeowners will be protected by a new Federal Trade Commission rule that bans providers of mortgage foreclosure rescue and loan modification services from collecting fees until homeowners have a written offer from their lender or servicer that they decide is acceptable.

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Consumer Organization to Congress: Lenders ‘Lawless Attitude’ pushes homeowners into Foreclosure

By News Desk, on November 18th, 2010

The “robo-signing” scandal that has exposed illegal practices by servicers of mortgage loans has also showed the urgent need to reform a broken system that is plagued with abuses, lacks adequate resources and has pushed countless homeowners toward foreclosure.

That’s the message that Diane Thompson, a lawyer for the National Consumer Law Center, delivered in testimony earlier this week to the Senate Committee on Banking, Housing and Urban Affairs.

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Owning real estate within an IRA

By Jay Peroni, on November 11th, 2010

Can I own real estate within my IRA?

With investment property priced to move, some IRA owners are buying actual real estate properties. Did you know you could do that? Most people don’t. Not everyone can do it; not everyone should do it. However, some people are doing it – particularly high net worth IRA owners who see great deals in a buyer’s market.

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Justice Department Obtains $120,000 Settlement in Housing Discrimination Lawsuit Against Indiana Condominium Association

By News Desk, on October 24th, 2010

The Justice Department announced this week that a Munster, Ind., condominium association and its three member board of directors have agreed to pay $120,000 to resolve allegations that they refused to approve the sale of a condominium to an African-American couple because of their race and because they had children. The settlement must still be approved by U.S. Senior District Judge Philip P. Simon.

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A Condensed Guide to Closing Costs; St Louis Mortgage Watch

By Robert Fishel, on September 29th, 2010

There are so many different charges involved in buying a home, it is important to know what to expect at the settlement. Your lender is required to give you a Good Faith Estimate (GFE) of your settlement costs within three business days of your loan application. Once you get it, review the charges below to avoid any surprises when you sit down to close on your loan.

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