Former Countrywide Execs To Profit From REO Markets
Posted in Alternative Business Models By Danny C. Flucke Jr., Friday, July 10, 2009.Does anyone else find this ridiculous?
Former CW senior executives are now heading up a company with Fannie and Freddie REO contracts - Even though they have ZERO real estate selling experience.
(Is that why they are just now getting their real estate licensing in order...?)
They make Multi-Millions in salaries and bonuses at CW - Which certainly had a major hand in creating this real estate bubble - Only to turn around and profit again from the REO market.
Here is the link: http://blogcatalog.com/search.frame.php?term=countrywide+reo&id=c38dad1c...
It's not just a joke - It should be crimminal.
Looks like the "good old boys club" is alive and well in the REO ranks of Fannie and Freddie - Since these executives could never have actually been selected for these responsibilites without a friend of a friend of a friend.
Instead of selecting and supporting proven long-term professional brokers/agents within each specific market with tens of thousands of REO listings - Those in charge at Fannie and Freddie will simply pass along the commissions to their former CW croonies. (And how well do you suppose they know the Michigan market...?)
Do I sound outraged? Good. Because I am.
It's a slap in the face to hardworking brokers/agents - And another example of the "GOBC" in action.
What's your opinion...?
Work hard and ride safe, Thanx, Danny
Danny C. Flucke Jr. - Senior Partner
Nationwide Mortgage Experts
Direct: (714) 624-9479
DCFJ@NationwideMortgageExperts.com
http://NationwideMortgageExperts.com / http://NaMoEx.com
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Submitted by Ed and Cindy Knight on July 10, 2009 - 12:01pm.
Slap in the face is an understatement. This makes me sick - where is NAR? Where is our government? NAR fought to keep the banks out of our business but they walked right in the back door. These guys should have gone to jail like Bernie Madoff only now they are allowing them to clean up the mess They created!! The banks have made bank agents basically employees by telling them what to do. They are no longer real estate agents they are order takers - they have helped ruin the market. Now we are going to allow the crooks in the business as agents???
Here's just a few examples of how they operate now - the banks and especially CW/BA hold sellers and agents captive for months and months while doing a short sale. Buyers and buyer agents have no control in the deal anymore - the bank says what to sign and where. Here in Macomb County MI the banks have managed to totally ruin the market - we are seeing 1980 prices in half of our county.
Allowing this to happen will not help the problem it will increase the problem. More and more will just stop making payments if they know they will offer you 50% off your mortgage. Yes I too am outraged Danny!!!
Submitted by Austin Smith on July 10, 2009 - 1:18pm.
Wow. This has the potential to work (3 REO-purchasing entities, surely better than just 2?), but the fact remains that these are the same guys that put us where we are now and the fact that someone saw fit to re-issue responsibilty to these individuals simply blows my mind.
Good question Ed/Cindy: WHERE is our Govt.?!?
Why did no one but those who depend on RE to pay the bills catch on to the fact that we're giving power back to those who have only abused it?
The concept of PennyMac is like Communism: good in theory, impossible to apply.
Submitted by Laura Higgins on July 10, 2009 - 6:30pm.
"Arms Length," transactions would be nice for a change. Is the government not regulating these guys. Isn't this how we ended up in this economic free fore all.
I don't know but I am seeing a pattern developing again.