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Brentwood Press - DiscoveryBayPress_08.22.08 - Index

20A | brentwoodpress.com august 22, 2008
Trevor’s Weekly Mortgage Matters
By Trevor Frey
Hold On, HOPE Is On the Way
With the nation in the midst of one of
the largest slumps since the Great Depression,
Congress is coming to the aid of current homeowners
in the shape of the HOPE for Homeowners
Act of 2008. Estimated to assist over 400,000
distressed homeowners in retaining their property
by allowing families to refinance their existing loan
at 90% of the current value, this arm of H.R. 3221,
The Economic and Stimulus Package of 2008, will
authorize FHA in insure $300 billion in 30 year
fixed mortgages starting this fall.
With a shelf life of three years beginning
October 1st, the program, based on five key principals,
is expected to net nearly $250 million for
taxpayers by September 2011. Designed to pay
for itself (similarly to programs used to curb the
Depression eighty years ago), should the scheme
generate more funds than necessary to cover its
own budget, the excess will be dedicated to reducing
the national debt. Great you say, but how can
this directly benefit me now?
Under the provisions of H.R. 3221, your
current lender would have to forgive the difference
between your current loan and 90% of
your current property value; though it should be
noted that all loan servicers have the option to
participate, many would prefer another avenue to
keep you in your home. Recently, when meeting
with his lender via a series of phone calls, a client
used the new law as a bargaining chip, and, after
the subsequent negotiations, he secured himself a
drop in rate on his first loan to 3.5% and lowered
his second from 11% to 5%, saving him nearly
$900.00 a month. Major lending institutions would
prefer to keep your current mortgage balance and
rework your loan to make it affordable, rather than
have any more substantial losses on their books by
writing off the difference and participating in the
HOPE for Homeowner’s Act of 2008. Obviously
this is a case-by-case scenario, but now anxious
homeowners who are still in good standing with
their current mortgage have two avenues of hope:
H.R. 3221 itself and the fear that it instills in mortgage
providers!
If you have any real estate lending related
questions or concerns, don’t hesitate to write me at
tfrey@mortgagewestco.com or call me directly at
925-820- 7110. Who knows, your question could
just be the feature of a future article!
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Content from page 19A
CSD again filed a demurrer to have the
declaratory relief action thrown out. The
Superior Court judge denied CSD’s request
and said the following in its final ruling
denying the demurrer: “… a present controversy
exists as to whether it is the policy of
the Board (1) not to vote on matters before
them that require votes (2) not to properly
record actions taken by the Board, and (3)
not to deliberate openly.” Trial is set for
Nov. 10, 2008.
I have no idea where Mr. Mankin got
his “facts” from, but getting them accurate
was the reason I sent him all those pages.
That was to no avail.
In addition, all those misguided critics
of my actions should now change their
mantra. They have said the matters at issue
are just my own errant opinions. A Superior
Court judge heard my best arguments,
CSD’s best arguments, and decided that
there is a controversy deserving to be heard
in his courtroom. It is no longer just my
opinion.
For more than a year, four of the CSD
Board members could have joined Director
Dove in agreeing with my numerous offers
to meet and settle this matter. They stead-
fastly refuse, apparently to save face and/or
reserve their “right” to violate the law. They
have wasted $79,291.16 to date, with no end
in sight. Mr. Piepho, how about a “study”
of that?
Regarding this latest “study” of
everyone’s correspondence, Mr. Piepho has,
on the record, intentionally exaggerated the
number of letters, and CSD is intentionally
manipulative of many things. Can CSD be
trusted to produce anything reliable or credible
in its “study”? Not likely.
CSD stubbornly will not enter negotiations
to stop the waste of scarce tax money,
so I have initiated a Summary Judgment
Motion to stop the waste. I have limited the
motion to the one issue of voting to increase
its chances for success. Stay tuned, but
please do not depend upon Mr. Mankin’s
reports on it.
I have been, and will continue, exerting
every effort at the ballot box this coming
Nov. 4 to add other citizens on the board,
like Director Dove, who are committed to
obeying the law in the best interest of Discovery
Bay. That includes a future recall.
I never speak for anyone except myself.
I would welcome hearing from anyone.