Video

Homeowner never misses a payment, loses house at auction

Published

August 5, 2011

Michigan homeowner frustrated

When a Michigan family invested in an untraditional mortgage, they had no idea that after a $20,000 investment and never missing a monthly house payment would still lead to their eviction.

The family purchased their home through KMS Property Management who NBC25 says is the subject of various investigations for not paying their bills and leaving homeowners’ houses vulnerable, including this family whose home was just sold at auction for $73,000.

“From my understanding, it’s just a loss,” the homeowner told NBC25. “We are willing to work with somebody and do whatever it takes to stay in our house.”

In this article:mortgage crisis, News, Real Estate News

Written By Tara Steele, Staff Writer

Tara Steele is the News Director at The American Genius, covering entrepreneur, real estate, technology news and everything in between. If you'd like to reach Tara with a question, comment, press release or hot news tip, simply click the link below.

13 Comments

David Pylyp

August 5, 2011 at 10:58 am

For all the freedom and liberty you have in the United States, I am always amazed at the level of fraud and theft that occurs related to real estate.

Someone ruined these people's lives and should be in jail.

David Pylyp
Accredited Senior Agent Toronto

Reply
J Philip Faranda

August 5, 2011 at 3:05 pm

Sounds like some sort of land contract. Beware of "creative" financing, folks. How tragic.

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Manhattan Beach Agent

August 6, 2011 at 1:17 pm

This just seems like outright fraud with judicial remedy certain.

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Jeri Groves

August 9, 2011 at 5:23 pm

Seems like you should ALWAYS, ALWAYS, ALWAYS use a title company to record and close the transaction. Basically, it looks like this was equity skimming by KMS. If these buyer's weren't using a lawyer or a Realtor, they made a HUGE, HUGE error in judgment. It's tragic.

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