Servicemembers’ Civil Relief Act
JP Morgan Chase has settled a class action suit for violating the nearly 70 year old Servicemembers’ Civil Relief Act(SCRA) which states that even when legal and in states that don’t require it, only a judge can authorize a foreclosure and only after a hearing where military members are represented. The law is in place to protect active duty military members from financial duress.
In April of this year, a class action lawsuit was lost by JPMorgan Chase, awarding $56 million to the troops and reforming Chase’s treatment of American military. Similarly, Deutsche Bank was sued for illegally foreclosing on a soldier.
New illegal foreclosures
Texas Army National Guard Sergeant Jorge Rodriguez has petitioned for class action suit for SCRA violations as filed in Federal Court in New York against Citigroup, Inc.
Sgt. Rodriguez’ Del Valle, Texas home was allegedly illegally foreclosed on while he was preparing to be deployed to Iraq in May 2006, as he was in training at Fort Hood. The foreclosure took place while he was on “lock down” wherein he was not allowed to communicate with outsiders for 90 days.
Coming home to no house
Rodriguez said the foreclosure occurred three months after he had begun training at Fort Hood, where he was “on lock down” and could not communicate with outsiders. While on active duty he was unable to make payments on his mortgage and was completely unaware of the illegal foreclosure until he returned home in August 2007 after an 11 month tour in Iraq.
His home sold for $137,900 at auction, $13,400 more than his original mortgage. The suit notes that Rodriguez did not receive and proceeds from the sale.
Seeking class action status
In court papers, Rodriguez said he was moved to file for class action status because “this was not an isolated incident. CitiMortgage initiated thousands of foreclosure proceedings across the United States without adequate safeguards to ensure that service members on active duty were not targeted.”
The class action suit seeks possession of the homes restored to the armed service members allegedly illegally foreclosed upon as well as compensatory and punitive damages.
Rodriguez is not, as he implies, alone. Service members are returning home to foreclosed houses without a judicial ruling, interest rates above 6% (also illegal under SCRA), evictions not in line with SCRA and more.
Austin tops the list of best places to buy a home
When looking to buy a home, taking the long view is important before making such a huge investment – where are the best places to make that commitment?
Looking at the bigger picture
(REALUOSO.COM) – Let us first express that although we are completely biased about Texas (we’re headquartered here, I personally grew up here), the data is not – Texas is the best. That’s a scientific fact. There’s a running joke in Austin that if there is a list of “best places to [anything],” we’re on it, and the joke causes eye rolls instead of humility (we’re sore winners and sore losers in this town).
That said, SelfStorage.com dug into the data and determined that the top 12 places to buy a home are currently Texas and North Carolina (and Portland, I guess you’re okay too or whatever).
They examined the nerdiest of numbers from the compound annual growth rate in inflation-adjusted GDP to cost premium, affordability, taxes, job growth, and housing availability.
“Buying a house is a big decision and a big commitment,” the company notes. “Although U.S. home prices have risen in the long term, the last decade has shown that path is sometimes full of twists, turns, dizzying heights and steep, abrupt falls. Today, home prices are stabilizing and increasing in most areas of the U.S.”
Average age of houses on the rise, so is it now better or worse to buy new?
With aging housing in America, are first-time buyers better off buying new or existing homes? The average age of a home is rising, as is the price of new housing, so a shift could be upon us.
The average home age is higher than ever
(REALUOSO.COM) – In a survey from the Department of Housing and Urban Development American Housing Survey (AHS), the median age of homes in the United States was 35 years old. In Texas, homes are a bit younger with the median age between 19 – 29 years. The northeast has the oldest homes, with the median age between 50 – 61 years. In 1985, the median age of a home was only 23 years.
With more houses around 40 years old, the National Association of Realtors asserts that homeowners will have to undertake remodeling and renovation projects before selling unless the home is sold as-is, in which case the buyer will be responsible to update their new residence. Even homeowners who aren’t selling will need to consider remodeling for structural and aesthetic reasons.
Prices of new homes on the rise
Newer homes cost more than they used to. The price differential between new homes and older homes has increased from 10 percent traditionally to around 37 percent in 2014. This is due to rising construction costs, scarcity of lots, and a low inventory of new homes that doesn’t meet the demand.
Are Realtors the real loser in the fight between Zillow Group and Move, Inc.?
The last year has been one of dramatic and rapid change in the real estate tech sector, but Realtors are vulnerable, and we’re worried.
Why Realtors are vulnerable to these rapid changes
(REALUOSO.COM) – Corporate warfare demands headlines in every industry, but in the real estate tech sector, a storm has been brewing for years, which in the last year has come to a head. Zillow Group and Move, Inc. (which is owned by News Corp. and operates ListHub, Realtor.com, TopProducer, and other brands) have been competing for a decade now, and the race has appeared to be an aggressive yet polite boxing match. Last year, the gloves came off, and now, they’ve drawn swords and appear to want blood.
Note: We’ll let you decide which company plays which role in the image above.
So how then, does any of this make Realtors the victims of this sword fight? Let’s get everyone up to speed, and then we’ll discuss.
1. Zillow poaches top talent, Move/NAR sues
It all started last year when the gloves came off – Move’s Chief Strategy Officer (who was also Realtor.com’s President), Errol Samuelson jumped ship and joined Zillow on the same day he phoned in his resignation without notice. He left under questionable circumstances, which has led to a lengthy legal battle (wherein Move and NAR have sued Zillow and Samuelson over allegations of breach of contract, breach of fiduciary duty, and misappropriation of trade secrets), with the most recent motion being for contempt, which a judge granted to Move/NAR after the mysterious “Samuelson Memo” surfaced.
Salt was added to the wound when Move awarded Samuelson’s job to Move veteran, Curt Beardsley, who days after Samuelson left, also defected to Zillow. This too led to a lawsuit, with allegations including breach of contract, violation of corporations code, illegal dumping of stocks, and Move has sought restitution. These charges are extremely serious, but demanded slightly less attention than the ongoing lawsuit against Samuelson.
2. Two major media brands emerge
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