The Whole Country is Running Amok!



You know that just thinking bad things about Obama landed people in jail, and I don’t know anyone who liked or voted for him. In fact, he should be in jail for numerous items he did.


Trump on the other hand I voted for and like, and know many, that if they did not like him in the beginning, saw he was not full of shit, and came his way.

Yet, people are always threatening, and in fact, trying to kill Trump, and even saying it publicly does not cause them to land in jail.

Personally, the likes of Madonna saying that she had been thinking “a lot lately about blowing up the white house”, the bitch should have been locked up.

Maxine Waters and Nancy Pelosi should be there with the bitch, and Clinton should have been there back before the elections.

Since when, do people trying to get people to murder anyone not go to jail?  Dumb question, how many are on the Clinton’s list of dead bodies?


Especially when it is the US President they are trying to get murdered?

Same thing with riots? 

Since when does attempting to incite riots not an arrest-able offense?

The whole country is running amok with would be communists, at one time people like that were taken care of one way or another.

Yet, today, we have fewer rights than we have ever had.

We have a news media that all of them should be fired and put on public display handcuffed and shackled. Can’t believe a word out of their mouths.

We have alternative news sites being yanked off the internet, and social media idiots going from one side to other, scared they are going to lose their riches.

Then there are these ANTIFA screwballs.

They hide who they are, go out and commit crimes, and the cops stand there with their sticks in their hands jerking off.

Hell, I remember the riots of the 60s when the cops came, they told you to leave.

If the kids did not leave they would go to clubbing the whole lot of them.
Sometimes, they were shot at. They did not care race or gender, they would bat you down.

Then there are these idiots that are trying to tell kids that there are many different genders, and if they want to be a different sex, that is ok.

If they want to be an animal that’s ok too. They are teaching kids about sex in school, and that transgender men can go to the same bathroom as our little girls.

WTF is wrong with this picture?

And since when do our kids not belong to us, and they do belong to the whole community? I guess that was about the same time, that the vaccines started giving the kids autism.

Is the whole community stepping in to help pay for these kids riddled with autism? Hell no.


The courts will rule against all known law, and in fact make up some laws as they go along.

Foreclosure hell awakened judges making laws. Seen it in a bunch of different states.

And just try going into the court as pro se. What a fucking joke.

No matter how well versed a person is in the law. No matter how well a person follows the rules to a “t”, no matter if the persona has a cut and dry case in their favor, if they don’t have an attorney, they might as well go jerk off in the bushes, because that is about how much it is going to matter.


And that’s not even mentioning the child sex rings stealing, selling, and killing children in this country.

I am so sick of the shit that I could go on, and on, and on…

I guess all I can say is damn, the whole country is running amok.

Dear God; They Caught Them ALL! Putin Gives Trump 160 Terabytes of Communication Intercepts; ALL people behind fake “Russia Collusion” – False Flag Chemical Attacks in Syria, Sabotage of Brexit, Nefarious Clinton activities & More



U.S. National News
Dear God; They Caught Them ALL! Putin Gives Trump 160 Terabytes of Communication Intercepts; ALL people behind fake “Russia Collusion” – False Flag Chemical Attacks in Syria, Sabotage of Brexit, Nefarious Clinton activities & More

Category: U.S. National News
Tuesday, 17 July 2018 20:30
Hits: 86283
http://halturnerradioshow.com/index.php/news/u-s-national-news/2855-dear-god-they-caught-them-all-putin-gives-trump-160-terabytes-of-communication-intercepts-all-people-behind-fake-russia-collusion-false-flag-chemical-attacks-in-syria-sabotage-of-brexit-nefarious-clinton-activities-more

Thanks to my long-time former colleagues from the Intelligence Community, whom I worked with in my years with the FBI Joint Terrorism Task Force, from both inside and outside the US, I am pleased to be the ONLY media outlet to be able to report this extraordinary information . . . .

The jig is finally up. The Dominoes are all in position to be knocked over. The “elite” have phoned, faxed, and emailed many of themselves right into prison, or worse. (When the public finds out, probably “worse.”)

At the meeting in Helsinki, Finland, between Presidents Putin of Russia and Trump of the USA, the Russians gave to Trump at least 160 TERABYTES of Russian Intelligence Intercepts which expose horrifying activities of many, many, people to deliberately foment social, cultural, and political chaos, violent riots, demonstrations, media smears, phony scandals, and fake news.

Some of those intercepts reveal who has been financing weapons, supplies, travel, hotel, vehicle rentals and secure communications gear for Terrorist groups, inside Syria, Iraq, and terror attacks in Europe and the US.

Among the intercepted communications are mostly international phone calls, faxes, emails by members of the US Congress, US Senate, federal Judges, state-level elected officials from California, Oregon, Washington, New York (City & State), New Jersey, Connecticut, Massachusetts, Maryland and Virginia. Once those communications left the United States, they became fair game for any country to spy on.

A great number of these communications were encrypted, but Russia has found a way to BREAK much of the encryption! And as part of their effort to improve relations with Trump, they provided the original encrypted versions of the intercepts AND the key which decrypts them so the US can use US-obtained intercepts (which may still be encrypted) along with the Russian-provided decryption key to prove the info is accurate and unedited!!!

Numerous high-ranking officials and well known wealthy people have been caught red-handed scheming together and with foreign governments along with radical leftist billionaires both inside and outside the US, to foment — and finance — extraordinary acts of political, social, and cultural chaos including riots, violent attacks, political unrest and more.

Some high-level MANAGERS at gigantic social media companies have received literally millions of dollars in pay-offs to establish or use under-the-radar company policies to impose severe censorship on certain views and to silence certain people; often times without the knowledge or consent of the Highest Executives or Boards of Directors of those companies! These pay-offs USURP actual executive power in some giant social media outlets.

High level mass-media Producers, Editors, and some Writers in the US, UK, and elsewhere in Europe, have been paid-off with VAST sums of money to launch phony media smears. Push scandals. Create and report FAKE news stories. All to sew dissent, foment unrest, cause political and social instability. When this information is revealed. MAJOR (Like REALLY MAJOR) news outlets will be completely ruined. Their company stock (or that of their parent company) will plummet to zero because their credibility – their believability – will be utterly destroyed. Ad revenues will plummet because the public simply will not trust these outlets anymore.

A very significant number of US INTELLIGENCE COMMUNITY persons are also, sadly, caught. It is now clear there is a cadre of people inside the US Intelligence Community, who have been misusing their positions to do things they were never cleared to do; the kinds of things that get people Indicted, tried, convicted and . . . . executed under our federal legal system! Yes, you read that right: certain specific US Intel people could literally face the death penalty for some of the things they have now been positively caught doing.

Even more sadly, a very few high-ranking US Military officials have also been caught. Intercepts from field communications are going to send some of those Officials to Leavenworth for the rest of their lives. (Cont’d Below)

PLEASE NOTE: If this type of inside information and reporting is pleasing to you, please know that this web site and radio show are supported by READERS like you. Cloud-based sites like this get BILLED when you read a story. You read, I pay. So if you like this, and want more, it is IMPERATIVE you help out with a dollar or two. Some folks may feel that $5, $10, $20, $50 or $100 will help even more — and it will. Please don’t take this site or the news you get here for granted. It costs big money to run this web site and radio show and without YOUR help, it simply cannot exist. Please take a second and donate HERE.

Moreover, a very significant number of employees/officials inside the US State Department have coordinated activities the likes of which will make the American people recoil in horror. In fact, I was explicitly told

“Foggy Bottom (the nickname for the State Dept.) is turning out to be THE epicenter of evil for a lot of things . . .”

Worst of all, some of the Signals Intelligence grabbed-up certain well-known individuals inside the US Department of Justice. What these people have done will no doubt smash the reputation of the legal system for decades. Not only are some people inside the Justice Department going to prison, their liability for things they’ve done WITHOUT AUTHORIZATION, will expose them to personal liability which will utterly destroy them and their families civilly.

At the highest levels of these intercepts are allegedly names like Soros, Rothschild, and very recognizable others.

Russian President Vladimir Putin and United States President Donald Trump, met in Helsinki, Finland early this week, for about two hours privately. No staff. No aids. No media.

During that meeting, Putin laid out the inner workings of the vast global network of “elites” and the activities they have engaged in to bring wars, refugees, all manner of social and political chaos to countries around the world, much of it in the USA. Russia even provided charts showing “organizational” structures (which are not really “organizations” but more defacto operational realities); who is tasked with what topics or activities, how much they have been paid and by whom.

Actual copies of communications and Signals Intercepts with descrambled recordings of phone calls, descrambled “secure” fax transmissions, descrambled encrypted emails. Vast reports on money transactions via wire transfer, control numbers, account names, amounts, dates, purposes . . . and the recipient info too.

In total, more than 160 TERABYTES of this type of data was given to President Trump in the form of 1 Terabyte USB Flash Memory Drives. The USB drives are DataTraveler® HyperX® Predator 3.0 USB Flash drives which hold 1 terabyte of data each.

The level of criminal conspiracy is so enormous, and the global scale and reach of these efforts is so gigantic, it boggles the mind.

Bankers and titans of industry are also involved. I can also report that Union bosses figure prominently in the intercepts.
BREXIT

The opposition to BREXIT is being funded and orchestrated by people on BOTH SIDES of British politics and the motivation is two-fold: They want Britain to remain in Europe to lessen its power and, they HATE the Royal Family.

According to the information given to me, some of the most virulent Torie “Remainers” joked with like-minded Labour members about “looking forward to the day when Britain sheds it archaic Monarchy and comes under total rule by the EU.” These are ELECTED officials who are literally trying to destroy the sovereignty of their own country!
The Clintons

Turns out, Bill and Hillary have been under surveillance since Bill was first elected President in 1992. Almost EVERY dirty deal, alleged shake-down, alleged kick-back, and some things described to me as “the ultimate acts (plural) of nefarious nature” are all neatly recorded and indexed by Russia. Now, I’m told, President Trump has it all.
Closely Guarded Secret Work

Trusted elements inside the Trump Administration (who have been sworn to absolute secrecy, even ordered to flatly DENY the very existence of this material in order to maintain security) are being tasked to sort through, analyse and catalog all activities turned over by Russia; paying particular attention to any activity which resulted in violence, death or property damage, so as to be able to criminally prosecute ALL the Conspirators based on any end-result violence or property loss/damage. Whether the Conspirators intended such acts or not, the acts themselves “were a foreseeable consequence” of their efforts, thus making them ALL guilty.

Working from the top, these trusted elements inside the Trump Administration will take each effort and follow it down to the end results, documenting any acts of state-level violence, which thereby makes ALL participants in that entire effort subject to Conspiracy charges. Conspiracy is the likely charge as opposed to bringing Racketeer Influenced Corrupt Organization (RICO) cases, because RICO cases require predicate felonies which often had not occurred.

I asked if any of this evidence can actually be used in court since none of it was obtained via Warrant? I was told that ALL of it is admissible because the United States did not solicit the information and had no part in it being illegally obtained! Thus, there is no “fruit of a poison tree” to block admissibility!

Hal Turner Commentary

Literally HUNDREDS of ultra-wealthy and/or very high profile people are about to have their entire existence caught-up in the wheels of justice.

And as a person who has been caught-up in the wheels of justice myself, I can tell you those wheels may turn slowly, but they GRIND UP everything and everyone they encounter.

I am not yet privy to particular facts or incident covered by this material. I am told to expect to get information, but no time frame was told to me.

It seems as though the Putin-Trump meeting in Helsinki has, in fact, become the worst nightmare of a whole slew of people.

Prior to the summit, many people took extraordinary efforts to try to derail the meeting altogether.

After the meeting, those folks and their minions are making enormous noise about anything they can.

They’re worried they’re caught. They think they might be caught. I can report tonight, they are right to worry; they ARE caught!

They think that creating distractions through scandals will prevent them from being held accountable. It won’t.

The jig is up. The dominoes are about to fall.

Some of these people would do well to get their affairs in order and commit suicide. Because when the truth comes out about what they’ve been doing, and the things they’ve done, their world will be smashed by the legal system. Their entire existence, their fortunes and their family name will be ruined forever.

PROGRAMMING NOTE: This will be a major topic of discussion on WEDNESDAY, June 18, from 9:00-11:00 PM eastern US time (GMT -0400) on “The Hal Turner Radio Show.” You can listen via radio or right here in the Internet as the show airs LIVE. To tune-in by radio, select either WBCQ or WRMI worldwide shortwave. WBCQ transmits with 50,000 watts on frequency 7.490 AM. WRMI transmits with 100,000 watts on frequency 9.455 AM. To tune-in here on the Internet, click the LISTEN LIVE button in the menu bar above the main news section. Those links DO NOT GO LIVE until about one hour before my show begins. During that hour, I stream commercial-free music until my show starts. Don’t miss this extraordinary broadcast!

U.S. National News
Dear God; They Caught Them ALL! Putin Gives Trump 160 Terabytes of Communication Intercepts; ALL people behind fake “Russia Collusion” – False Flag Chemical Attacks in Syria, Sabotage of Brexit, Nefarious Clinton activities & More

Category: U.S. National News
Tuesday, 17 July 2018 20:30
Hits: 86283

37 Comments

Thanks to my long-time former colleagues from the Intelligence Community, whom I worked with in my years with the FBI Joint Terrorism Task Force, from both inside and outside the US, I am pleased to be the ONLY media outlet to be able to report this extraordinary information . . . .

The jig is finally up. The Dominoes are all in position to be knocked over. The “elite” have phoned, faxed, and emailed many of themselves right into prison, or worse. (When the public finds out, probably “worse.”)

At the meeting in Helsinki, Finland, between Presidents Putin of Russia and Trump of the USA, the Russians gave to Trump at least 160 TERABYTES of Russian Intelligence Intercepts which expose horrifying activities of many, many, people to deliberately foment social, cultural, and political chaos, violent riots, demonstrations, media smears, phony scandals, and fake news.

Some of those intercepts reveal who has been financing weapons, supplies, travel, hotel, vehicle rentals and secure communications gear for Terrorist groups, inside Syria, Iraq, and terror attacks in Europe and the US.

Among the intercepted communications are mostly international phone calls, faxes, emails by members of the US Congress, US Senate, federal Judges, state-level elected officials from California, Oregon, Washington, New York (City & State), New Jersey, Connecticut, Massachusetts, Maryland and Virginia. Once those communications left the United States, they became fair game for any country to spy on.

A great number of these communications were encrypted, but Russia has found a way to BREAK much of the encryption! And as part of their effort to improve relations with Trump, they provided the original encrypted versions of the intercepts AND the key which decrypts them so the US can use US-obtained intercepts (which may still be encrypted) along with the Russian-provided decryption key to prove the info is accurate and unedited!!!

Numerous high-ranking officials and well known wealthy people have been caught red-handed scheming together and with foreign governments along with radical leftist billionaires both inside and outside the US, to foment — and finance — extraordinary acts of political, social, and cultural chaos including riots, violent attacks, political unrest and more.

Some high-level MANAGERS at gigantic social media companies have received literally millions of dollars in pay-offs to establish or use under-the-radar company policies to impose severe censorship on certain views and to silence certain people; often times without the knowledge or consent of the Highest Executives or Boards of Directors of those companies! These pay-offs USURP actual executive power in some giant social media outlets.

High level mass-media Producers, Editors, and some Writers in the US, UK, and elsewhere in Europe, have been paid-off with VAST sums of money to launch phony media smears. Push scandals. Create and report FAKE news stories. All to sew dissent, foment unrest, cause political and social instability. When this information is revealed. MAJOR (Like REALLY MAJOR) news outlets will be completely ruined. Their company stock (or that of their parent company) will plummet to zero because their credibility – their believability – will be utterly destroyed. Ad revenues will plummet because the public simply will not trust these outlets anymore.

A very significant number of US INTELLIGENCE COMMUNITY persons are also, sadly, caught. It is now clear there is a cadre of people inside the US Intelligence Community, who have been misusing their positions to do things they were never cleared to do; the kinds of things that get people Indicted, tried, convicted and . . . . executed under our federal legal system! Yes, you read that right: certain specific US Intel people could literally face the death penalty for some of the things they have now been positively caught doing.

Even more sadly, a very few high-ranking US Military officials have also been caught. Intercepts from field communications are going to send some of those Officials to Leavenworth for the rest of their lives. (Cont’d Below)

PLEASE NOTE: If this type of inside information and reporting is pleasing to you, please know that this web site and radio show are supported by READERS like you. Cloud-based sites like this get BILLED when you read a story. You read, I pay. So if you like this, and want more, it is IMPERATIVE you help out with a dollar or two. Some folks may feel that $5, $10, $20, $50 or $100 will help even more — and it will. Please don’t take this site or the news you get here for granted. It costs big money to run this web site and radio show and without YOUR help, it simply cannot exist. Please take a second and donate HERE.

Moreover, a very significant number of employees/officials inside the US State Department have coordinated activities the likes of which will make the American people recoil in horror. In fact, I was explicitly told

“Foggy Bottom (the nickname for the State Dept.) is turning out to be THE epicenter of evil for a lot of things . . .”

Worst of all, some of the Signals Intelligence grabbed-up certain well-known individuals inside the US Department of Justice. What these people have done will no doubt smash the reputation of the legal system for decades. Not only are some people inside the Justice Department going to prison, their liability for things they’ve done WITHOUT AUTHORIZATION, will expose them to personal liability which will utterly destroy them and their families civilly.

At the highest levels of these intercepts are allegedly names like Soros, Rothschild, and very recognizable others.

Russian President Vladimir Putin and United States President Donald Trump, met in Helsinki, Finland early this week, for about two hours privately. No staff. No aids. No media.

During that meeting, Putin laid out the inner workings of the vast global network of “elites” and the activities they have engaged in to bring wars, refugees, all manner of social and political chaos to countries around the world, much of it in the USA. Russia even provided charts showing “organizational” structures (which are not really “organizations” but more defacto operational realities); who is tasked with what topics or activities, how much they have been paid and by whom.

Actual copies of communications and Signals Intercepts with descrambled recordings of phone calls, descrambled “secure” fax transmissions, descrambled encrypted emails. Vast reports on money transactions via wire transfer, control numbers, account names, amounts, dates, purposes . . . and the recipient info too.

In total, more than 160 TERABYTES of this type of data was given to President Trump in the form of 1 Terabyte USB Flash Memory Drives. The USB drives are DataTraveler® HyperX® Predator 3.0 USB Flash drives which hold 1 terabyte of data each.

The level of criminal conspiracy is so enormous, and the global scale and reach of these efforts is so gigantic, it boggles the mind.

Bankers and titans of industry are also involved. I can also report that Union bosses figure prominently in the intercepts.
BREXIT

The opposition to BREXIT is being funded and orchestrated by people on BOTH SIDES of British politics and the motivation is two-fold: They want Britain to remain in Europe to lessen its power and, they HATE the Royal Family.

According to the information given to me, some of the most virulent Torie “Remainers” joked with like-minded Labour members about “looking forward to the day when Britain sheds it archaic Monarchy and comes under total rule by the EU.” These are ELECTED officials who are literally trying to destroy the sovereignty of their own country!
The Clintons

Turns out, Bill and Hillary have been under surveillance since Bill was first elected President in 1992. Almost EVERY dirty deal, alleged shake-down, alleged kick-back, and some things described to me as “the ultimate acts (plural) of nefarious nature” are all neatly recorded and indexed by Russia. Now, I’m told, President Trump has it all.
Closely Guarded Secret Work

Trusted elements inside the Trump Administration (who have been sworn to absolute secrecy, even ordered to flatly DENY the very existence of this material in order to maintain security) are being tasked to sort through, analyse and catalog all activities turned over by Russia; paying particular attention to any activity which resulted in violence, death or property damage, so as to be able to criminally prosecute ALL the Conspirators based on any end-result violence or property loss/damage. Whether the Conspirators intended such acts or not, the acts themselves “were a foreseeable consequence” of their efforts, thus making them ALL guilty.

Working from the top, these trusted elements inside the Trump Administration will take each effort and follow it down to the end results, documenting any acts of state-level violence, which thereby makes ALL participants in that entire effort subject to Conspiracy charges. Conspiracy is the likely charge as opposed to bringing Racketeer Influenced Corrupt Organization (RICO) cases, because RICO cases require predicate felonies which often had not occurred.

I asked if any of this evidence can actually be used in court since none of it was obtained via Warrant? I was told that ALL of it is admissible because the United States did not solicit the information and had no part in it being illegally obtained! Thus, there is no “fruit of a poison tree” to block admissibility!

Hal Turner Commentary

Literally HUNDREDS of ultra-wealthy and/or very high profile people are about to have their entire existence caught-up in the wheels of justice.

And as a person who has been caught-up in the wheels of justice myself, I can tell you those wheels may turn slowly, but they GRIND UP everything and everyone they encounter.

I am not yet privy to particular facts or incident covered by this material. I am told to expect to get information, but no time frame was told to me.

It seems as though the Putin-Trump meeting in Helsinki has, in fact, become the worst nightmare of a whole slew of people.

Prior to the summit, many people took extraordinary efforts to try to derail the meeting altogether.

After the meeting, those folks and their minions are making enormous noise about anything they can.

They’re worried they’re caught. They think they might be caught. I can report tonight, they are right to worry; they ARE caught!

They think that creating distractions through scandals will prevent them from being held accountable. It won’t.

The jig is up. The dominoes are about to fall.

Some of these people would do well to get their affairs in order and commit suicide. Because when the truth comes out about what they’ve been doing, and the things they’ve done, their world will be smashed by the legal system. Their entire existence, their fortunes and their family name will be ruined forever.

PROGRAMMING NOTE: This will be a major topic of discussion on WEDNESDAY, June 18, from 9:00-11:00 PM eastern US time (GMT -0400) on “The Hal Turner Radio Show.” You can listen via radio or right here in the Internet as the show airs LIVE. To tune-in by radio, select either WBCQ or WRMI worldwide shortwave. WBCQ transmits with 50,000 watts on frequency 7.490 AM. WRMI transmits with 100,000 watts on frequency 9.455 AM. To tune-in here on the Internet, click the LISTEN LIVE button in the menu bar above the main news section. Those links DO NOT GO LIVE until about one hour before my show begins. During that hour, I stream commercial-free music until my show starts. Don’t miss this extraordinary broadcast!

Pay Attention! Look at the money trail AFTER the foreclosure sale, by Neil Garfield


Pay Attention! Look at the money trail AFTER the foreclosure sale
Posted on July 3, 2018 by Neil Garfield
https://livinglies.wordpress.com/2018/07/03/pay-attention-look-at-the-money-trail-after-the-foreclosure-sale/

My confidence has never been higher that the handling of money after a foreclosure sale will reveal the fraudulent nature of most “foreclosures” initiated not on behalf of the owner of the debt but in spite of the the owner(s) of the debt.

It has long been obvious to me that the money trail is separated from the paper trail practically “at birth” (origination). It is an obvious fact that the owner of the debt is always someone different than the party seeking foreclosure, the alleged servicer of the debt, the alleged trust, and the alleged trustee for a nonexistent trust. When you peek beneath the hood of this scam, you can see it for yourself.

Real case in point: BONY appears as purported trustee of a purported trust. Who did that? The lawyers, not BONY. The foreclosure is allowed and the foreclosure sale takes place. The winning “bid” for the property is $230k.

Here is where it gets real interesting. The check is sent to BONY who supposedly is acting on behalf of the trust, right. Wrong. BONY is acting on behalf of Chase and Bayview loan servicing. How do we know? Because physical possession of the check made payable to BONY was forwarded to Chase, Bayview or both of them. How do we know that? Because Chase and Bayview both endorsed the check made out to BONY depositing the check for credit in a bank account probably at Chase in the name of Bayview.

OK so we have the check made out to BONY and TWO endorsements — one by Chase and one by Bayview supposedly — and then an account number that might be a Chase account and might be a Bayview account — or, it might be some other account altogether. So the question who actually received the $230k in an account controlled by them and then, what did they do with it. I suspect that even after the check was deposited “somewhere” that money was forwarded to still other entities or even people.

The bid was $230k and the check was made payable to BONY. But the fact that it wasn’t deposited into any BONY account much less a BONY trust account corroborates what I have been saying for 12 years — that there is no bank account for the trust and the trust does not exist. If the trust existed the handling of the money would look very different OR the participants would be going to jail.

And that means NOW you have evidence that this is the case since BONY obviously refused to do anything with the check, financially, and instead just forwarded it to either Chase or Bayview or perhaps both, using copies and processing through Check 21.

What does this mean? It means that the use of the BONY name was a sham, since the trust didn’t exist, no trust account existed, no assets had ever been entrusted to BONY as trustee and when they received the check they forwarded it to the parties who were pulling the strings even if they too were neither servicers nor owners of the debt.

Even if the trust did exist and there really was a trust officer and there really was a bank account in the name of the trust, BONY failed to treat it as a trust asset.

So either BONY was directly committing breach of fiduciary duty and theft against the alleged trust and the alleged trust beneficiaries OR BONY was complying with the terms of their contract with Chase to rent the BONY name to facilitate the illusion of a trust and to have their name used in foreclosures (as long as they were protected by indemnification by Chase who would pay for any sanctions or judgments against BONY if the case went sideways for them).

That means the foreclosure judgment and sale should be vacated. A nonexistent party cannot receive a remedy, judicially or non-judicially. The assertions made on behalf of the named foreclosing party (the trust represented by BONY “As trustee”) were patently false — unless these entities come up with more fabricated paperwork showing a last minute transfer “from the trust” to Chase, Bayview or both.

The foreclosure is ripe for attack.

Spread the word

Iowa Supreme Court Rules Civil Forfeiture Laws Violate Fifth Amendment, Upholds Pleading The Fifth


May 30, 2018 @ 02:02 PM 23,367
2 Free Issues of Forbes
Iowa Supreme Court Rules Civil Forfeiture Laws Violate Fifth Amendment, Upholds Pleading The Fifth
https://www.forbes.com/sites/instituteforjustice/2018/05/30/iowa-supreme-court-rules-civil-forfeiture-laws-violate-fifth-amendment-upholds-pleading-the-fifth/#3d1978161655

Institute For Justice
We are the national law firm for liberty.
Opinions expressed by Forbes Contributors are their own.
Nick Sibilla Nick Sibilla , Contributor

The Iowa Supreme Court struck a blow on Friday against the state’s civil forfeiture laws, which allow the government to permanently confiscate property without ever filing criminal charges. In a unanimous, 33-page ruling, the court strengthened the constitutional protection against self-incrimination for owners fighting civil forfeiture, revived a motion to suppress evidence, and rejected a tactic commonly used by prosecutors to prevent owners from being awarded thousands of dollars in attorney’s fees.

Iowa has been a surprising hot spot for civil forfeiture, ensnaring motorists, professional poker players, and an entrepreneur who ran a Mexican restaurant for almost four decades. The state even rewards the aggressive pursuit of forfeiture cases: Police and prosecutors can keep up to 100 percent of the proceeds from forfeited property. Little wonder then that forfeiture has become quite profitable for law enforcement. An investigation by the Des Moines Register revealed that Iowa law enforcement agencies had taken over $55 million in cash and more than 4,200 vehicles since 1985.

Spurred by these abuses, last year, Iowa legislators strengthened due process protections for innocent owners, and required a criminal conviction to forfeit property valued at under $5,000. Although Iowa’s conviction threshold is the lowest of the 15 states with a conviction requirement, in 2015, data analysis by the Institute for Justice found that only 14 percent of Iowa’s cash forfeitures topped $5,000. Friday’s ruling should further curtail civil forfeiture.

The case began when Jean Carlos Herrera was driving from New York City to Los Angeles in September 2015. While Herrera was passing through Pottawattamie County, Iowa on Interstate 80, he was pulled over by Sergeant Kevin Killpack for going four miles over the speed limit. During the stop, a drug dog alerted to the car. Without Herrera’s consent, Killpack searched the Expedition, but only found some tools, a cell phone, a hollowed-out ice cream machine, and a Pelican case that “contained drug paraphernalia and remnants of marijuana.” No other drugs were found.

Killpack cited Herrera for speeding but never charged him with a crime. Yet that didn’t stop the sergeant from seizing the car, a 1999 Ford Expedition registered to Herrera’s friend, Fernando Rodriguez, and all the equipment inside.

Less than a week after the Expedition was seized, Rodriguez hired an attorney, who promptly emailed Pottawattamie County that Rodriguez was fighting back as an “innocent owner.” Rodriguez’s attorney also noted that under Iowa law, the government must pay attorney’s fees to property owners who win their civil forfeiture cases. He also noted that “the fees are going to be greater than the vehicle value, so this might be one to let go.”

Soon after, Sergeant Killpack applied for a warrant to search possible hidden compartments within the vehicle, based on the fact that Rodriguez had hired an attorney. According to Killpack, “it does not make financial sense to spend a significant amount of money, in attorney fees, in an attempt to reclaim a vehicle worth $2,132,” which in his mind meant that “there is something much more valuable still inside the vehicle that has not been found by law enforcement in the initial search.”

A district court granted the warrant, though, as the Iowa Supreme Court noted on Friday, Killpack’s warrant application “failed to mention that Rodriguez had argued he was entitled to attorney fees from the State as an innocent owner.” On his second search, Killpack found and seized almost $45,000 in cash hidden inside a false compartment.

In October, prosecutors filed a complaint to forfeit the cash, the car, and the rest of the property taken during the traffic stop, claiming that the property was “drug proceeds” or “used in the transport of drugs.”

The two men (who were now represented by the same lawyer) filed an answer together that stated they had an interest in the seized properties and demanded their return. Herrera also invoked the Fifth Amendment and refused to completely comply with the state’s disclosure requirements.

Under state law, property owners who want to reclaim their seized property must fully disclose “the nature and extent” of their interest in the property, as well as “the date, the identity of the transferor, the circumstances of the claimant’s acquisition.” Refusing to comply can result in the property forfeited to the state. Yet those forced disclosures may reveal information that could incriminate the owner or trigger a perjury trap, which would violate the Fifth Amendment.

Writing for the majority, Justice Thomas Waterman noted that Iowa’s forfeiture laws burden owners with a “difficult choice between asserting [their] privilege against self-incrimination or foregoing [their] claim for return of the contested property.”

As Waterman recounted, Herrera omitting that information was “fatal to his claim:” The district court ruled that Herrera’s reply was not a proper answer and so he was not entitled to a forfeiture hearing.

But on appeal, the Iowa Supreme Court overturned that ruling, and held that “assertion of the Fifth Amendment privilege against self-incrimination excuses compliance” from Iowa’s disclosure requirements for civil forfeiture claims. “The court may not enforce the specific disclosure requirements…over the claimant’s Fifth Amendment objection,” Waterman ruled.

Friday’s ruling also revived Herrera’s motion to suppress evidence, which the district court had dismissed as well. Both the Iowa Supreme Court and U.S. Supreme Court have ruled that the “exclusionary rule,” which prohibits the government from using evidence that was not lawfully obtained, applies to criminal prosecutions and civil forfeiture proceedings.

In this case, Herrera claimed that the stop, search, and seizure of the car violated the Fourth Amendment and should be suppressed accordingly. Justice Waterman ruled that “the district court must first rule on motions to suppress evidence before resolving forfeiture claims,” since that ruling “determines what evidence the state can rely on during the forfeiture proceeding.”

The court’s ruling should strengthen safeguards for property owners facing civil forfeiture. According to Dean Stowers, who represented Herrera and Rodriguez, “this decision will require the state to establish the legality of the seizure” before the state can attempt “to forfeit property or to compel persons to answer questions about their property.”

A representative from the Iowa Attorney General’s Office said they were “still looking at the possible impact of the ruling” and declined to comment further.

“It appears that we followed the forfeiture rules as they existed at the time, and we argued that the claimants did not follow the rules,” said Pottawattamie County Attorney Matt Wilber. ”The District Court and Court of Appeals agreed with our position. The Iowa Supreme Court has now ordered that they are changing the rules, so we’ll all follow the new rules.”

As for Rodriguez, five months after the state filed its forfeiture complaint, prosecutors decided Rodriguez could get back his Ford Expedition. His attorney then filed to recover nearly $9,000 in attorney’s fees and expenses, which, under Iowa law, are owed to prevailing parties. But because the state dropped its forfeiture case just before a court hearing, the district court ruled that Rodriguez didn’t actually prevail because he didn’t technically win on the merits in court.

Justice Waterman rejected this argument wholesale:

“Rodriguez sought to prevent the State from taking permanent possession of his vehicle. He fulfilled his primary objective of getting his vehicle back after months of contested litigation against the State. On this record, we hold that Rodriguez is a prevailing party even though the district court did not expressly find that he was an ‘innocent owner.’”

Moreover, Waterman noted that fee awards “help level the playing field for persons contesting government seizures,” as they “incentivize attorneys to represent citizens seeking return of their property from the government.”

The Iowa Supreme Court’s ruling contrasts starkly with the U.S. Eighth Circuit Court of Appeals, which covers Iowa. In 2016, the Eighth Circuit considered the case of Carole Hinders, who ran Mrs. Lady’s, a cash-only Mexican restaurant in Arnolds Park, Iowa. Based simply on the way she deposited her cash, in spring 2013, the IRS raided Carole’s entire business checking account—almost $33,000. The IRS accused Carole of “structuring” her deposits, or deliberately keeping her deposits under $10,000 to circumvent a reporting requirement. She was never indicted.

Institute for Justice

Carole Hinders.

With help from the Institute for Justice, Carole fought back. In October 2014, The New York Times ran a front-page story on her case. That prompted the IRS to announce it would “no longer pursue the seizure and forfeiture of funds associated solely with ‘legal source’ structuring cases.” Less than two months after the Times article was published, federal prosecutors dropped the case against Carole’s cash.

Under the federal Civil Asset Forfeiture Reform Act, property owners who “substantially prevail” in their civil forfeiture cases are entitled to interest as well as attorney’s fees and costs. Considering that she recovered her cash and even sparked a policy shift at the IRS, Carole believed she had “substantially prevailed.” Unfortunately, in 2016, the Eighth Circuit ruled that she did not, and instead held that “a voluntary change on the part of a defendant, even if it resulted in the outcome sought by the plaintiff, ‘lack[ed] the necessary judicial imprimatur’ to authorize a fee award.” With this ruling, the Eighth Circuit upheld a loophole for the government to skip out on paying hefty attorney’s fees to innocent property owners.

But with the Iowa Supreme Court’s decision, owners fighting forfeiture in state court now have an easier time to be made whole than if their exact same case were in federal court. One Des Moines-based forfeiture attorney told the Des Moines Register that the new decision should deter the government from seizing property, since prosecutors “risk not only the return of the property but a significant attorney fee as well.”

“The Iowa Supreme Court’s ruling is another potent reminder that the best way to prevent abusive seizures is to end civil forfeiture once and for all,” said Institute for Justice Senior Legislative Counsel Lee McGrath. “Iowa legislators should follow the lead of counterparts in North Carolina, New Mexico and Nebraska and replace it with criminal forfeiture.”

This post has been updated to include comment from the Pottawattamie County Attorney.

FORECLOSURE HELL


I had been doing so much better about keeping up with my blogs, until about this last week. I had not gotten back to posting as much as I had in the past, but was doing much better.

I have to admit though, every month, beginning the week before foreclosure hell (the day they auction the homes foreclosed upon), have been particularly hellish.

I guess for a while, no one I know was being foreclosed upon. But beginning last month, my friends began being sold at auction again. It had been a whole year until just these last couple of months. Then all of the sudden, properties that the banks had lost interest in, out of the blue, and with little or no warning, were sold at auction.

We all managed to stop two of the sales, those two were cancelled, but last month, one was lost to foreclosure, and it took a lot of work to get cancelled, the two that were cancelled.

So, even though there may not be the number of foreclosures every month that there had been for a long time, looks like the banks have managed to get lined up, these companies, that will purchase damn near any house at auction. These companies that want to turn around and rent you your house they just purchased at foreclosure.

I told everyone, back in 2008-2009 when Goldman Sachs’ sorry ass said that “only the rich should own houses, everyone else should be renters”, that this is what could be expected. Yes, it took another 8 years for it to happen to this scale, but it is here, and it won’t be going away, till they get every one of our homes.

I have watched foreclosure sales every month since around 2006, and all the properties that were fought for, and the banks, just kind of fizzled away without a lot of fuss, homes that they realized would be close to impossible to get the foreclosed upon owner to leave, now that they can work it out to where these rent home companies, are the ones that has to get rid of the previous owners of the properties.

The banks see this as minor housekeeping, which they don’t mind at all.

The Pentagon Can’t Account for $21 Trillion (That’s Not a Typo)



Then-Secretary of Defense Robert Gates during a 2008 visit to Kosovo with U.S. Army troops on foot patrol in the town of Gnjilane. (The U.S. Army / CC BY 2.0)

The Pentagon Can’t Account for $21 Trillion (That’s Not a Typo)
By Editor May 23, 2018
The Pentagon Can’t Account for $21 Trillion (That’s Not a Typo)
Then-Secretary of Defense Robert Gates during a 2008 visit to Kosovo with U.S. Army troops on foot patrol in the town of Gnjilane. (The U.S. Army / CC BY 2.0)
http://www.theeventchronicle.com/news/north-america/the-pentagon-cant-account-for-21-trillion-thats-not-a-typo-2/
By Lee Camp

Twenty-one trillion dollars.

The Pentagon’s own numbers show that it can’t account for $21 trillion. Yes, I mean trillion with a “T.” And this could change everything.

But I’ll get back to that in a moment.

There are certain things the human mind is not meant to do. Our complex brains cannot view the world in infrared, cannot spell words backward during orgasm and cannot really grasp numbers over a few thousand. A few thousand, we can feel and conceptualize. We’ve all been in stadiums with several thousand people. We have an idea of what that looks like (and how sticky the floor gets).

But when we get into the millions, we lose it. It becomes a fog of nonsense. Visualizing it feels like trying to hug a memory. We may know what $1 million can buy (and we may want that thing), but you probably don’t know how tall a stack of a million $1 bills is. You probably don’t know how long it takes a minimum-wage employee to make $1 million.

That’s why trying to understand—truly understand—that the Pentagon spent 21 trillion unaccounted-for dollars between 1998 and 2015 washes over us like your mother telling you that your third cousin you met twice is getting divorced. It seems vaguely upsetting, but you forget about it 15 seconds later because … what else is there to do?

Twenty-one trillion.

But let’s get back to the beginning. A couple of years ago, Mark Skidmore, an economics professor, heard Catherine Austin Fitts, former assistant secretary in the Department of Housing and Urban Development, say that the Department of Defense Office of Inspector General had found $6.5 trillion worth of unaccounted-for spending in 2015. Skidmore, being an economics professor, thought something like, “She means $6.5 billion. Not trillion. Because trillion would mean the Pentagon couldn’t account for more money than the gross domestic product of the whole United Kingdom. But still, $6.5 billion of unaccounted-for money is a crazy amount.”

So he went and looked at the inspector general’s report, and he found something interesting: It was trillion! It was fucking $6.5 trillion in 2015 of unaccounted-for spending! And I’m sorry for the cursing, but the word “trillion” is legally obligated to be prefaced with “fucking.” It is indeed way more than the U.K.’s GDP.

Skidmore did a little more digging. As Forbes reported in December 2017, “[He] and Catherine Austin Fitts … conducted a search of government websites and found similar reports dating back to 1998. While the documents are incomplete, original government sources indicate $21 trillion in unsupported adjustments have been reported for the Department of Defense and the Department of Housing and Urban Development for the years 1998-2015.”

Let’s stop and take a second to conceive how much $21 trillion is (which you can’t because our brains short-circuit, but we’ll try anyway).

1. The amount of money supposedly in the stock market is $30 trillion.

2. The GDP of the United States is $18.6 trillion.

3. Picture a stack of money. Now imagine that that stack of dollars is all $1,000 bills. Each bill says “$1,000” on it. How high do you imagine that stack of dollars would be if it were $1 trillion. It would be 63 miles high.

4. Imagine you make $40,000 a year. How long would it take you to make $1 trillion? Well, don’t sign up for this task, because it would take you 25 million years (which sounds like a long time, but I hear that the last 10 million really fly by because you already know your way around the office, where the coffee machine is, etc.).

The human brain is not meant to think about a trillion dollars.

And it’s definitely not meant to think about the $21 trillion our Department of Defense can’t account for. These numbers sound bananas. They sound like something Alex Jones found tattooed on his backside by extraterrestrials.

But the 21 trillion number comes from the Department of Defense Office of Inspector General—the OIG. Although, as Forbes pointed out, “after Mark Skidmore began inquiring about OIG-reported unsubstantiated adjustments, the OIG’s webpage, which documented, albeit in a highly incomplete manner, these unsupported “accounting adjustments,” was mysteriously taken down.”

Luckily, people had already grabbed copies of the report, which—for now—you can view here.

Here’s something else important from that Forbes article—which is one of the only mainstream media articles you can find on the largest theft in American history:

Given that the entire Army budget in fiscal year 2015 was $120 billion, unsupported adjustments were 54 times the level of spending authorized by Congress.

That’s right. The expenses with no explanation were 54 times the actual budget allotted by Congress. Well, it’s good to see Congress is doing 1/54th of its job of overseeing military spending (that’s actually more than I thought Congress was doing). This would seem to mean that 98 percent of every dollar spent by the Army in 2015 was unconstitutional.

So, pray tell, what did the OIG say caused all this unaccounted-for spending that makes Jeff Bezos’ net worth look like that of a guy jingling a tin can on the street corner?

“[The July 2016 inspector general] report indicates that unsupported adjustments are the result of the Defense Department’s ‘failure to correct system deficiencies.’ ”

They blame trillions of dollars of mysterious spending on a “failure to correct system deficiencies”? That’s like me saying I had sex with 100,000 wild hairless aardvarks because I wasn’t looking where I was walking.

Twenty-one trillion.

Say it slowly to yourself.

At the end of the day, there are no justifiable explanations for this amount of unaccounted-for, unconstitutional spending. Right now, the Pentagon is being audited for the first time ever, and it’s taking 2,400 auditors to do it. I’m not holding my breath that they’ll actually be allowed to get to the bottom of this.

But if the American people truly understood this number, it would change both the country and the world. It means that the dollar is sprinting down a path toward worthless. If the Pentagon is hiding spending that dwarfs the amount of tax dollars coming in to the federal government, then it’s clear the government is printing however much it wants and thinking there are no consequences. Once these trillions are considered, our fiat currency has even less meaning than it already does, and it’s only a matter of time before inflation runs wild.

It also means that any time our government says it “doesn’t have money” for a project, it’s laughable. It can clearly “create” as much as it wants for bombing and death. This would explain how Donald Trump’s military can drop well over 100 bombs a day that cost well north of $1 million each.

So why can’t our government also “create” endless money for health care, education, the homeless, veterans benefits and the elderly, to make all parking free and to pay the Rolling Stones to play stoop-front shows in my neighborhood? (I’m sure the Rolling Stones are expensive, but surely a trillion dollars could cover a couple of songs.)

Obviously, our government could do those things, but it chooses not to. Earlier this month, Louisiana sent eviction notices to 30,000 elderly people on Medicaid to kick them out of their nursing homes. Yes, a country that can vomit trillions of dollars down a black hole marked “Military” can’t find the money to take care of our poor elderly. It’s a repulsive joke.

Twenty-one trillion.

Former Secretary of Defense Robert Gates spoke about how no one knows where the money is flying in the Pentagon. In a barely reported speech in 2011, he said, “My staff and I learned that it was nearly impossible to get accurate information and answers to questions such as, ‘How much money did you spend?’ and ‘How many people do you have?’ ”

They can’t even find out how many people work for a specific department?

Note for anyone looking for a job: Just show up at the Pentagon and tell them you work there. It doesn’t seem like they’d have much luck proving you don’t.

For more on this story, check out David DeGraw’s excellent reporting at ChangeMaker.media, because the mainstream corporate media are mouthpieces for the weapons industry. They are friends with benefits of the military-industrial complex. I have seen basically nothing from the mainstream corporate media concerning this mysterious $21 trillion. I missed the time when CNN’s Wolf Blitzer said that the money we dump into war and death—either the accounted-for money or the secretive trillions—could end world hunger and poverty many times over. There’s no reason anybody needs to be starving or hungry or unsheltered on this planet, but our government seems hellbent on proving that it stands for nothing but profiting off death and misery. And our media desperately want to show they stand for nothing but propping up our morally bankrupt empire.

When the media aren’t actively promoting war, they’re filling the airwaves with shit, so the entire country can’t even hear itself think. Our whole mindscape is filled to the brim with nonsense and vacant celebrity idiocy. Then, while no one is looking, the largest theft humankind has ever seen is going on behind our backs—covered up under the guise of “national security.”

Twenty-one trillion.

Don’t forget.

If you think this column is important, please share it. And check out Lee Camp’s weekly TV show, “Redacted Tonight.” Camp also is taping a new live stand-up special in Los Angeles on May 18 and 19. He’ll be doing over an hour of his new comedy, and special guest Jimmy Dore will be on the show. You can purchase tickets here.

Truthdig has launched a reader-funded project—its first ever—to document the Poor People’s Campaign. Please help us by making a donation.

When I read this article, I kept hearing that song “Take It To The Limit One More Time”! They’ve changed the words “Sub-Prime” to “Non-Prime” and we re going to take it to the limit one more time…


Subprime mortgages make a comeback—with a new name and soaring demand
The subprime mortgage industry vanished after the Great Recession but is now being reinvented as the nonprime market.
Carrington Mortgage is now offering mortgages to borrowers with “less-than-perfect credit.”
Demand from both borrowers and investors is exceeding expectations.
Diana Olick | @DianaOlick
Published 10:45 AM ET Thu, 12 April 2018 Updated 1:54 PM ET Thu, 12 April 2018
CNBC.com
https://www.cnbc.com/2018/04/12/sub-prime-mortgages-morph-into-non-prime-loans-and-demand-soars.html
Subprime stages comeback as ‘non-prime’ loans Subprime stages comeback as ‘non-prime’ loans
1:41 PM ET Thu, 12 April 2018 | 01:28

They were blamed for the biggest financial disaster in a century. Subprime mortgages – home loans to borrowers with sketchy credit who put little to no skin in the game. Following the epic housing crash, they disappeared, due to strong, new regulation, and zero demand from investors who were badly burned. Barely a decade later, they’re coming back with a new name — nonprime — and, so far, some new standards.

California-based Carrington Mortgage Services, a midsized lender, just announced an expansion into the space, offering loans to borrowers, “with less-than-perfect credit.” Carrington will originate and service the loans, but it will also securitize them for sale to investors.

“We believe there is actually a market today in the secondary market for people who want to buy nonprime loans that have been properly underwritten,” said Rick Sharga, executive vice president of Carrington Mortgage Holdings. “We’re not going back to the bad old days of ninja lending, when people with no jobs, no income, and no assets were getting loans.”

A home improvement contractor works on a house in Cambridge, Massachusetts. Here’s how much homeowners could cash out in home equity
2:32 PM ET Mon, 2 April 2018 | 01:14
All loans will not be the same


Sharga said Carrington will manually underwrite each loan, assessing the individual risks. But it will allow its borrowers to have FICO credit scores as low as 500. The current average for agency-backed mortgages is in the mid-700s. Borrowers can take out loans of up to $1.5 million on single-family homes, townhomes and condominiums. They can also do cash-out refinances, where borrowers tap extra equity in their homes, up to $500,000. Recent credit events, like a foreclosure, bankruptcy or a history of late payments are acceptable.

All loans, however, will not be the same for all borrowers. If a borrower is higher risk, a higher down payment will be required, and the interest rate will likely be higher.

“What we’re talking about is underwriting that goes back to common sense sort of practices. If you have risk, you offset risk somewhere else,” added Sharga, while touting, “We probably are going to have the widest range of products for people with challenging credit in the marketplace.”

Carrington is not alone in the space. Angel Oak began offering and securitizing nonprime mortgages two years ago and has done six nonprime securitizations so far. It recently finalized its biggest securitization yet — $329 million, comprising 905 mortgages with an average amount of about $363,000. Just more than 80 percent of the loans are nonprime.

A ‘who’s who of Wall Street’
Investors in Angel Oak’s nonprime securitizations are, “a who’s who of Wall Street,” according to company representatives, citing hedge funds and insurance companies. Angel Oak’s securitizations now total $1.3 billion in mortgage debt.

Angel Oak, along with Caliber Home Loans, have been the main players in the space, securitizing relatively few loans. That is clearly about to change in a big way, as demand is rising.

“We believe that more competition is positive for the marketplace because there is strong enough demand for the product to support multiple originators,” said Lauren Hedvat, managing director, capital markets at Angel Oak. “Additionally, the more competitors there are, the wider the footprint becomes, which should open the door for more potential borrowers.”

Big banks are also getting in the game, both investing in the securities and funding the lenders, according to Sharga.

“It’s large financial institutions. A lot of people with private capital sitting on the sidelines, who are very interested in this market and believe that as long as the risks are managed well, and companies like ours are particularly good at managing credit risk, that it’s a good investment opportunity,” he said.

As the economy improves, and rents continue to rise, more Americans are trying to become homeowners, but the scars of the Great Recession still stand in the way. One-fifth of consumers today still have very low credit scores, often disqualifying them from obtaining a mortgage in today’s tight lending market.

Relaxed lending standards
Last summer, Fannie Mae announced it would relax its lending standards for prime loans, allowing borrowers with higher debt and lower credit scores to obtain loans without additional risk overlays, such as large down payments and a year’s worth of cash reserves.

Fannie Mae raised its debt-to-income (DTI) limit from 45 percent to 50 percent. DTI is the amount of total debt a borrower can have compared to his or her income. As a result, demand from buyers with higher debt exceeded all expectations. The share of high DTI loans jumped from 6 percent in January 2017 to nearly 20 percent by the end of February 2018, according to a study by the Urban Institute.

“From January to July 2017, Fannie purchased 80,467 loans with DTI ratios between 45 and 50 percent. But from August 2017 to February 2018, Fannie purchased 181,911 loans in the same DTI bucket. This increase of more than 100,000 loans in just seven months exceeded our estimate (85,000 additional Fannie loans annually) and Fannie’s expectations.” – Urban Institute

The mortgage industry expectation was that Fannie Mae would mitigate the additional risk with other factors, like a higher necessary credit score, but that was not added. The mortgage insurers balked, since they would be on the hook for the risk, so last month Fannie Mae “recalibrated” its risk assessment criteria again.

“We got a bigger response than we thought we were going to, so we dialed back to make sure we were in the right spot where our governance kicks in to make sure we’re not taking excessive risk,” said Doug Duncan, Fannie Mae’s chief economist.

Millennials carry more debt
The outsized demand from borrowers with more debt as well as demand for nonprime mortgages in the private sector show just how many borrowers today would like to become homeowners but are frozen out of the mortgage market.

Millennials, the largest homebuying cohort today, have much higher levels of student debt than previous generations. Members of older generations who went through foreclosures during the housing crisis or other hits to their credit are still struggling with lower FICO scores.

In addition, credit tightened up dramatically. In fact, between 2009 and 2015, tighter credit accounted for just more than 6 million “missing” loans, according to research by Laurie Goodman at the Urban Institute. These are mortgages that would have been granted under more normal historical underwriting standards.

The rebirth of the nonprime market is focused on these missing mortgages. The hope is that the industry will also focus on better standards of underwriting and not take risk to the levels it once did, levels that resulted in disaster.