“The REMICs have failed! “The REMICs have failed!”

If Paul Revere were alive today he would be riding through the town warning “The REMICs have failed!” However, the government these days would go, “Shhhhhh!”

Most average homeowners have no idea what a REMIC is – actually most attorneys have no clue …. so, you know many of the Judges are completely in the dark.  REMICs are a form of IRS tax shelter sold to investors as part of the mortgage-backed securities package (Real Estate Mortgage Investment Conduit (“REMIC”) pursuant to I.R.C. §§860A-G).

The documents that killed the REMICs may actually help save your home. Continue reading

The Free House Myth – or Reality?

The Free House Myth – or Reality?
July 20, 2011

Katie Porter posted an interesting viewpoint on the Credit Slips blog this week called the The Free House Myth.  A synopsis of the column points to the fact that the banks may
have bad paper now – but they’ll be back.  It almost sounded like Katie had been drinking  Kool-Aid with RCO when she stated in her closing line, “[T]he free house is political handwringing, not legal reality.”

Porter came under fire by no less than (my personal favorite) Adam J. Levitin, Professor of Law at Georgetown University.  Professor Levitin has provided significant testimony before Congress and has dissected the Wall Street securitization scheme that collapsed our economy.  Professor Levitin posted his comments to politely debunk Porter’s ‘no free house’ viewpoint…
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