Craig Haskins' Title Lab

WILL THE COPS ARREST YOUR BANK’S PRESIDENT? SILLY STUFF HAPPENING IN CALIFORNIA.

craig@knightbarry.com (Craig Haskins) — Tue, 5 May 2009 00:00:00 GMT

By: Craig Haskins

Many thoughts without answers are roaming through my Starbucks-filled mind this beautiful Monday morning. An article from last week’s Wall Street Journal made me giggle. Here goes.

In Indio California a new law allows the city’s police to arrest bank employees when their newly acquired foreclosed homes fall into disrepair. This is no joke. The police chief in Indio boasts that “we’re going to come arrest you and take you to court in California” on criminal charges.

Let’s start by setting up some points before tackling this subject. Five years ago real estate was booming, property values were high and loans were simpler to get. In 2006 things began to turn as values tumbled, loan underwriting stiffened, the economy soured and the word ‘foreclosure’ became one of the most googled terms. By 2009, lenders now own of tens of thousands of homes.

So who maintains foreclosed homes? The lenders do. In Wisconsin the foreclosure process is pro-consumer and typically takes ten months before the lender becomes the owner. At that point the property has likely fallen into such bad shape that the lender has to do more than mow the lawn and paint the trim. The lender will likely list the home for sale with a local real estate agent, who will probably employ local companies to assist with the cleanup and repairs. If that doesn’t help, most Wisconsin municipalities have blight ordinances that allow the municipality to perform needed maintenance. Many subdivision homeowners associations can to do the same. Both the city and association can lien the property to ensure payment by the lender or the bidder at the foreclosure auction.

Should leeway be given to lenders while they try to repair and resell the home to your next neighbor? Or should lenders be treated like criminals and arrested like in Indio? I think some leeway should be given to lenders who come into title after foreclosure. These lenders are overwhelmed with changes in the industry, new regulations and a volatile economy. I don’t see how adding this extra layer of responsibility will help things – for lenders and for consumers.

The alternative is that lenders could add additional costs to loans as a set-aside for possible future maintenance obligations. Or worse, lenders could just avoid lending money in certain areas with odd ordinances. Both options would hurt good-paying borrowers. And wouldn’t you want your local police force working on real crimes and not arresting lenders who own homes with long grass and dandelions?

THE MARKET MELTDOWN HURTS MY HEAD.

craig@knightbarry.com (Craig Haskins) — Thu, 2 Oct 2008 00:00:00 GMT

I thought this would be a good time to jump in and offer an intellectual discussion on the topics of… the housing crisis, the mortgage meltdown, the bursting bubble, the market collapse, the government bailouts, the hedge fund managers, Fannie Mae, Freddie Mac, the Federal Reserve, WAMU, Lehman Brothers, AIG, Obama vs. McCain, asset liquidity and Merrill Lynch.

But what the heck does all this stuff mean? I am ready to admit that I’m not smart enough to give an educated opinion on these things. I don’t know why a $700B bailout is a good thing or bad thing. CNN tells me one thing. Fox News tells me something else. I find the best network to watch today is Playhouse Disney with my two year old. It’s all smiles and giggles there.

Here’s another thing I don’t get. I don’t really know what hedge fund guys do. The term “investment banker” sounds super cool, doesn’t it? But what is it? I don’t understand why the stock market is going up big, then crashing down, then going up big, then crashing down – all in one week. And if I hear another person say that their 401(k) is a 201(k), I’m going to puke.

And lastly, I’m tired of the term “from Wall Street to Main Street.” I’m guessing I’ll be hearing more of that in the upcoming debates and the ensuing presidential election. Remember Al Gore and his lock box?

So here is what I do know. If you can’t afford it, don’t buy it. If you don’t have the cash, don’t borrow it. Good things come to those who wait. Be patient. Work your butt off and be honest in everything you do. Who’s with me on that?

PENNSYLVANIA - AMERICA'S FUEL WASTELAND

craig@knightbarry.com (Craig Haskins) — Thu, 26 Jun 2008 00:00:00 GMT

It’s time for a fun blog. Today, June 16, 2008 I flew to Philly. I arrived at 8:30am and headed to downtown. A sketchy cabbie tried to force me to pay cash. I said no. That jerk wanted to keep it under the table. I say heck no. Pay taxes like the rest of us. Anyway, why am I here in Philly? I have to be fingerprinted in order for the Pennsylvania Department of Insurance to run a background check with the FBI. You see, Knight-Barry is in the process of obtaining insurance licenses throughout the country. And the wonderful State of Pennsylvania requires that applicants be fingerprinted within its state lines. So we shelled out good money for me to catch a flight to Philly and a cab ride downtown to spend 90 seconds with a fingerprint guy. (YES, I passed all background checks for you creeps who are wondering) Any way, I think it’s insane that this State (actually they call themselves a Commonwealth) made me waste all of that jet fuel to be fingerprinted. It’s their weak attempt to keep competition out of Pennsylvania – which is just what this title industry needs (sarcasm). So by 11am, I’m ready to head back to Milwaukee. But my return flight is at 8:35pm so I have 9 hours to waste in Philly. This is where the story gets better. I made the most of my trip. Here goes.
	12noon – before heading to Pat’s Cheese Steak joint, a fellow fingerprint victim tells me to head to Jim’s Steaks. Ok, fine. After waiting for 30minutes in line, it was awful.
	1pm – walked two blocks to The Famous 4^th Street Deli where I woofed down two choc chips cookies. Finally, something in Philly that doesn’t stink.
	2pm – took a tour of the Nation’s first Capitol. Very cool. The guard cracked me up. Looks like he’s guarding Fort Knox. 3pm – me and Lady Liberty Bell. They have the bell in this really neat building with a lot of neat artifacts.
	4pm – what’s a trip to Philly without running up the stairs like Rocky Balboa. Here’s me and Rocky. Yo Adrian rings out a zillion times as I stand in the rain with the Rock.
	5pm – got lost in a really neat neighborhood. Beautiful street. Cool homes.
6pm - back to South Street for another cheese steak. This time I’m at Lickity Split which is across the street from Yucky Jim’s Steak (not the official name). Sammy #2 is great. It’s hot. Not too many onions and peppers. Gotta run one block to get another cookie. Then find a cab and back to the airport.
Oh yeah. The story ends when an email arrives informing me that we’re now licensed in Pennsylvania – or as I call it – the most fuel wasting state (err commonwealth) in the good ole US of A.