Certified Forensic Loan Auditors, LLC

  Upcoming Classes

Search CFLA's Article Archive:

Attorney Rips Freddie Mac over Leaving Neighbors to Maintain Vacant, Mold-infested Home

mlive.com | August 17, 2014

The issues at 1053 Janet Ave. are nothing new in Ypsilanti Township.

The derelict and once unsecured home's grass is mowed by neighbors and the odor from a severe mold infestation is identifiable from the sidewalk.

And like multiple other homes the Ypsilanti Township Office of Community Standards tackled in recent years, its mortgage is now held by Freddie Mac, which officials say has neglected the property and let it deteriorate to a point that the township considers it a public nuisance and is asking a judge to order it secured and cleaned.

The condition also prompted Township Attorney Doug Winters to rip Freddie Mac in a letter to the company detailing issues at the 1,008-square-foot home and offer his thoughts on the failure to maintain or secure the property since it took over the mortgage in March 2013.

“This is absolutely unbelievable and even more egregious when one considers the United States taxpayers bailed out both Fannie Mae and Freddie Mac to the tune of $187.4 billion! With all due respect, who (if not yourself) is in charge of maintaining this property?” Winters asked in the letter.

But a media representative for Freddie Mac claims the company doesn't own the property despite that a private title search and county and township records show that it does.

Winters noted that the water was left on for four months and a pipe burst, filling the entire basement with water, which led to a severe mold infestation.

After receiving an administrative search warrant to inspect the home on July 24, township building inspectors condemned the property for being unsanitary and unsafe to occupy.

Neighbors have been mowing the lawn and keeping an eye on the home, duties which Winters said the township would take over and bill Freddie Mac.

“This is your property and as such neither the township’s administrative staff nor the neighboring residents should have to take care of a property that is owned by Freddie Mac,” Winters wrote.

“This should be an embarrassment to everyone at Freddie Mac who has any
degree of responsibility and oversight of this property. Likewise the lack of
maintenance of this property constitutes a slap in the face to all taxpayers everywhere who bailed out both Freddie Mac and Fannie Mae,” he continued.

Winters underscored the negative impact the property has on neighbors' health and property values, and wrote that the township planned to sue Freddie Mac in Washtenaw County Circuit Court.

“I wonder how long it would take Freddie Mac’s board of directors to take the appropriate action to remediate this property if someone on Freddie Mac’s board of directors were the unfortunate persons having to live next door and deal with this blighted property?” Winters asked.

Township records show the property has a market value of $66,000. The home sold for $135,000 in January 2005.

Township records also show the property was taken over after by The First Bank of Tennessee in March 2013 and immediately sold to Freddie Mac.

Brad German, a media representative for Freddie Mac, said the mortgage was transferred back to The First Bank of Tennessee in October 2013, despite that all public records and records from a private title search indicate otherwise.

When asked to produce the deed or proof that the title transfer occurred, German said he couldn't.

Winters said even if the home was only in Freddie Mac's control for seven months, it is still a "disgraceful" situation.

"Explain what you did from March until October," Winters said. "You still didn’t do anything from the time you owned it. I don’t know what kind of game they're playing."

He continued throwing a mortgage back and forth "like a hot potato" isn't an excuse for letting a property fall apart.

"If what Freddie Mac says is true, then it's probably even worse. 'Now you have it, now you don’t. Now I have it, I haven’t got it.' How long does that dance continue before someone takes responsibility?" Winters asked.


Back to August 2014 Archive

CFLA was founded by the Nation's Leading Foreclosure Defense Attorneys back in 2007 to serve the Foreclosure Defense Industry and fight pervasive Bank Fraud. Since opening our virtual doors, CFLA has rapidly expanded to become the premier online legal destination for small businesses and consumers. But as the company continues to grow, we're careful to hold true to our original vision. For us, putting the law within reach of millions of people is more than just a novel idea—it's the founding principle, just ask Andrew P. Lehman, J.D.. With convenient locations in Houston and Los Angeles, you can contact Our National Account Specialist and General Manager / Member Damion W. Emholtz at 888-758-2352 for a free Mortgage Fraud Analysis or to obtain samples of work product, including cutting edge Bloomberg Securitization Audits, Litigation Support, Quiet Title Packages, and for more information about our Nationally Accredited and U.S. Department of Education Approved "Mortgage Securitization Analyst Training Certification" Classes (3 days) 24 hours for approved CLE & MCLE Credit (Now Available Online).

SEE BELOW- http://www.certifiedforensicloanauditors.com

Call us toll free at 888-758-2352

Bookmark and Share
Facebook Like us on Facebook
Twitter Follow us on Twitter
YouTube View our YouTube Videos
LinkedIn Connect to us on Linkedin
BBB Logo


Contact us or view our Sample Documents & Audits by completing the form below.

  • Reload
  • Should be Empty:


DVD Sets Only $99


FREE Mortgage Fraud Analysis


Order Cutting-Edge Services Now


Quiet Title Packages from Licensed Attorneys


Affiliate Services


CFLA Sponsored Attorney Links


Take-Home Education Package