STATE BAR TAKES ACTION TO AID HOMEOWNERS IN FORECLOSURE CRISIS

STATE BAR TAKES ACTION TO AID HOMEOWNERS IN FORECLOSURE CRISIS

MEDIA CONTACT:  Diane Curtis   415-538-2028   diane.curtis@calbar.ca.gov

San Francisco, September 18, 2009 — The State Bar of California, alarmed by the number of lawyers preying on vulnerable homeowners, today identified 16 attorneys who are under investigation for misconduct related to loan modification.

“In my 21 years in attorney discipline, I have not seen a crisis of this magnitude. It is truly unprecedented,” said Interim Chief Trial Counsel Russell Weiner, who is waiving investigation confidentiality in favor of public protection. The waiver, allowed by law, is used only occasionally, but Weiner said the seriousness of the problem demanded a strong reaction by the bar in order to protect consumers. This is the first time the names of more than a few lawyers being investigated have been made public.

“The number of attorneys using their law licenses to essentially take money from unwary but trusting consumers is astounding,” Weiner added. “There are literally thousands of victims who have lost money they could not afford to lose. Under the circumstances, the need for public information and protection is paramount.”   

Those attorneys being named by the State Bar have allegedly taken fees for promised services and then failed to perform those services, communicate with their clients or return the unearned fees, Weiner said. Some attorneys misrepresented the services they could provide. “It appears these attorneys may have significantly harmed their clients who were already facing great financial pressure and the possible loss of their homes.”

About one-quarter  – almost 800 cases –  of the active investigations in the Office of Chief Trial Counsel (OTC) are related to foreclosure complaints. The office has experienced a 58 percent increase in active investigations over 2008 due in large part to the huge increase in complaints against attorneys offering loan modification services. “Our office is aggressively investigating these cases and is working proactively with law enforcement,” said Weiner.

In March of 2009, the State Bar created a special team of investigators and lawyers to handle the growing number of complaints received about attorneys offering loan modification services. OTC found that many of the offending attorneys are associated with firms that use telemarketers or phone banks to sign up clients without regard to the facts of the individual case or whether or not the client can be helped, Weiner said.
In many cases, the attorneys work with untrained non-attorney staff engaging in the unlawful practice of law by offering legal advice to prospective clients. OTC also is investigating the non-attorney staff for possible referral to law enforcement.

In recent months, OTC has obtained the resignation of three attorneys who were offering loan modification services. Those attorneys chose to give up their licenses to practice law rather than face disciplinary charges and possible disbarment. In addition, OTC lawyers are preparing to put some attorneys on inactive status pending the filing of formal disciplinary charges

Weiner warned consumers to take special caution when seeking legal representation related to loan modification. “Consumers should not be comforted by advertisements that claim the attorney is a member of the State Bar of California,” he said, noting that all attorneys practicing in California on a regular basis are members. “Such membership does not mean the attorney has any special knowledge, experience or expertise in the area of loan modification. In fact, it appears that many of the attorneys offering these services have little or no prior experience in the area of loan modification.” 

The following attorneys have received a significant number of complaints related to the loan modification services they were hired to perform. They are entitled to a full and fair hearing on any charges that may be filed in the future. No discipline may be imposed unless and until the State Bar proves allegations of misconduct by clear and convincing evidence.

         ▪  David Arase, Bar No. 233705, Arase Law Firm and National Housing Assistance

         ▪  Stephen Burns, Bar No. 113371, Legal Group Network

         ▪  Robert Buscho, Bar No. 122556, United Law Group

         ▪  Nicholas Chavarela, Bar No. 251632, Rodis Law Group and America’s Law Group

         ▪  Steven Feldman, Bar No. 103676, Feldman Law Center

         ▪  Eric Johnson, Bar No. 224065, Avantgarde Group

         ▪  Paul Lucas, Bar No. 163076, Lucas Law Center

         ▪  Brandon Moreno, Bar No. 233750, U. S. Foreclosure

         ▪  Jeffrey Nemerofsky, Bar No. 213014, U.S. Advocacy Law Group and U.S. Financial Products

         ▪  Gregory Paiva, Bar No. 207218, Law Offices of Gregory Paiva

         ▪  Adrian Pomery, Bar No. 249664, U.S. Foreclosure

         ▪  Ronald Rodis, Bar No. 181873, Rodis Law Group and America’s Law Group

         ▪  Mark Shoemaker, Bar No. 134828, Advocates for Fair Lending

         ▪  Marc Tow, Bar No. 78429, Marc Tow and Associates

         ▪  Michael Yellin, Bar No. 255050, A Fresh Start Loan Modification

         ▪  Sean Rutledge, Bar No. 255938, United Law Group

The State Bar suggests that consumers be wary of attorneys offering loan modification services under any of the following circumstances:

• Advertisements of the office do not expressly identify by name the attorney who is responsible for the business.
• Office staff will not readily identify by name the attorney responsible for oversight of the business.
• The attorney in charge of the office is too busy or not willing to meet personally with prospective clients.
• The firm advises a consumer to stop paying the existing mortgage.
• The business, through its advertisements or claims of its representatives, makes  claims that sound too good to be true, such as claims of a 90 or 100 percent rate of success in obtaining loan modifications, or claims that a reduction in the mortgage principal is likely to be achieved. 
• The business demands payment of a large fee, even before obtaining a prospective client’s basic income and expense information, and information about the existing mortgage and present home value.
• The attorney responsible for the business is not licensed to practice law in the state where the consumer resides.

There are legitimate loan modification services and ethical attorneys that are providing the promised services for their clients. Two places to start in the search for loan modification assistance are: HUD Housing Counselors, 800-569-4287, http://www.hud.gov/counseling; and HOPE NOW, 888-995-HOPE, http://www.hopenow.com. 

Consumers can also find qualified attorneys through a State Bar-certified lawyer referral service that can be found on the State Bar’s Web site (www.calbar.ca.gov), or by calling the State Bar’s Lawyer Referral Services Directory at 1-866-442-2529 (toll free in California) or 415-538-2250 (from outside California).

Consumers having a problem with the attorney handling their loan modification may contact the State Bar at 1-800-843-9053 or visit the State Bar’s Web site at www.calbar.ca.gov to find a complaint form.

Founded in 1927 by the state legislature, the State Bar of California is an administrative arm of the California Supreme Court, serving the public and seeking to improve the justice system for more than 80 years. All lawyers practicing law in California must be members of the State Bar. In September 2009, membership reached 223,000.

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13 Homes Sold this Week in Big Bear, 9/26/2009

Click here to see the details on these 13 homes.

9 of these homes were traditional sellers “69%”, with a price differential of  77.24% of list price and 107 days on the market

4 of these homes were bank owned “31%”, with a price differential of 100% of list price and 18 days on the market 

Overpriced homes (over 90% of the listings) will sit with no activity until they lower the price to meet the market.  

With 812 active listings on the market currently, the inventory has fallen about 8% in the past 30 days.

I can show you any home for sale in Big Bear.

Search the Big Bear MLS (Multiple Listing Service)

Search the Southern California MLS  (Multiple Listing Service)

Steve Hirschler

Associate, The Tim Wood Group

Coldwell Banker Mountain Gallery

42153 Big Bear Blvd.

P.O. BOX 6820

Big Bear Lake, CA 92315

stevehirschler@gmail.com

909 866-3481 EXT. 217 CELL 909 725-5889

Fax 909 866-3531

http://www.stevesellsbigbear.com

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43360 Ridge Crest in the Moonridge Area of Big Bear Lake

THIS IS A TURN KEY HOME OR VACATION RENTAL IN THE UPPER MOONRIDGE AREA. EVERYTHING YOU NEED IS INCLUDED. ALL FURNITURE, DECOR, SMALL AND LARGE APPLIANCES, TV’S, VIDEO’S AND MUSIC, FOOSBALL TABLE, JACUZZI, LINENS AND DISHES. GREAT LOCATION WALK TO BEAR MOUNTAIN, GOLF , ZOO, AND THE NATIONAL FOREST. BEAUTIFUL DECK AND FENCED BACK YARD FOR PETS. LIVING ROOM AND FAMILY ROOM / DEN.

4 New Bank Owned Homes in Big Bear 9/19/2009

Listing Courtesy of Keller Williams / David Cartwright

Listing Courtesy Century 21 Bonnie Blue

Listing Courtesy of Premier Propeties Sotheby's Tom Benson

Listing Courtesy of Premier Properties Sotheby's Int. Tom Benson

 

As of this morning, we have 40 bank owned  homes (REO’s) on the market, that’s only 4.84% of the 826 active listings. Please call or email if you want to purchase a bank owned home in Big Bear,

I will get you the best deal.

I can show you any home for sale in Big Bear.

Search the Big Bear MLS (Multiple Listing Service)

Search the Southern California MLS  (Multiple Listing Service)

Steve Hirschler

Associate, The Tim Wood Group

Coldwell Banker Mountain Gallery

42153 Big Bear Blvd.

P.O. BOX 6820

Big Bear Lake, CA 92315

stevehirschler@gmail.com

909 866-3481 EXT. 217 CELL 909 725-5889

Fax 909 866-3531

http://www.stevesellsbigbear.com

Follow me on Twitter

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Select Your Big Bear Real Estate Agent Carefully.

Selecting your Real Estate agent is important.

Many times buyers and sellers in Big Bear make the mistake of selecting an out of the area agent that is not geographically competent in the Big Bear area. These agents often don’t know how to find Big Bear, so finding you a home may be very challenging. They may not know the differences between the neighborhoods of Sugarloaf and Fawnskin. This results in poor representation and dissatisfaction for you, the client.

Agents from out of the area can’t possibly be up to date on the local market conditions and inventory. I spend 6 -7 days a week studying the Big Bear inventory and I feel like if I miss a day, my inventory knowledge will be less than my clients deserve.

Twice in the past 30 days I have had agents that were friends or family of a buyer say they are going to represent their family member or friend in the transaction. This is fine with me, as long as I am not going to be doing their work.  Having your son-in-law that works Real Estate in Orange County call the listing agent in Big Bear and asking him or her to open the listing and show it to you, because he’s too lazy to drive up to Big Bear, open the house and investigate the property (represent you) doesn’t equate to good service.

Is this out of area (and touch) agent now going to advise you on what to offer for the property you want to buy? They haven’t even joined the local multiple listing service so that they can be knowledgeable of recent sales and listing activity. Most of these out of area agents have never sold or owned a mountain home. You will also soon learn that they won’t be present for your home inspection, contractors bids or walk through either because it is to inconvenient to make the trip. They are only thinking about one person, and it’s not you. They won’t know who the local home inspectors are and may send an out of the area inspector to do the inspection. These out of area inspectors may not even know what a stop and waste valve is or how to test one.

An out of area agent won’t be able to tell you about the neighborhood, or the depth of the lake in the different areas. They won’t know the procedure for winterizing your home, or the location of the stop and waste valve. They won’t know the utility companies for the home or where the offices are located for these services. They really won’t know as much as you do, since they often don’t even visit the house before writing the offer.                                                                                                             

It’s kind of like shopping for a computer at Wal-Mart.You might get lucky and find the right computer with the features you need, but chances are you’ll wish you had a salesperson that knew about the inventory. If you’re looking for someone who doesn’t know the Big Bear Real Estate inventory, hire that out of area agent.

I can show you any home for sale in Big Bear, but I won’t work in any other areas!

Search the Big Bear MLS (Multiple Listing Service)

Search the Southern California MLS  (Multiple Listing Service)

Steve Hirschler

Associate, The Tim Wood Group

Coldwell Banker Mountain Gallery

42153 Big Bear Blvd.

P.O. BOX 6820

Big Bear Lake, CA 92315

stevehirschler@gmail.com

909 866-3481 EXT. 217 CELL 909 725-5889

Fax 909 866-3531

http://www.stevesellsbigbear.com

Follow me on Twitter

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New Listing, Big Bear Cabin in the Mountains!

THIS SINGLE LEVEL SIERRA STYLE HOME SITS ON A CORNER LOT, FENCED YARD WITH RV PARKING AND ROOM FOR THE TOYS, LARGE LIVING ROOM WITH WOOD BURNING FIREPLACE, HUGE MASTER BEDROOM, BONUS ROOM / OFFICE, LOTS OF STORAGE, BRAND NEW 30 YEAR COMP. ROOF, NOT A BANK OWNED AND NOT A SHORT SALE, SELLER MOTIVATED.

Listed at $219,900

I can show you any home for sale in Big Bear.

Search the Big Bear MLS (Multiple Listing Service)

Search the Southern California MLS  (Multiple Listing Service)

Steve Hirschler

Associate, The Tim Wood Group

Coldwell Banker Mountain Gallery

42153 Big Bear Blvd.

P.O. BOX 6820

Big Bear Lake, CA 92315

stevehirschler@gmail.com

909 866-3481 EXT. 217 CELL 909 725-5889

Fax 909 866-3531

http://www.stevesellsbigbear.com

Follow me on Twitter

Subscribe to “Ask an Expert, Big Bear Real Estate Blog”

 

10 Year Deed Recording Information for the Big Bear Area

BIG BEAR AREA 10 YEAR RESIDENTIAL RESALE RECORDINGS
YEAR	1999	2000	2001	2002	2003	2004	2005	2006	2007	2008	Monthly Totals	Monthly Rank	10 Year Average	2009	2009 % of 10 Year Average
JAN	125	125	158	130	194	163	128	139	77	44	1283	12	128	68	53%
FEB	126	158	128	148	169	173	147	112	80	43	1284	11	128	69	54%
MAR	183	174	168	187	197	219	186	118	99	59	1590	10	159	71	45%
APR	159	169	150	213	227	238	170	131	81	65	1603	9	160	82	51%
MAY	151	193	182	269	200	268	171	132	99	83	1748	7	175	80	46%
JUN	161	198	207	224	199	246	188	148	78	85	1734	8	173	98	57%
JUL	195	180	187	247	228	275	171	108	95	104	1790	4	179	96	54%
AUG	191	256	264	292	246	263	198	159	106	90	2065	1	207	0	0%
SEP	231	248	199	274	281	263	228	121	82	109	2036	2	204	0	0%
OCT	188	270	224	302	227	236	199	123	77	101	1947	3	195	0	0%
NOV	227	217	187	241	231	224	192	115	87	70	1791	5	179	0	0%
DEC	237	194	199	276	216	214	186	111	68	62	1763	6	176	0	0%
TOTALS	2174	2382	2253	2803	2615	2782	2164	1517	1029	915	20634	78	2063	564	27%
YEARLY RANK	6	4	5	1	3	2	7	8	9	10

I can show you any home for sale in Big Bear.

Search the Big Bear MLS (Multiple Listing Service)

Search the Southern California MLS  (Multiple Listing Service)

Steve Hirschler

Associate, The Tim Wood Group

Coldwell Banker Mountain Gallery

42153 Big Bear Blvd.

P.O. BOX 6820

Big Bear Lake, CA 92315

stevehirschler@gmail.com

909 866-3481 EXT. 217 CELL 909 725-5889

Fax 909 866-3531

http://www.stevesellsbigbear.com

Follow me on Twitter

Subscribe to “Ask an Expert, Big Bear Real Estate Blog”