September 21, 2006

OK, this would be funny if it wasn't so sad: 24yo FB launches "iamfacingforeclosure.com"


Ah, every little kid wants to be Donald Trump. Don't have to work for a living, get rich buying real estate, date expensive models and have expensive divorces. Ah, the American Dream. Just go to those Trump Learning Annex seminars, buy the books, get access to gobs of debt via "liars loans", and you're on your way to riches! Oh, it's just sooooooooooo easy!

Well, like The Donald before him, this 24-year-old FB kid is on the verge of bankruptcy, owing $2.2 Million. My first question is: HOW THE FLYING F*CK DID A 24-YEAR-OLD GET TWO POINT TWO F*CKING MILLION DOLLARS IN DEBT APPROVED. What the hell is going on out there?

But I'll give it to him. Instead of going silently in the night, he created a website and laid all the ugly truth out there for everyone to see. I'm actually rooting for the little guy now. Maybe we all give him $1?

HP'ers - this one post pretty much sums up the insanity of the late, great housing bubble, wouldn't you say? Thanks HP'er for the lead...

I’m really putting myself out there and taking a risk by being honest about my situation. Hopefully people will sense the urgency and help find me a buyer.

I was a little embarrassed putting up this sign. Good thing I was there mid-day and nobody saw me. Although, after I put it up and started leaving I saw a neighbor from across the street go over to pick up a flyer.

Buyers may try to exploit my weakness. They tell you to negotiate from your strength, right? Is being honest = weak? I don’t know. I don’t really want to negotiate anyway. My terms are pretty straight forward. I just want some cash and walk away.

I will need to put on a thick skin. This may cause me to become the talk of the neighborhood. People might laugh, criticize or ridicule. The concerned parents of teenage or 20-something kids will tell their kids “See! This is what happens when you take dumb risks!“. Some may think “Facing Foreclosure .com” is just a ploy to make a sale.

I don’t care… I’m desperate.

108 comments:

devestment said...

Pay the price and learn the lesson.

In my life I have paid over $100,000.00 for my real estate education. It is not forgotten.

Anonymous said...

you can recover from bankruptcy at 24 just get it over with and take as much cash as you can out of the game and hide it!

Anonymous said...

This is why prices went so high huh?
WOW!

tabasco jenkins said...

oh man, oh man, great post.

this kid is gonna need more than thick skin, he's gonna need a medieval coat of chain mail before this is all said and done

keith said...

flippers buying from flippers with easy money - until the music stopped

the music is still playing in many places fyi - here in the UK, dubai, eastern europe. but the US crash likely will stop the tunes everywhere I'd imagine as flippers worldwide realise they can get screwed in a heartbeat

Anonymous said...

I can't help but think that at least one of his homes had an offer from a person or family that had worked hard to save up money and that was honest about thier application - that was promptly rejected in favor of this guy. It's people like him that has made the real estate market hell for the rest of us. Hard to feel sorry for him in that light...

Anonymous said...

Jackass got what was coming to him. he will NEVER get out of debt.

Anonymous said...

he just wants some cash huh? well

HE GETS NO CASH...and can walk away AND go bankrupt and hopefully or not will have learned a lesson!

Anonymous said...

The kid's alright. He'll simply stash away some cash in a luggage, file chapter 7 w/o a job, thus no mandatory chap 13. He'll sack out at a friend's place during the whole legal process and he'll start off with a clean slate at 26 years of age. Not too bad.

tabasco jenkins said...

This is why the US $ is doomed. If banks think so little of dollars that they'll give 2 million of them to this kind of person, why should anybody else see value in them?

Anonymous said...

Anyone read the comments from the posters on his site? "Oh we feel bad for you...praying for you..."

This kid is full of BS and everyone is taking it hook line and sinker- He's got $. If he doesn't and his story is entirely true, then F*ck em'- he lied, cheated and probably had a pretty good time while it lasted.

He deserves to lose everything and then some.

AM Fence Sitter said...

This post pretty much sums up the whole problem.

Maybe the California Attorney General can file suit on the producers of Flip This House

arizonadude said...

That is simply amazing. This tells you how bad this mess has got. Suck it up and get rid of these properites as fast as you can.

Frocco said...

Wow 24 year old KIDS owning 6 houses... how many more like him are out there? I think we are seeing just the tip of the iceburg. By the way..what happened to haveing good credit, a down payment, and reserve cash in the bank before a bank would even consider giving you a load??? HA HA HA I hope the greedy banks take it in the shorts, oh wait a minuate... they won't! Fannie and freddie will and all us taxpayers get to bail out the problem!!

youcrazydog89123 said...

surrounded in las vegas by such people, around 37% homes not occupied by owner---signs everywhere, many people taking homes off market until next spring, fed will lower rates to bail all these people out ( and the bankers) because that is who the fed is!---private bank pumping system full of dollars to every jerkoff kid who will take the risk.

Anonymous said...
This comment has been removed by a blog administrator.
borkafatty said...

Serious 24 shouldn't he still be playing with his Star Wars action figures?

dan said...

Smells like a scam to me. Can anybody actually verify that
this "24 year old" is who he says he is and has done what he says he has done.

Anonymous said...

There are 100,000 other guys out there just like him. maybe a whole lot more.

Anonymous said...

Lying to the bank is a crime. A federal crime which means no parole. This kid has to be absolutely retarded not only for what he did but to broadcast to the world how he defrauded what I assume are several banks. The "everyone is doing it" excuse won't mean crap to the judge who sentences him should the banks decide to prosecute and/or make an example of. Unless I'm missing something his photo portrays him as a cute, almost effete young man which means when he goes to the can he has 2 options. Option A: shave his head, roll with the aryan brotherhood and do some shanking when called upon - if he refuses he gets shanked. Option B: go it alone and accept mucho backdoor action from his cellies. The sad thing is the kid has no sense of contrition, no sense of remorse, no understanding of how his actions have hurt others. So in conclusion screw this kid and let him deal with the consequences.

Anonymous said...

he posted this a month ago

http://www.blogtrafficschool.com/forums/index.php?s=588e9156c387d45a7a00d625053a33e5&showtopic=340

I own both www.AbleBuyer.com and also GetCashOffer.com but am currently using AbleBuyer as my main brand. I just started my website and haven't even put it on a blogging platform yet. So I can still switch branding.

I like AbleBuyer for its brand value. However, GetCashOffer.com speaks to my focus market a little better and has the word "Cash" which catches attention. "Get Cash" is actually one of the main benefits of my service so it fits well. On the other hand, AbleBuyer is more generic which will allow me to expand to selling houses, and other complimentary offerings.


Which one do you think sounds better? Positions me better? Etc?

Give me your gut reaction when you first hear the two names.

Thanks!

Anonymous said...

he posted this a few days ago

http://www.blogarizona.com/blogarizonacom/2006/07/home_staging_on.html#c22423823

Speaking of staging cheaply...

I bought a book on staging but haven't had a chance to use it personally yet. That's because I am facing foreclosure on 6 houses right now so I'm out of cash.

I just sold a fixer-upper home in Utah and the listing agents are staging experts. They offered to do a partial rehab and staging AT THEIR expense. I didn't think it was necessary since its a fixer-upper sold as-is.

Well apparently staging helps attract a wholesale buyer as well. It helps them see the potential without being distracted by eye sores.

After listing with another agent for 90 days and getting no offers I ended up getting an offer as soon as I re-listed after staging!! Amazing!

Since I was facing foreclosure on that house staging really saved the day.

You can read the full story here:
http://iamfacingforeclosure.com/19/utah-property-staged-and-wrapped

Anonymous said...

How about the homeless guy in Tampa who got loans for 4 houses? The banks will be happy to take the profits, but when the losses start mounting, they come crying for a bail-out.

borkafatty said...

You know when one actually sits here and see's shit like this 24 year old, and some of the comments here about flipping and that sort of thing, it makes me sick to my stomach. This Greenspan created bubble and all the corrupt shit that has come of it is sickning. The ones who fed it and the ones who continue to feed it deserve everthing that is coming to them...

Christ with all this mortgage corpuption and housing shit, I might as well get a gun and go hold up my local bank branch..same god dam thing no difference. Fucking amazing..and to think I thought I was living a conservitive lifestyle, working hard everyday, when all along I was missing the gravy Train....sickning just sickning...love thy neighbor has been replaced with hey you go screw yourself.

Anonymous said...

Borkafatty wrote:

"Serious 24 shouldn't he still be playing with his Star Wars action figures?" Yes - with Richard. LOL!

CupOfDirt said...

one word

schmuck

Anonymous said...

He'll learn the hard way. Just about a year since he became involved in real estate business, he amassed 5 houses. That's a lot of guts. Better than Larry Nusbaum, been in business for 25 years and still learning. What he'll learn from the new book he bought will make him like this kid.

Anonymous said...

This is why the US $ is doomed. If banks think so little of dollars that they'll give 2 million of them to this kind of person, why should anybody else see value in them?

Tobasco is DEAD ON here. Uncle Scrooge is taking on failed pension plans, medicare, SS, etc, etc, while running $500 billion dollar deficits year after year. It's only a matter of time till the little boy cries "But he's naked" and all this cash turns to worthless kindling. Don't think the Chinese are catching on???

I will have a cool Monopoly set though with all those worthless dollars.

Mr Vincent said...

Lax lending standards + late night infomercials + stupid people = DOOM!

Anonymous said...

Is this Larry Nerd-baum's son?

Anonymous said...

OFF WITH HIS HEAD!!!!!

TAKE NO PRISONERS!!!!!!

WE ARE ABOUT TO WITNESS FINANCIAL AND EMOTIONAL WRECKAGE ON PAR WITH THE DEPRESSION. STRAP YOUR HATS ON.

Seriously, there is ALWAYS emotional symmetry in the markets. ALWAYS. How many million geniuses were there on the way up? The same number on the way down.

By the time it's over you can count on massive shifts in attitudes towards debt and needless consumption. It was EXACTLY like this in the late 1920s. EXACTLY. However, it was property values that tumbled in '24. Then the Fed reflated and the money went out to 90% LTV loans in the stock market. It's the opposite now: stocks first, now property.

GETSPENDGETSPENDGETSPENDGETSPENDGET...

Geeeeee, I wonder why the ARMY had the best month recruiting in August since 1997???? Could it be that the great Debt Unwind is beginning????? Could it be that the economy is finally starting its nosedive?

Anonymous said...

Mama always said....
Easy come, easy go.

Anonymous said...

The vision dims and all that remains are memories. They take me back - back to the place where the black pump sucked guzzolene from the earth and RE investors flipped properties for huge profits. And I remember the terrible battle we fought - the day we left that place forever. But, most of all, I remember the courage of a stranger, a road warrior called Keith.

To understand who he was, you must go back to the last days of the old world, when, for reasons long forgotten, two mighty warrior nations went to war and touched off a blaze which engulfed them all.
For without fuel they were nothing. They had built a house of straw. People stopped in the streets and listened: for the first time they heard the sound of silence. Their world crumbled.

And only those mobile enough to scavenge, brutal enough to pillage would survive. At last, the vermin had inherited the earth. And in this maelstrom of decay, ordinary men were battered and crushed.

Men like the Warrior Keith, who in the roar of an engine, lost everything and became a shell of a man. A burnt out, desolate man, a dead man, running from the demons of his past. A man who wandered far away. And it was out here in this blighted place that he learned to live again.

Anonymous said...

not that sad. He lied on all of his 100% LTV stated income loans and now he wants some sucker to take a wrap around loan and trust he wont bail! the guys a con man and just cos he's 24 doesn't mean he isn't a lying prick out to steal every cent he can get his hands on.

Anonymous said...

Gee.....the genius 24yo whizkid real estate mogul got in a little too deep did he?

Cry me a river!

Just another Con-man or kid, whinning about his woes and hoping to get bailed out by someone!

How many more financial wizards out there like him?

Anonymous said...

There are thousands just like him in San Diego alone, who are just about to have NOD's filed on them. I know many in banking here and there is a huge increase in non-performing loans.

Anonymous said...

From Above

Needless consumption!

That about sums it up!

Anonymous said...

Where's Tom vu when you need him!

That slimey lil' infomercial prik

sandiegoHICK said...

tabasco is correct about dollar value!

sercasey said...

I'm really taking a beating here! I'm not saying I don't deserve some of it... however some people are going a little too far.

Anonymous said...

KY Jelly anyone?

AM Fence Sitter said...

Sercasey, You are going to have to be tough to weather this thing. You have a good start by admitting your error and being smart enough to start the web-site.

Many wealthy folks failed many times prior to making it. The people on this blog are pissed because they know these bad loan thoughout the US ultamately cost the tax payer in the end.

Don't let this thing beat you! In 10 years it won't mean nothing..

Anonymous said...

Looks like you are about to become someones prison BITCH! Lube up Buddy!

Larry Nusbaum said...

With home prices set to move even lower as inventory is reduced, and monthly payments set to rise as mortgage rate resets kick in, more and more homeowners are in danger of delinquency, suggesting more widespread foreclosures. As you can see in the chart below, housing affordability has been in a free fall.
Delinquencies lag affordability, but note the big subsequent surge in delinquencies after affordability sank in 2000–2001. Affordability is much worse today than it was during the last recession, in 2001, while household debt payments have jumped to nearly 14% of disposable income, an all-time record. With home prices and mortgage rates receding, there is hope for a bottom in affordability. But given the lagged effect, a rise in delinquencies may already be baked in the cake.
Banks may be at risk as well, as they have become steadily more dependent on residential real estate loans. As seen in the chart above, residential real estate loans as a percentage of total bank loans have surged from about 23% in 1999 to about 31% today.

Anonymous said...

Larry stop spamming. No one wants to read your drivel!

SeattleMoose said...

"and to think I thought I was living a conservitive lifestyle, working hard everyday, when all along I was missing the gravy Train"

Same here....I was raised to "keep your nose to the grindstone" and all I ended up with was a flat nose.

In the meantime 20-something punks are buying up all the RE, driving hot cars, and living the good life.

Why even bother to be a "good citizen"....the world puts no value on morals, ethics, etc.....only money.

Anonymous said...

lmfao Larry is on bubbletracking and every bubble blog out there. He is like the stupid kid we all picked on and laughed at. AND that kid still would come back to play. GET LOST. lmao

Anonymous said...

SeattleMoose said...

I agree. Ever seen that movie Blow with Johnny Depp? His dad talked about not having money and all that. Well looked how that turned out. In the end, the fast buck loses. Look at that Multi billion dollar Hedge Fund in Natural Gas that just blew up a few days ago.

foobeca said...

back in the "good ole days" no one would buy to flip and no one would lend money to someone with no income/no assets. This irresponsible behavior has always existed. It's just that the Fed and the banks enabled it to occur. Without the sea of liquidity, non-existant lending standards, and record low interest rates; this would have never happened.

Casey really doesn't have much to worry about. It's the bagholders who own the worthless notes. At this point, Ch. 7 bankruptcy is inevitable and the best solution. His credit will be liquid dog shit for a couple of years, and after 7 years it'll be as good as new.

Alan P. said...

casey, you had your time at bat, you struck out. Unfortunately for you the bubble bloggers have your number now. This is a rough crowd for you. My advice is to start drinking heavily.

Anonymous said...

I think Mort said it all. This is a FUCKING rough crowd. I would run and hide, lock the door, and FEAR THE MAIL MAN. Don't fuck with people like TXChick. She is friggin crazy. Thank god I post anon or I wouldnt say that.

Anonymous said...

This kid should be taken out in the street and horsewhipped. Same goes for Nussbaum.

Anonymous said...

sercasey honey, don't let these b*tchs bring you down. keep your chin up and dry and your *ss against the wall sugar plum, prison isn't all that bad once you get used to it.

Anonymous said...

Enough Casey Bashing. He's a good guy.

dan said...

To anyone that believes the Casey story:

I have five properties in Modesto that I would like to sell you.

Anonymous said...

Enough Casey Bashing. He's a good guy.

He's a good guy who committed a number of Federal felonies.

He did admit to his mistakes. He will likely get repaid with prosecution and immensely harsh judgements.

Unfortunately, many sleazier mortgage brokers who got people into toxic loans, all for a fat commission, will get away with everything. That's the Republican "let the free market decide" way.

Anonymous said...

"and to think I thought I was living a conservitive lifestyle, working hard everyday, when all along I was missing the gravy Train"

Same here....I was raised to "keep your nose to the grindstone" and all I ended up with was a flat nose.


fuck yeah. or no.

38 year old PhD scientist. no job for 6 months. no offers. no replies, no phone calls.

At least I'm not a flipper.

Anonymous said...

It's the bagholders who own the worthless notes. At this point, Ch. 7 bankruptcy is inevitable and the best solution. His credit will be liquid dog shit for a couple of years, and after 7 years it'll be as good as new.

unfortunately, not for Casey.

IRS debts are often not dischargable in a bankruptcy. And often not debts incurred as a result of fraud, especially a Federal felony.

Anonymous said...

sercasey, you'll be doing lots of "flipping" in prison sweetcheeks!

Mr Vincent said...

Casey Serin:

Can you please tell us what or who was your influence to get into real estate? We are doing a scientific study here and need your help.


Larry Nusbaum:

L-O-S-E-R

Anonymous said...

This one's easy...

-head down to the liquor store & pick up a bottle of Wild Turkey

-after you're sufficiently shit faced, call up a couple hookers

-pop a handful of Tylenol in the morning

-call bancruptcy attorney and have your first breath of relief

-tell everybody, and I mean everybody, to F O

Anonymous said...

Another thing I'm tired of is people whining about how they "didn't know" that their monthly payments would go up so much.

Bull. They knew but have such bad spending habits prior to this but got away with being careless by easily available credit.

Too bad suckers. It doesn't pay to feign ignorance.

Anonymous said...

anyone else get the impression we're about to see the collapse of the US banking system?

concerned said...

Sercasey,

The problem here is that you want to break even....that ain't gonna happen buddy.

Your gonna pay, like all the the people in your situation.

To be honest I have no pity for you, as it was people like you that have stopped me purchasing the house that I wanted thse passed 6 years.

I ended up purchasing a POS so that friends and family could get off my back (stupid me), because it was the only thing I could afford at the time. If it was 1999, with the same cash I would of bought the house that I wanted.

However guy's like you moved in and wrecked it for those who wanted a house to live in.

Don't get me wrong I am also a real-estate investor....our family has been investing in real-estate for years, however we take notice of things such as ....ROI....you know return on investment ? Did anybody tell you that your rental income should be at least 8% of what your purchase price is ? That way you pay off the house in 15 years ?

One question...where were your parents and friends during this period ? Didn't anybody warn you about anything ?

concerned said...

to anonymous above.

I have also wondered that myself....imho, a lot of banks are f%$#%$ed.

Anonymous said...

Some are missing the obvious, this guy created mortgage fraud. He could go to jail. He knowingly stated the homes were his primary residence. He knowingly lied he had an income.

It's happened here. He could go to jail. Banks don't like being lied to. More often, the mortgage broker goes to jail. But, this guy states he lied.

Anonymous said...

I noticed Casey mentioned the UT house was "wrapped". As in wrap around mortgage? I hope not, that's illegal too. Most mortgages have a "due on sale" clause which means you pay the bank loan off when you sell it. You can't wrap on 99.99999% of loans.
Another case for trouble for Casey. Dude, you better find a good attorney or have your parents pay this debt off.

Anonymous said...

someone do a little research and report the guy
_________________________

The Federal Bureau of Investigation (FBI)
http://www.fbi.gov/
(202) 324-3000 – National FBI Financial Institution Fraud Unit

The FBI, a branch of the United States Department of Justice, is authorized to investigate and enforce criminal laws of the U.S. The FBI investigates criminal acts involving potential violations of the United States Federal Criminal Code. State authorities investigate criminal acts which are violations of their state’s criminal laws.

In conjunction with the ‘White Collar Crime’ department, the FBI investigates mortgage fraud, which often involves many professionals working in collusion: bank loan officers, realtors, appraisers, accountants, and mortgage brokers. All of these profit through various commissions, fictitious sales and fees – often on loans that aren’t genuine.

To report mortgage fraud with the FBI, contact the Field Division listed under each state.

Anonymous said...

Casey, sit down, relax, eat a pack of mento's, think about your problems, your future, your family.






AND THEN SLAM A DIET COKE!!!!!!!

Metroplexual said...

I find it interesting that casey's favorite book is the bible. If he is truly christian and believes in the the good book why did he lie and commit fraud?

Anonymous said...

"sercasey said...

I'm really taking a beating here! I'm not saying I don't deserve some of it... however some people are going a little too far."

You have got to be F'ing Kidding? 24 years old is many, many years older than "old enough" to be thrown in prison for the kind of fraud you have committed.

You are the type of loser that honestly believes you are entitled to a million dollare lifestyle just because... because what exactly?

Here's a news flash for you you pathetic little POS. Your charming young wife is going to blow you off like a wet paper bag as soon as the collection sharks, lawyers, and Feds start moving in for the kill.

You are going to be locked up. You are going to repay people the hundreds of thousands of dollars you effective stole. You are not going to get a free pass, and Jesus isn't going to come down from on high to save your stupid, stupid ass.

Metroplexual said...

Casey, do you know how many of the 7 sins you are guilty of?

greed
avarice
gluttony
sloth
envy
pride

and then you have the nerve to be surprised at the reaction on this blog which is devoted to explaining the housing bubble and tracking it when you are the cause. Do I sense anger from you?

Could it be wrath? You deserve every bad thing that will happen to you because you are part of the problem.

Anonymous said...

Fellows, when I was 24, about ten years ago, I was working 55-70 hrs per week at my job, trying to learn new things to advance my career. That's how I'd jumped from earning $36K/yr to $80K/yr because I took the time to learn the stuff that made my work more valuable.

Sorry, but that's the definition of becoming a productive adult. When 24 yr olds shun real work in return for being flippers/speculators, etc and then he gets mainstream approval (like the asswipes who sympathized with his boo-hoo, whoa is me tripe) then we have a culture in decline.

Metroplexual said...

Amen.

Alan P. said...

Hey casey, you comment deleting pleb, you're going down, just like yo momma.

Anonymous said...

"You are the type of loser that honestly believes you are entitled to a million dollare lifestyle just because... because what exactly?"

MTV, Cribs, etc.- spoonfed thereby since birth.

Anonymous said...

I'm really taking a beating here! I'm not saying I don't deserve some of it... however some people are going a little too far.

Yeah, I would be one of them. Actually, I expect 24 year olds, with delusions of grandeur, to screw up occasionally. What I have a real problem with is the institution(s) that actually gave you loans.

As for you learning a lesson?? That is up to you and really doesn't concern me. I think it would do society some good is if you are the poster child for this bubble and actually serve some time in jail for your fraud.

http://www.despair.com/mis24x30prin.html

Metroplexual said...

For Casey I like this one even more.

http://www.despair.com/delusions.html

Anonymous said...

Larry Nusbaum:

You may be in the real estate industry for for quite some time now, but your marketing strategy sucks and will not work. Have you heard about that saying - don't swim against the current? What you're doing is your forcing yourself into something that's going the opposite way. You refuse to acknowledge the reality. In fact, your really wasting your time. My suggestion would be for you, as some smart real estate brokers would do, is to admit the reality, market your services by providing an honest to goodness advice to your prospective clients (post bubble) and establish credibility. You're not gonna get nowhere with what you are doing, other than get "mocked," like Pres. Bush. Got it Larry. Read some more books about marketing strategy.

Anonymous said...

"I find it interesting that casey's favorite book is the bible. If he is truly christian and believes in the the good book why did he lie and commit fraud? "

well, because christians and right wing bush supporters are the biggest hypocrites amongst us

Anonymous said...

He did admit to his mistakes. He will likely get repaid with prosecution and immensely harsh judgements

I think facing the music now might get you a lighter sentence than in the future when the justice system starts catching on and really starts punishing you criminals.

Metroplexual said...

BTW, the reason people on his blog seem so sympathetic is that he screens comments before choosing whether or not to allow it to post. What a thin-skinned tool.

LauraVella said...

Wow. After reading this thread, that is all I can say.

How many more people like Casey are out there flipping houses and getting away with saying they are living on the premises? Banks dont check those things as part of the loan process?

Unbelievable. No wonder this country is in the mess its in.

This bubble hasnt even actually started to blow yet-but when it does, the flippers will really start to squeal like slaughtered pigs...good God.

borkafatty said...

Fellows, when I was 24, about ten years ago, I was working 55-70 hrs per week at my job, trying to learn new things to advance my career. That's how I'd jumped from earning $36K/yr to $80K/yr because I took the time to learn the stuff that made my work more valuable.

Sorry, but that's the definition of becoming a productive adult. When 24 yr olds shun real work in return for being flippers/speculators, etc and then he gets mainstream approval (like the asswipes who sympathized with his boo-hoo, whoa is me tripe) then we have a culture in decline.



---------------------

That just about sums it up..well put Anono

Anonymous said...

For better or worse (better for the housing market's much needed correction, but worse for Casey), if he had started this is 2001 or 2002 he would either

1) have a bunch of money in the bank and stopped (not likely)

2) continued to leverage himself on bigger and more expensive properties so that he would be in 18 million dollars of debt today as the real-estate market continues its inevitable correction

Yes, timing is everything. Personally, I don't like the role "flippers" have had in the pyramid scheme we call the real estate market, but I cannot blame them for their role. They wanted to make money, and I know most people do not stop and think about how their actions are going to impact the economy as a whole (people don't even vote because they believe they are insignificant). So I personally believe most people got caught up in the "herd mentality" of the pyramid scheme. Vast numbers of people forgot that if it sounds too good to be true, it probably is.

Honestly, I cannot believe the post at: http://iamfacingforeclosure.com/1/why-i-am-facing-foreclosure/

"Investing is supposed to be done on newly build single family homes"

WHAT IS WRONG WITH PEOPLE? THE PYRAMID PARTY IS OVER. OMG. I THINK PEOPLE ARE SO ARROGANT TO BELIEVE THAT CASEY'S FAILURE HAD NOTHING TO DO WITH TIMING. MANY BELIEVE THEY CAN STILL MAKE MONEY FLIPPING PROPERTIES.

No, Casey's situation is not uncommon, and unfortunately many people got addicted and didn't stop; they continued to increase their paper "net worth" via leveraging and lying, and a 10% or 20% correction is going to level them. The current stagnant market is all it's going to take for many.

Let's get back to the basics. I never had the stomach for so much risk. I knew people who were making a lot of money in real estate during the boom years while I was purchasing fixer-upper, multi-family properties which produced positive cash flow. I knowingly missed a lot of opportunities to flip properties and make a quick buck. I often questioned my sanity or moxie, but ultimately it just didn't feel right. Honestly, these high-flying investors gave me crap for being so conservative while their idea of being conservative was to only flip 3-5 properties at a time. In 20-30 years my properties will be paid off and I will be comfortable, although not rich in my retirement -with an inflation-adjusted revenue stream.

As my wife once pointed out to me, "our grandparents would be proud". Hard work, a level head, and patience will prevail. (But it sure would have been cool to be making all that quick money during the real estate boom like everyone else :o)

By the way, my advice to the young folks out there: Never, ever, ever, ever, ever, ever buy a house or condo until you are financially comfortable. Buy a duplex, triplex, or four-plex and live in one unit while renting the others out. (4 units and under are still "residential" properties).

That's my 2 cents...

RC said...

Who would have thought?
Life IS like a box of chocolates!
You nerver know what you going to get!

Casey = A$$ raped

Anonymous said...

Forbes Newsletters.
Adviser Soapbox
Nightmare On Elm Street

Carrie Coolidge 09.21.06, 5:35 PM ET



Home prices are declining, and some adjustable rate mortgages have reset due to higher interest rates. This can be a deadly combination of forces for homeowners around the country, as evidenced by the number of homes being foreclosed upon by lenders--a statistic that is increasing in record numbers.

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According to RealtyTrac, foreclosures ramped up significantly in August with more than 115,000 properties nationwide entering some stage of foreclosure. This could be the beginning of an alarming trend, as there were 24% more foreclosures in August than there were in July and nearly 53% more than there were in August of 2005. Currently, there is a national foreclosure rate of one new foreclosure filing for every 1,003 households.

“With home price appreciation continuing to decelerate and billions of dollars in adjustable rate mortgages projected to reset in the next few months, this month’s increase could be the beginning of an upward shift in the foreclosures market,” says James J. Saccacio, chief executive officer of RealtyTrac, an online marketplace for foreclosure properties.

Colorado wins the booby prize for the nation’s highest state foreclosure rate for the sixth month in a row, with one new foreclosure filing for every 301 households. The state reported 6,079 properties entering some stage of foreclosure during the month, more than twice the number reported in August 2005 and the seventh highest number reported by any state. The foreclosure activity in Colorado spiked nearly 60 percent from July.

With one new foreclosure filing for every 430 households, Nevada posted the nation’s second highest state foreclosure rate for the third straight month. The state reported 2,016 properties entering some stage of foreclosure, a 24% increase from the previous month and more than three times the number reported in August 2005.

Florida foreclosure activity jumped to its highest level of the year so far, with 16,533 properties entering some stage of foreclosure in August--the most of any state and an increase of more than 50 percent from the previous month. The state’s foreclosure rate of one new foreclosure filing for every 442 households ranked as the nation’s third highest state foreclosure rate.

Other states reporting foreclosure rates among the nation’s 10 highest were Georgia, Texas, Michigan, Ohio, Illinois, Indiana and Utah.

The five states with the most new foreclosure filings were Florida, Texas, California, Ohio and Illinois--all of which accounted for 50 percent of the nation’s foreclosure activity in August.

While the statistics are frightening, there are alternatives worth exploring if you find yourself in the unwanted position of facing a foreclosure on your home. Indeed, if you have missed a mortgage payment, don’t wait for your lender to contact you. Rather, call your lender to let them know about your situation and ask for advice. Many lenders, including Washington Mutual (nyse: WM - news - people ), Citigroup (nyse: C - news - people ) and Bank of America (nyse: BAC - news - people ) are well equipped to offer advice and even help. CitiMortgage (a division of Citibank), for example, offers a hardship assistance program to qualifying customers who have suffered an illness, unemployment, divorce, death in the family, etc.

A lender may be able to offer a restructured payment plan or even refinancing. Depending on your situation, some lenders may even provide for a temporary reduction or suspension of your payments. You may qualify for this if you have recently experienced a reduction in income or an increase in living expenses, but you must be able to show that you would be able to meet the requirements of the new payment plan. Worse case scenario, if your home must be sold, ask your lender for some time so you can sell it yourself. If you reach an agreement with the lender, make sure you get it in writing, and have it reviewed by a real estate attorney or a local housing counseling agency approved by the U.S. Department of Housing and Urban Development.

Investigate thoroughly before you enter into any agreement with a third party, as there are plenty of scams out there, ranging from phony counseling agencies to cons who convince homeowners to sign over deeds in exchange for paying the monthly mortgage (called equity skimming scams). Indeed, there are scammers who will promise to help you, but will leave you in a worse mess than where you started. Phony counseling agencies will claim to offer you help in exchange for a payment, but what they offer may well be services you could do for yourself for free, such as negotiating a new payment plan with your lender or pursuing a pre-foreclosure sale.

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Anonymous said...

Fellow HP'ers, isn't it that Robert Kiyosaki's friend Steven is also in his mid 20's? What an irony - huh. This guy Casey may have attended one of Kiyosaki's seminar and became aggressive. As like I said, Kiyosaki is again up on something.

Anonymous said...

Sercasey:

You've come to a wrong place. No one in his/her right mind, especially the regular HP bloggers, who understands the fundamentals of real estate investing, will bail you out based on your asking price for the following reasons:

1.) Prices in Modesto,CA were 30-40% overvalued.
2.) Assuming I'm interested in buying your house, at the worse case scenario, I will buy it at no more than $180k (includes your late payments & other penalties). Taking a 2nd is all your fault and should not be passed on to me.
3.) I will not be responsible for the agents commission. You're paying for that.

In conclusion, the $180k will be the real price of your house in Modesto area, based on what you call - PRICE TO INCOME ratio and that's the one you missed, because of greed and because you think that you can get away with it thinking that there will be more stupid people that will fall for it. I hope you'll learn from this and don't listen to people like L.Nusbaum.

Oops, by the way, I've changed my mind and I'm not buying your property. Good luck!

devestment said...

Generally what happens at this stage is you get tied up in escrow for a few months while prices continue to drop.

Anonymous said...

You guys are missing the real culprits here, it is the slimy and unscrupulous mortgage brokers and unethical Realtors that lied to the banks with inflated appraisals and allowes Casey to get his loans. Anyone from Las Vegas, Phoenix or Southern Cali here? C'mon. Mortgage brokers are not regulated, hence the kinky underwriting standards.

Lax lending standards are those of the banks, not Casey. It is because of those same lax standards that he was able to get these loans. They looked the other way.

Half of the jobs in the country has gone into real estate related businesses over the past credit cycle and everyone and their brother in law were a mortgage broker at one point... now they will be selling pharmaceuticals...

Easy come, easy go.

Somebody has to give this kid credit for trying, however, he should have gotten more of an education rather than through the school of hard knocks or reading a Rich Dad book.

Metroplexual said...

I beg to differ. Nobody forced him to buy or for that matter lie. He is an adult and he made his choices. In RE runups people get greedy. The fault here is his greed.

Anonymous said...

It seems inconsistent to me that a person who has enough saavy to go out and pick up multiple properties in multiple states cannot forsee the possible consequences of playing the systems he is manipulating so expertly. His finding God in the midst of his troubles therefore seems disingenuous for where it not for the tanking market this putz would still be out there chasing wild-ass money.

Metroplexual said...

He does not have savvy he just has know-how. Savvy implies wisdom as well, savvy from the latin sapere for wisdom.

Anonymous said...

Casey is a scammer plain and simple:

http://bbs.whofailedtoday.com/viewtopic.php?id=95027

Anonymous said...

Hey casey, you comment deleting pleb, you're going down, just like yo momma.

Yeah, my Suicide Solution comment got deleted too :-)

Come on Casey, your problems would be solved.

Anonymous said...

"I'm really taking a beating here! I'm not saying I don't deserve some of it... however some people are going a little too far."
++++++++++++++

Sercasey, I feel sorry for you, but if you really did LIE on your bank loan applications, you may be prosecuted. And that may mean jail time....

Hwy50ina49Dodge said...

Hey to everyone leaving posts on this knucklehead's blog:

Please STOP!!!!!!

You're creating the text for his new book! He just sits back and does copy & paste, then sends it to the publisher.

How tough is it!

Kidtrump has figured out how to really make $$$ money and get his mug plastered around the world!

Please stop helping him!

Anonymous said...

Yeah that douchbag will join Scott Peterson soon. After all Scott also hails from Modesto, CA.

Slow and Steady said...

I just sold my portfolio of about 75 rental properties in the Dallas area. But I did my real estate investing the "hard way", buying properties under market value and holding over a 17 year period; paying 20% (or more) down with and every mortgage; and NEVER EVER assuming that prices would skyrocket.

I am the tortoise to today's hare-brained new breed of real estate flippers. But now I'm retired at 44 with 2.4 mil in the bank and no debt. I'm not stating this to gloat, but just to serve as an illustration that slow and steady STILL wins the race (at least the majority of the time).

Casey, I admire your willingness to show the unglamourous--and much more likely--side of real estate investing. And despite what others may tell you, DON'T file bankruptcy if you can possibly help it. Do your best to right your previous wrongs by continuing to sell your properties. But don't expect to profit from ANY of them at this point. Frankly, you just don't deserve to profit from having lied.

sercasey said...

I just posted an update with details on what exactly I did that may be considered "SHADY":

Will I Go To Jail For Mortgage Fraud?

After I get feedback on this post and talk to some attorneys I will hopefully know if jail time is a realistic expectation.

My Plan:

1) come clean [done]

2) figure out what I did that was so illegal and HOW illegal is it?

3) apologize

4) EXPOSE shady industry practices
in the process

5) become an example for others facing foreclosure who may have done SHADY loans

I think that would be a good use of free speech and personal journalism.

Yes I will have to take whatever consequences that come.

Anonymous said...

When you go down, take all your accomplices with you - the loan officers, etc. They all could not be wearing blinders. If justice is swift they are already hunting the job classifieds.

Anonymous said...

Give the kid a break... Very successful people always take very big risks with business beginning in their twenties if they are driven to succeed. Others dont do anything with their lives except collect welfare. This kid had a dream and put in lots of work and enery to make this venture happen for him. Only thing is that he got a little too eager and aggressive with his time frame in which he made all this happen. It's not his fault that lending institutions are LAX. Those "liar loans" stated income loans are probably there to allow illegal immigrants to aquire property. That should be stopped too. They fudge all day long on their loans and nobody bats an eye.
I think this kid has lots of guts and is a go-getter. Keep going kid, just know the law before doing any business in the future and stay within it. Keep your head. You have more guts than most of these bloggers.

Anonymous said...

You are really painting an untrue picture.. You cant blame any of this on anyone but yourself. No one held your arm behind your back. You ARE an adult, correct? Im not trying to be mean but it seems to me you are trying to blame this on the mortgage industry and/or real estate agents. I dont know if real estate agents lied to you about the values or future values---but you had to know what you were signing. If not, you should be embarrassed to admit that you didnt.

These problems are YOUR and you are trying to cash in by playing dumb. Thats my opinion based on what Ive seen from you. I heard you are going to be on TV about this? If true, unless its a public service to tell people how not to be stupid, Id pass. There is a higher power listening to you.

Are you going to cut this out or post it?

real estate blogger said...

Actually he can get another remortgage and use his house to as equity loan. There will always be an effective equity home loan mortgage rate that will work for you.

Anonymous said...

Now that time has passed, we can see where Casey lied with his comment above.

The FBI is now looking into him.

Sweet!

John Chatman - Stockton CA said...

I've met Casey. He is a great person and what's interesting is he DOES take accountability for what he's done. He's got more balls than the majority of you couch potatoe, channel flipping, porn watching unsuccessful blog posters.

He took some risks, made some mistakes along the way with the help of unscrupulous mortgage agents who did look the other way.

Had the Bankers & agents done their jobs right instead of being GREEDY, Casey may not have had to learn this the hard way. But they didn't do their jobs in an unregulated industry and they DID get greedy and wrote the loans anyway.

The biggest risk that the 'haters' take is putting your non-sense words in a blog under an Annonomous name! Easy to stand in a crowd where no one knows who said what.

At least Casey stood up, recognized his error and looked for ways to make lemonade out of the lemons of life in his situation. Knowing Casey, he'll get up again, brush himself off and try again. That is success. No question that he's on his way to great things and this has simply been a catalyst to learn and grow from - helping him to become someone that most of you could only wish to become in your dreams.

Anonymous said...

10 years. Nothing has been fixed. Shitloads more debt.