On Saturday I wrote about the issue of the massive foreclosure fraud imminently cascading upon us and all its implications to the economy, here. At that time, foreclosures in 23 states had been halted by some of the biggest banks and lending institutions, such as Citi and Wells Fargo. Tonight, the Associated Press is reporting that Bank of America is halting foreclosures IN ALL 50 STATES! Indefinitely. “Bank of America could not say how many homes would be affected. Nationwide, it had 420,000 properties in some stage of foreclosure through the first half of the year, according to Irvine, Calif.-based RealtyTrac.”
Here is a great analysis and explanation of what foreclosuregate means:
In Tampa Bay Online’s article, “Why Bank of America stopped foreclosures and how it could impact you and others,” they wrote, “Distressed properties, many of which are in foreclosure, make up about a third of all home sales. If those deals do not happen, the market could suffer its own freeze. Housing prices could fall even further. Distressed properties, many of which are in foreclosure, make up about a third of all home sales. If those deals do not happen, the market could suffer its own freeze. Housing prices could fall even further.”
Even worse, I had posted from Zero Hedge’s analysis on Saturday that a title company had ordered to stop selling title insurance. They had written, “Apparently alarmed about such a possibility, one of the major title insurance companies, Old Republic National Title, has sent a bulletin to agents saying that “until further notice” it would not insure title to properties foreclosed upon by GMAC Mortgage, the country’s fourth-largest home lender and one of the two big lenders at the center of the current controversy… this merely means that as the foreclosure pipeline gets clogged beyond repair, and as mortgage losses accumulate at an exponentially growing pace, stocks of financial companies will likely surge…”
Now, Stewart Title Company has ordered their agents to cease selling title to JP Morgan Chase, Bank of America, OneWest Bank or Ally Financial’s GMAC Mortgage unit.
How housing slowdowns impacts the economy was analyzed in Hispanic News a few months ago: “Because housing is such an important engine of the economy, lower prices could dim the recovery. When home values fall and people have less equity, they tend to cut back on spending. And as prices decline, potential homebuyers stay on the sidelines, slowing sales even more.”
The LORD was clear to Ezekiel on the sinful man and included in the list of sins, usury, exploitation of the poor through excessive loans, and bad-faith acts in banking. What happens to the sinner? “The soul who sins is the one who will die.” (Ez 18:3). He told Ezekiel, “Suppose a certain man is righteous and does what is just and right. He does not feast in the mountains before Israel’s idols or worship them. He does not commit adultery or have intercourse with a woman during her menstrual period. He is a merciful creditor, not keeping the items given as security by poor debtors. He does not rob the poor but instead gives food to the hungry and provides clothes for the needy. He grants loans without interest, stays away from injustice, is honest and fair when judging others, and faithfully obeys my decrees and regulations. Anyone who does these things is just and will surely live, says the Sovereign Lord.” (Ez 18:5-9 NLT) [emphasis mine]
The economy is crumbling and it is happening faster as the months go on. We are a nation that is perfectly described as full of the former sinful man, who shall surely die. A frozen and gasping economy in America is only one severe sign that the end is imminent. Pray hard, folks, and pray for the poor, homeless and oppressed. He soon comes!