Press Releases
 

The Homeowners Consumer Center Urges Insurance Agents and Real Estate Agents to Tell Their Clients to Update Their Homeowners Insurance Policies Now

Americas Watchdog created the Homeowners Consumer Center as a result of Hurricane Katrina. Americas Watchdog was based in New Orleans before, during, and after Hurricane Katrina. The Homeowners Consumer Center is the number one homeowners web site in the nation that addresses the most important homeowner issues, including insurance. According to Americas Watchdog, "because of our extreme fear about the storm and hurricane season of 2008, we are literally begging insurance agents and real estate agents to contact their clients about updating their homeowners insurance policy. "I had eight feet of water in my house, and I should have had better insurance, every US homeowner needs to update their insurance policy now, before its to late".

(PRWEB) June 16, 2008 -- Americas Watchdog's Homeowners Consumer Center is actually begging insurance agents and real estate agents to tell their clients to update or upgrade their homeowners insurance policy before the 2008 storm season gets into full swing. The President of Americas Watchdog & its Homeowners Consumer Center has good reason to make this appeal. "I was in New Orleans before, during and after Katrina, my house was partially destroyed with eight feet of water, that sat there for 10 days. I never want to see another American go through what I, and my neighbors went through. I now have a number one rule -- don't think it will not happen to you, when it comes to your home or your homeowners insurance policy". (Http://HomeownersConsumerCenter.Com)

The Homeowners Consumer Center is requesting that every US real estate agent and every US insurance agent e-mail their clients with this press release. The group is also encouraging all homeowners to e-mail this press release to their neighbors. According to Americas Watchdog & the Homeowners consumer Center, "Not one state is safe. The entire East Coast & Gulf Coast could get hammered with hurricanes, so homeowners need to make sure they have flood coverage, proper replacement coverage for the structure, loss of use if the home is not livable, and flood contents coverage. In the Mid West, it has already been a record storm year, and its just early June. In the Mountain West, you have to worry about storms & wild fires. On the West Coast you have to worry about earthquake & and what could be record wild fires". (Http://HomeownersConsumerCenter.Com)

"Again we are begging US homeowners to update and upgrade their homeowners insurance policy"

Extra Important Note: With the current US economic slowdown, homeowners are encouraged to provide their homeowners insurance company with a documented list of all computers, TV's, jewelry, antiques, or anything else of value. If your home is burglarized these items will not be covered unless your insurance agent and the insurance company know about and have included these items on your policy.

All US car owners should also make certain that their auto insurance has vandalism or break in coverage, in the event a citizens car is damaged by gas thieves.

The Homeowners Consumer Center is also suggesting the following for every US homeowner:

* Keep your insurance policy, mortgage documents, financial paperwork, pass ports, etc in a fire proof, water proof, safe, box, or container. A safety deposit box is a good back up, but what if the bank is under water as was the case for Americas Watchdog in New Orleans.

* Take pictures of all interior and exterior areas of your home and keep the pictures in your safe, fire/water proof box or safety deposit box. (keep the pictures current)

* Every family should have an evacuation plan for their home in the event of fire.

* Every family should have functional smoke detectors in each room or hallway, along with a working flash light in each room.

* For the entire East Coast & Gulf Coast, every homeowner should have a hurricane evacuation plan, that includes a safe meeting area outside of the area at risk.

* For area specific emergency planning, homeowners should check with their local fire department or State emergency planning office.

According to Americas Watchdog, "We wish 2008 would be safe for every US homeowner, we wish there would be no fires, hurricanes, storms or earthquakes, but we all know that will not happen. So we are recommending that all US homeowners do the right thing and update, and upgrade their homeowners insurance policy. We would never want one soul to have to go through what we went through with Katrina". The Homeowners Consumer Center's web site is located at Http://HomeownersConsumerCenter.Com . Members of the news media can call the group at 866-714-6466.

As a favor the group is asking anyone who reads this e-mail to pass it onto their friends, co-workers, family members, colleagues, and neighbors.

The Homeowners Consumer Center is all about consumer protection and homeowner education.

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Americas Watchdog Explains How The 2007 Real Estate Disaster Happened Along With A Grim Preview of 2008

For years Americas Watchdog has been warning about the implosion of the US real estate "bubble." Wall Street talks like the problem is behind us. In reality the "problem" is just in its initial stages, with more severe hardships that will affect individual homeowners as well as the over all economy. In order to better understand this real estate and economic disaster, Americas Watchdog along with its Homeowners Consumer Center have put together the main reasons this disaster happened, along with what citizens can do to position themselves from the storm that is about to come.

(PRWEB) September 24, 2007 -- Americas Watchdog and its Homeowners Consumer Center (Http://HomeownersConsumerCenter.Com) are among most quoted sources in the nation on predatory mortgage lending issues. For over three years Americas Watchdog has been warning of a coming real estate disaster, as a result of greedy lending practices. Despite the warnings, mortgage lending practices did not change, greedy mortgage lenders & homebuilders had their way with unsuspecting consumers, and now the US economy it tittering on the verge of a serious recession or worse.


So what happened to real estate?


1. The single biggest problem with the "2007-2008 perfect real estate storm" was mortgage lenders more concerned about making money "right now"; regardless of the long term impact on the economy. It was about absolute greed. Greed manifested itself in many ways.


* One element of the greed was a product called a "pay option adjustable rate mortgage" ( a suicidal mortgage product for the consumer and for pension funds or mutual funds that purchased these types mortgage portfolios).


* Another aspect of the greed was "stated income loans", where the borrower, broker, or bank were able to make up the consumers income, in order to get the loan approved, even if the borrower never could make the mortgage payments. The National Mortgage Complaint Center has numerous examples where the borrower was told by the broker/lender, "don't worry about filling in the blanks on the mortgage application (Fannie Mae Form 1003), just sign it, and I'll fill in the blanks for you".


* The third aspect of greed was massive appraisal fraud on the part of homebuilders, many of whom were also mortgage lenders. As an example of this fraud; a national homebuilder would go to Las Vegas, or dozens of other major US cities, with the following order to local real estate appraisers; "we want this much per house for our new 500 home sub division". If a local appraiser would balk at the inflated valuation and say, "the houses are not worth it", the homebuilder would find another appraiser who would give the builder the inflated values. Existing local owners then thought: " my house is better located, bigger, so its worth more than the new homes down the street". In the hight of the frenzy (2003-2004-the first six months of 2005), homebuilders & lenders got away with this practice, and valuations in many states sky rocketed. The problem now; the new houses were never worth up to 25% to 35% more than the existing market. According to Americas Watchdog, "our big worry is formerly hot real estate markets-adjusting down 25% to 35%-to pre-frenzy levels by this time next year".


Note: National homebuilders have a second gigantic problem. In the Southwest, Southeast, Northeast, & Texas most national homebuilders used undocumented workers to build the new homes. These individuals were frequently given a 1099 (sub-contractor form/or cash), and no one paid any taxes on them. Adding to the problem, because these workers frequently could not read English, the nation may now have literally millions of defective or unsafe homes & we now have hundreds of thousands of unemployed undocumented workers who do not show up in the Federal Governments "labor statistics" (because the IRS never knew they existed).


* 100% financing was always a disaster all by itself. Especially if you add the component of inflated real estate values. Now millions of US homeowners live in a house that has lost 10% to 15% of value with another 10% to 15% decrease in value coming in 2008. The $64 question now is; will those millions of homeowners stay put, or will they simply turn their keys into the bank & say "goodbye"? Americas Watchdog thinks 40% to 50% of this group will say goodbye. Many in this group are " real estate flippers" who put second mortgage on their existing home, thinking they could cash in big on the boom". Now many "flippers" are over extended and have flooded many formerly hot real estate markets with fire sale pricing on their investment or they may lose the home to foreclosure. This reality puts real estate values in many US regions at extreme risk, when you add in the foreclosures from pay option adjustable rate mortgages & stated income borrowers.


* The Federal Government including the Federal Reserve looked the other way, because the housing boom was good politics. "Never mind that up to a million undocumented workers were paying no taxes on the new houses they were building, or never mind there was zero transparency in the mortgage process". The Federal Government, Congress and the Administration are just as guilty as the greedy banks and greedy homebuilders in this real estate disaster.


So what Happens Next or What Should Consumers Do Now?


1. If a consumer has a good mortgage product and they can afford the monthly mortgage payments stay put.


2. If a consumer suspects they are one of the millions of cheated US consumers, the National Mortgage Complaint Center (Http://NationalMortgageComplaintCenter.Com ) will review the homeowners mortgage documents for a modest fee & write a narrative report high lighting possible issues and then suggest possible ways to get their money back. This is the only service of its type in the nation.


3. If a consumer is thinking about purchasing a home, wait, or thoroughly do local real estate market homework before making an offer on any house. Do not finance or refinance a home without first getting a mortgage document review & report from the National Mortgage Complaint Center. This mortgage document inspection is also the only service of its type in the nation.


So What Should Wall Street Do?


1. Prepare for a serious recession. According to Americas Watchdog, "Wall Street was supposed to be looking 6 to 12 months out; it now acts like its looking 6 to 12 minutes out". "Forget about a white Christmas". "Retail, auto sales, and many other sectors of the economy will suffer for the rest of 2007 & 2008 because of the US real estate disaster". Expect a significant correction in the Dow.


2. In the opinion of Americas Watchdog; "greedy Wall Street investment bankers in bed with greedy homebuilders, mortgage bankers, with elected leaders standing at the door as a look out, have led us to this national disaster. Mutual funds, pension funds, and investment advisor's need to thoroughly examine their mortgage backed securities portfolios. In reality these portfolios may only be worth $0.70 to $0.80 cents on the dollar.


Note: Commercial real estate investment trusts will also get crushed in 2008, because of the economic slow down. Corporate down sizing will increase vacancies in commercial and retail properties. Apartment rents will also plummet because of a flood of unsellable homes suddenly in the residential rental markets in many regions of the US.


So What Should Our Elected Leaders Do?


According to Americas Watchdog, "two very good starts would be elected officials refunding all "campaign donations" from the mortgage banking & the homebuilding industry & our elected "leaders" need to enact legislation so the home mortgage process is transparent for US consumers. Transparency includes banks and mortgage bankers disclosing a kickback called a yield spread premium to consumers. "Mortgage brokers are required to disclose this kick back for inflating the borrowers interest rate/monthly mortgage payment, mortgage banks and or banks do not (even though they get them too)". This is a ridiculous double standard that has allowed millions of US consumers to be overcharged by their mortgage lender". On September 13th 2007, Americas Watchdog asked US Senate Banking Committee Chairman & Presidential hopeful Chris Dodd to answer this double standard question for every homeowner in the nation via a national press release ("Why the double standard on yield spread premium kick back's for banks?"). According to Americas Watchdog; Dodd has yet to answer the question to the nation".


Americas Watchdog is all about consumer protection, corporate fair play and integrity in our political system. If a consumer feels like they are one of the millions of US homeowners cheated in the mortgage process, a new home purchaser, whose house was built by undocumented workers, or whose new home is defective, please contact Americas Watchdog at 866-714-6466. or visit our Homeowners Consumer Center at Http://HomeownersConsumerCenter.Com and send them a contact note via their web site.
 

The Housing Bubble Gets Ready To Burst: Homeowner Tips To Survive The
Real Estate Burst

The question regarding soft or hard landings with respect to our nations housing "bubble" is
about to get answered, with a touch down that will evolve into a very hard landing. This hard
landing may put at risk the entire economy. The two largest culprits are
homebuilders/mortgage firms that forced real estate appraisers to come up with inflated
valuations and the second culprit are teaser rate, adjustable rate mortgage products that are
now starting to adjust beyond many homeowners ability to make the payment. The victims are
or will be our nation's homeowners, our nation's pension funds and ultimately the U.S.
Taxpayer in a Katrina type bail out.

(PRWEB) September 6, 2006 -- The question regarding a national real estate bubble, and or a hard or soft
landing according to the President of The National Mortgage Complaint Center/Homeowners Consumer
Center "is about to get answered." Mr. Thomas Martin the President of this group has indicated that the
"bubble is going to be more like a nuclear detonation with consequences getting progressively worse, with no
quick fix." He calls it "the Hurricane Katrina of real estate, because everyone knew it was coming and no one
prepared for what it would, or could do."

"Lagging home sales and home price reductions are but one indicator, ever increasing foreclosures are the
second.The reality is that with real estate valuations coming back to earth many homeowners have no equity
left in their homes or actually owe more than their home is worth." So how did this happen? Martin says the
answer can be summed up in one word, "Greed."

For over two years the National Mortgage Complaint Center has been expressing concern/panic over regional
or national homebuilders forcing local real estate appraisers to come up with inflated or over-valued real estate
valuations. The net result is, as builders inflated the price of their new homes, existing homeowners inflated
theirs. This practice goes back to about 1998. It was a game of musical chairs. According to Martin," at some
point the music would stop and someone would get left without a chair. In this instance it will be the
homeowners who recently purchased a home and or the pension funds who thought they were buying a real
estate portfolio worth 100%. In reality new mortgage backed securities might only be worth 90% or 85%.
Ultimately it will be the taxpayer; as this real estate bubble burst will call for another massive federal bail-out
just like the Savings & Loan Bail Out of the late 1980s & early 1990s."

The other culprit according to Martin is a "greedy mortgage industry combined with a Fannie Mae, Senate &
House Banking Committee all asleep at the switch with respect to ridiculous mortgage products such as
adjustable rate mortgages (ARM's) with start rates as low as 1%. The problem is, the borrower did not
understand that the rates would increase, or these mortgage products allowed borrowers to qualify for a
mortgage they could never other wise afford. At some point the borrower realizes they cannot make the
payments or they owe more on the home than it is actually worth, and they walk away from the house or they
face foreclosure." According to Martin, "the combination of blackmailing real estate appraisers into inflated
valuations combined with insane mortgage products creates the perfect storm for a real estate disaster that
could be our nations most costly real estate melt down in history."

The National Mortgage Complaint Center & its partner The Homeowners Consumer Center suggest
homeowners do the following to weather the 2006 real estate bubble burst.

1. Don't sell right now if you don't have to. If you do have to sell, do it now, even if you have to reduce your
price. The national or some regional markets may ultimately correct to 10%-20% less than current market
valuations, especially in formerly hot markets like California, Arizona, Nevada, Washington DC Metro, New
York, Florida and the Carolina's. It may take 5 to 7 years for these markets to recover to 2005 price levels.

2. If you are in a mortgage that has features that call for payment increases or adjustments within the next two
years, see if your current lender will allow you to convert to a fixed rate product. If not call the National
Mortgage Complaint Center Http://NationalMortgageComplaintCenter.Com to see what your options might
be. The Complaint Centers toll free number is 866-714-6466.

3. Consumers should not fall for some advertising gimmick from a mortgage firm/bank or homebuilder
offering a 1% start rate on a mortgage or 100% financing. Why would anyone want 100% financing in a
nationwide real estate market that could see values decline 10% to 15%+ in the next two years? Put another
way "why purchase something that at least in the short run may not retain its value"?

4. If you are a potential real estate buyer the Homeowners Consumer Center (
Http://HomeownersConsumerCenter.Com ) & the National Mortgage Complaint Center strongly suggest you
wait to see how far real estate values go down in your area before you purchase a home or investment
property.

5. While real estate market prices may decline, the rental market should stay intact. Homeowners unable to
sell their existing property should consider renting their property until the real estate market begins to recover.
This may be the best option for many homeowners to actually hold onto their property.
For Mortgage Lenders, Mortgage Bankers & Homebuilders the National Mortgage Complaint Center
Suggests; Clean Up Your Act.

The mortgage process should be simple and transparent with consumer friendly approaches to fees; par
interest rates, yield spreads and pre-payment penalties, etc. Martin envisions a future, with flat fee- A-type
mortgages, and flat fee title insurance. In other words the same thing that happened to the stock market with
respect to flat fee stock trades is about to happen to the mortgage and title industry. "Its no longer a question of
if, at this point, it's just a question of who figures it out first and takes over the mortgage/title industries".
The echo generation is now in high school or college (the largest generation of possible homeowners in our
nations history). Within four to six years they will become potential home buyers or renters. By this time, we
believe the market will have corrected and appreciation will begin again. By then it is the hope of the
Homeowners Consumer Center that there will be much more conservative approaches to real estate valuations
and deceptive mortgage products/fees will have been outlawed.

Contact Information
Thomas Martin
AMERICAS WATCHDOG
http://AmericasWatchdog.Com

866-714-6466

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appears here.

 

Most Homeowners at risk. Check Your Homeowners Insurance Policy, Advocacy Group Warns.

The Homeowners Consumer Center is making an urgent appeal to all US homeowners to check their homeowners insurance policy before the 2006 storm/fire season starts. According to the survey of over 1000 US homeowners, less than 15% understand their policy or the areas of insurance coverage they need to have.

(PRWEB) May 9, 2006 -- The Homeowners Consumer Center is making and urgent appeal for all US homeowners to check their homeowners insurance policy, before the start of the 2006 hurricane, storm or fire season. After surveying over 1000 homeowners representing every US state, it was discovered that less than 15% of those surveyed, understood their homeowners insurance policy, and or the areas of coverage the typical homeowner should have.

From this survey, (Http://HomeownersConsumerCenter.Com ) has come up with a very simple list of do's & don'ts for every homeowner, when it comes to their homes insurance coverage. as follow:

Do's & Don'ts

1. If you live in a state on or close to the Gulf of Mexico, the Atlantic Coast, Hawaii, a river, stream or an area prone to flooding, get flood insurance coverage, and make certain you get the maximum insurance coverage ($250,000).

2. If you live in a state on, or close to the Gulf of Mexico, the Atlantic Coast, Hawaii, a river, stream or an area prone to flooding, be certain to get the $100,000 supplemental flood coverage. This will cover personal property loss due to flooding. 95% of the homeowners surveyed were not even aware this type of coverage exists. In the event your home is destroyed by flooding, contents coverage will pay up to $100,000 for personal property replacement. The typical homeowners policy & or standard flood insurance exclude personal property. To see if your home is in a flood plain or potential flood plain go to FEMA's web site.

3. Make certain your homeowners policy has at least one years coverage for "loss of use", for at least $2000 per month. Loss of use will help pay rent, or living expenses in the event your home is rendered unusable as a result of a flood, fire or storm damage.

4. Of the over 1000 homeowners surveyed, only 3% knew if their homeowners insurance policy has "full replacement" coverage. In other words, if the house was destroyed by wind & rain, fire or flood, they were not sure if the policy called for actual replacement. Further complicating the matter; many homeowners don't understand their insurance coverage because it was added on, when they financed or refinanced their home by the mortgage lender. In other words they have little or no idea of what is covered or what is not covered on the policy.

5. Only 9% of homeowners surveyed knew that certain types of valuables (jewelry, art, guns, etc) must be included on a separate sheet provided by the insurance agent/insurance company. These items must be listed on your policy and agreed to by your agent & insurance carrier. If you do not have this additional documentation, in most instances there is no insurance coverage in the event of a loss. If you have expensive jewelry, art, antiques, collectibles, guns, etc call your insurance agent & get them listed on your homeowners policy.

6. Don't do business with an insurance company you have never heard of before. Before signing on with an insurance carrier, check with your states insurance commissioner about the company, and or check the internet for complaints about your current or proposed company.

7. When looking for an insurance agent for your homeowners coverage ask around to find out who has a good reputation, or a reputation for excellent customer service. If you ever have a significant loss related to your home, make certain you have a good insurance agent/company in your corner.

8. Don't forget to take pictures of every area of your home (exterior & interior-actual building & contents). This way you can prove to the insurance company, you had what you say you had, and special or unique features of the home/contents are shown.

9. Try to keep receipts or proof that you had what you say you had in your home. After Katrina, many homeowners had no way of proving they had an upgraded refrigerator, TV set, computer system, stove, etc. Receipts will help you prove to the insurance company what your homes condition was prior to the loss and or what you had in the house.

10. Don't keep important records like insurance policies, an inventory of your home contents, pictures of your home (exterior & interior), financial documents, receipts, in your home, etc, unless they are in a secure, fire-proof and water-proof container. In this instance the Homeowners Consumer Center strongly recommends a bank safety deposit box.

The Homeowners Consumer Center is dedicated to protecting the American Dream for all US homeowners. Their goal is to educate homeowners in order to protect their assets and to educate the homeowner so they get the right product for their situation or circumstance. Their web site is located at http://HomeownersConsumerCenter.Com. The Homeowners Consumer Center also offers useful consumer information on numerous other aspects of homeownership. Homeowners and or consumers are encouraged to share this information with their friends, co-workers and neighbors.


Press Contact: Thomas Martin
Company Name: THE JUSTICE & INTEGRITY PROJECT
Email: email protected from spam bots
Phone: 866-714-6466
Website: http://HomeownersConsumerCenter.Com

More Information: http://www.prweb.com/releases/2006/5/prweb377340.htm