Obama called to act as Wall Street prepares to tax all US homes 1% for 99 years

Vatic Note:  "Obama, called to act" is a joke headline.   Obama does what he  is told every single time.   I wish it were not so.   Once depopulation is complete or at least well on its way, then comes the slavery, and this is step one.   The cap and trade tax is step two and the Universal medical bill was the final hammer on a full fledged dictatorship.   Once you start letting these useless feeder bankers start taking our earnings from us for no reason as we did in the bailouts, (2 of them, one under each parties Presidents, Bush and Obama), then it was a simple step to continue the process through extracting even more equity that we built up in our homes, by this process below. Its time to stop all this and we should notify the congressmen and senators up for reelection to give us their position on this issue (I know, its a pipedream to even believe they can do anything at this point except watch as helplessly as we are, those that have not sold out), otherwise the way around it is to never use title insurance and escrow to close on a transaction, rather simply do a warrantee deed and carry the note privately. The more they push, the more creative we have to become.

These bankers, globally,  are still alive and walking around? hmmmm Just expressing my amazement. LOL  Think about it,  you work and pay down on your home, that is called 'building equity' through your labor and choices on where to spend it, then the bank comes along and takes that equity from you.  THAT IS CALLED SLAVERY.  No way should we even consider cooperating on that one.  It would be better to then not own.  (update:  breaking news is indicating they are on the move with this agenda because once the population is down to a manageable level, they can then control us and they will be safe, right now, they are NOT safe as our population is not down..... this is truly our only chance).


Obama called to act as Wall Street prepares to tax all US homes 1% for 99 years
Posted by EU Times on Aug 9th, 2010
http://www.eutimes.net/2010/08/obama-called-to-act-as-wall-street-prepares-to-tax-all-us-homes-1-for-99-years/?utm_source=feedburner&utm_medium=email&utm_campaign=Feed%3A+TheEuropeanUnionTimes+%28The+European+Union+Times%29

Foes want the Obama administration to ban a 1% ‘private transfer’ charge — assessed every time a property is sold for 99 years — paid to investors who backed the home’s original builder.

Can you name a housing controversy that pulls Iraq and Afghanistan veterans, consumer advocates, labor unions representing transport workers and government employees, the title insurance industry, the National Council of La Raza, libertarian and property rights groups and the National Assn. of Realtors all together into a protest coalition demanding quick action from the Obama administration?

A more unlikely collection of real estate bedfellows is hard to imagine. Yet at the end of July, 11 groups with widely divergent agendas and memberships formed something called the Coalition to Stop Wall Street Home Resale Fees.

The target of their protest: private transfer fees being attached as liens on homes and requiring successions of property owners to pay a fee every time the house or lot resells during the coming 99 years. Though proponents say the concept helps real estate developers raise capital for projects by bringing in Wall Street investors, critics contend the liens amount to a perpetual money machine that lowers equity values for unsuspecting consumers and complicates real estate sales.

Here’s how the plan works. Say you buy a $300,000 house in a subdivision where the developer is participating in a private transfer fee program and has recorded liens on every lot. When you later sell the property, you will be required to pay a fee of 1% of the price you receive. The money must be disbursed out of the closing proceeds and sent to a trustee representing investors. Those investors fronted cash to the developer in exchange for the right to receive streams of payments for decades as individual houses sell and resell.

So, if you buy a house this year for $300,000 and resell it for $325,000 a few years from now, you will owe $3,250 at closing. Even if the house drops in value, you will still owe the 1% fee. And if you refuse to pay it, the deal will not close because a lien has been recorded that runs with the title to the property and mandates that every seller pay.   (VN:  That is what is called being forced to share your hard earned equity,  that you built,  with a bank for 99 years who has had nothing to do with it since the original loan to the builder when they already made money off the initial loan,  what  A GIANT SCAM.)

Your purchaser might not like the fee requirement either, and might demand a lower price as compensation. When your purchaser later goes to sell, the same rules will kick in. And so on, through successions of sales until 2109, when the covenant recorded in 2010 disappears. Along the way, assuming modest appreciation in real estate values, investors and their estates stand to reap huge amounts of cash.

In the words of Kurt Pfotenhauer, chief executive of the American Land Title Assn., “it’s a pretty slick (VN: "sick") way to make money, but it’s bad public policy and bad for consumers.” Pfotenhauer’s group and the National Assn. of Realtors have spearheaded drives directed at state legislatures to ban or restrict private transfer fees. But now the focus has shifted to the federal level, where the 11-member coalition wants the Obama administration to prohibit transfer fees on all mortgages purchased or backed by Fannie Mae, Freddie Mac and the Federal Housing Administration.

The FHA has already indicated that the fees violate its rules, the coalition said in a July 29 letter to Treasury Secretary Timothy F. Geithner. If Fannie Mae and Freddie Mac, which both operate under federal conservatorship, follow suit, the underlying mortgage-financing fuel that feeds transfer-fee programs effectively will be shut off. Along with the FHA, Fannie and Freddie now account for an estimated 95% of all mortgage financings.

The principal advocate for the private transfer fee concept, Freehold Capital Partners of New York, did not respond to repeated requests for comment. In an e-mail earlier this year, Curtis Campbell, a spokesman for Freehold, said that “private transfer fees represent an adaptation in how to pay for development costs” incurred by builders “at a time when funding is not available” to them on “reasonable terms.”

On its website, Freehold claims that major real estate development firms controlling “hundreds of billions of dollars in real estate projects nationwide,” including some of the “largest, most well respected,” have participated in the program. However, the company has declined to identify any of them.

Members of the new anti-fee coalition said they have very specific reasons for joining. For example, Jon Soltz, co-founder and chairman of VoteVets.org, said military families generally move every three years, and have been disproportionately hard hit by the real estate bust. Because of their frequent moves, “these fees hurt the military more than anyone,” he said, and “take advantage of unsuspecting homeowners and buyers.”

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