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September 25, 2008
ILLEGAL Aliens and The Mortgage Mess
ILLEGAL ALIENS & THE MORTGAGE MESS
by Michelle Malkin
AS panicked politicians prepare to fork over $1 trillion in taxpayer funding to rescue Wall Street, they've fingered regulation, deregulation, Fannie Mae and Freddie Mac, the Community Reinvestment Act, Jimmy Carter, Bill Clinton, both Bushes, greedy banks, greedy borrowers, greedy short-sellers and minority-home-ownership promoters for blame.
But there's one villain that has slipped notice: how illegal immigration, crime-enabling banks and open-borders Bush policies fueled the mortgage crisis. It's no coincidence that the areas hardest hit by the foreclosure wave - Loudoun County, Va., California's Inland Empire, Stockton and San Joaquin Valley, and Las Vegas and Phoenix - also happen to be some of the nation's largest illegal alien sanctuaries. Half of the mortgages to Hispanics are subprime. A quarter of all those subprime loans are in default and foreclosure.
Regional reports across the country have decried the subprime meltdown's impact on illegal-immigrant "victims." A July report showed that in seven of the 10 metro areas with the highest foreclosure rates, Hispanics were at least one-third of the population; in two of those areas - Merced and Salinas-Monterey, Calif. - Hispanics comprised half the population. The National Council of La Raza and its Development Fund have received millions in federal funds to "counsel" their constituents on obtaining mortgages with little to no money down; the group almost succeeded in attaching a $10 million earmark for itself in one of the housing bills passed this spring.
For the last five years, I've reported on the rapidly expanding illegal-alien home-loan racket. The top banks clamoring for their handouts as their profits plummet, led by Wachovia and Bank of America, launched aggressive campaigns to woo illegal-alien homebuyers. The quasi-governmental Wisconsin Housing and Economic Development Authority guaranteed home loans to illegal immigrants.
The Washington Post noted in 2005: "Hispanics, the nation's fastest-growing major ethnic or racial group, have been courted aggressively by real-estate agents, mortgage brokers and programs for first-time buyers that offer help with closing costs. Ads proclaim: "Sin verificacion de ingresos! Sin verificacion de documento!" - which loosely translates as, 'Income tax forms are not required, nor are immigration papers.' "
Fraudsters also have engaged in house-flipping rings using illegal aliens as straw buyers. Among many examples the FBI cites: a conspiracy in Las Vegas involving a former Nevada First Residential Mortgage Company branch manager who directed loan officers and processors in the origination of 233 fraudulent Federal Housing Authority loans valued at over $25 million. The defrauders made and submitted false employment and income documentation for borrowers; most were illegal immigrants from Mexico. To date, the FBI reported, "Fifty-eight loans with a total value of $6.2 million have gone into default, with a loss to the Housing and Urban Development Department of over $1.9 million."
It's the tip of the iceberg. Thanks to lax Bush administration policies allowing illegal aliens to use "matricula consular cards" and taxpayer-identification numbers to open bank accounts, mortgage fraud has grown. Money-lenders still have no access to a verification system to check Social Security numbers before approving loans.
In an interview about rampant illegal-alien home-loan fraud, a spokeswoman for the US General Accounting Office told me five years ago: "Considering the size of Los Angeles, New York, Chicago, Houston and other large cities throughout the United States known to be inundated with illegal aliens, I don't think the federal government is willing to expose this problem for financial reasons as well as for fear of political repercussions."
The chickens are coming home to roost. Law-abiding taxpayers are going to pay for it.
Wild Thing's comment.........
And the American taxpayers are forced to subsidize the support of illegal aliens once again!
Illegals weren’t the sole cause but they damned sure were a warning sign and some of us screamed loud and often about it. We were called racist, nativist, socialists, conspiracy theorists, and anti capitalists.
And where are the name callers now?
Screaming that the world will end if we don’t give these banks money to pay for the disaster that wasn’t going to happen.
The saddest thing about the entire bailout is that the history is being ignored, how we got here is ever so important!
The illegals/and lending to those who had no right borrowing, are a huge part of it as is the fact that several times the rats voted down bills to solve the problem earlier. But, no on will talk about it.
Illegal aliens - The gift that keeps on giving.
GRRRRRRRRRRR
Posted by Wild Thing at September 25, 2008 06:42 PM
Comments
I read this at lunch today and just fumed! I can't believe how this was allowed to happen! We have to earn our credit worthiness, but not them, oh no! They get special dispensation! I'll give them special dispensation allright! Right up the old wazoo!
I think those who created the mess ought to pay the bill, not us who pay our bills on time and take care of our own.
Posted by: Lynn at September 25, 2008 07:12 PM
So kick them out of those homes, let the jobs dry up and then escort those illiterate bottom feeding beaners to the border. Then kick their smelly asses across the line.
GET OUT OF MY COUNTRY YOU FILTHY BEANERS!
Posted by: cuchieddie at September 25, 2008 07:20 PM
This is how the American Dream got corrupted during the Clinton Administration. Where an Illegal immigrant can buy a home without any downpayment, a low paying job and no references.
Any other American citizen has to go through a complete anal exam and be able to put it on the line everything he has and maybe he will be considered for a home loan.
Now like everything else the Legals are going to get stuck with the bill. And the real sorry thing about this the Illegals will still keep their un paid for homes and we will foot that bill too.
It is time to clean house and the Senate, sweep the damn place clean. Every friggin one of them.
Posted by: Mark at September 25, 2008 07:38 PM
No one will bring this illegal alien housing problem up to the candidates during the debates or at any of their interviews. However, wouldn't it be great to hear Joe "Gaffe-a-Day" Biden's response if someone at a rally shouted, "What caused the 'undocumented worker' housing crisis?"
Whatever Biden would say after that would be downhill. Maybe then the others would be forced to talk about their amnesty plans before Election Day.
Posted by: Les at September 25, 2008 08:06 PM
Don't forget that most banks will give them credit cards too. Bank of America was singled out for this and when I went to close my account with them, I found out the other major banks I looked into also offered credit cards to illegals. I wonder just how much unpaid debt is from these credit cards?
Posted by: BobF at September 25, 2008 10:59 PM
Lynn that is the way it should be. Those that are responsible for this can pay this off, all those not so wonderful politicians. sheesh They sure are worthless jerks.
Posted by: Wild Thing at September 25, 2008 11:01 PM
Cuchieddie, but... but... the illegals are the number one priority grrrrrrrr.
Posted by: Wild Thing at September 25, 2008 11:05 PM
Mark, your right, I have not heard anyone, on any channel mention this.....no one.
Posted by: Wild Thing at September 25, 2008 11:07 PM
Les,oh my gosh that would be great.
Posted by: Wild Thing at September 25, 2008 11:08 PM
BobF, yes your right, we bank at Bank Of America and when I asked around and found others did the same thing we just stayed with B of A.
Posted by: Wild Thing at September 25, 2008 11:11 PM
This isn't just going to hurt taxpayers(and it will hurt taxpayers, no matter what happens). It's going to hurt the working poor of America, the people who are trying to better themselves, the ones the government programs were supposed to be about.
Posted by: Trish at September 25, 2008 11:14 PM
Trish, yes both like you said. And the worst part is none of this had to happen, if these people had been honest. Oh wait that is a word foreign to Dodd, Clinton, Barney Frank and the others.
Posted by: Wild Thing at September 25, 2008 11:54 PM
