Foreclosure swallows new subdivisions before opening
The white paint has barely dried on the cathedral ceilings. And some of the stacked-stone chimneys have yet to crackle with that first fire. Here, in a half-built neighborhood near Grayson, everything is freshly minted, down to the suburban dreams. Yet earlier this month, outside the Gwinnett County courthouse, nearly half the subdivision was auctioned off "€” the latest casualty of a foreclosure crisis that has pounded model-home sales offices around metro Atlanta.

Stockton, Calif., Worst Off In 3rd Quarter Look At 100 Metropolitan Areas
Homeowners across the U.S. are increasingly having trouble making their mortgage payments on time, but borrowers in metro areas of California, Florida and other once-booming housing markets are accounting for the biggest spikes in foreclosure filings, according to a mortgage research company.   An analysis of foreclosure activity in the nation's largest 100 metropolitan areas during the three months ended Sept. 30 shows seven cities in California and five each in Florida and Ohio were among the top 25 metro areas with the highest foreclosure rates, according to the study being released Wednesday by RealtyTrac Inc.

Jacksonville has third highest foreclosure rate in the U.S.
The housing bust is getting worse. Right now, Jacksonville has the third highest foreclosure rate in the country with one in every 156 homes foreclosing. And there's a story behind everyone of them like one family of eight who could be living on the streets in a matter of weeks.

Newmark parent considers Ch. 11 bankruptcy
The parent of Newmark Homes, reported a loss of $617 million, or $10.43 a share, in the third quarter, up substantially from its year-earlier loss of $80 million, or $1.34 a share. The Hollywood, Fla.-based TOUSA said in a statement that based on its most recent earnings, "the company believes there is substantial doubt about its ability to continue as a going concern." The company went on to say that it is considering all available in- and out-of-court restructuring and reorganization alternatives including Chapter 11.

Outstanding Fox 4 Report:Mortgage Investments Story
A Becky Oliver Investgative story.  View video report Part I - View video Part II - Follow-up: Mortgage Investors React...  

HOBB testimony House Subcommittee on Affordable Housing

House passes controversial anti-predatory-lending bill
The House of Representatives Thursday approved controversial legislation intended to combat predatory lending, amending some provisions to address criticism that the bill could worsen the credit crunch, but strengthening others. HR 3915, the Mortgage Reform and Anti-Predatory Lending Act of 2007, would create a national licensing system for mortgage loan originators and require lenders to determine that borrowers have a reasonable ability to repay a loan. The bill would also create limited liability for companies that bundle mortgages for sale to Wall Street investors.

KVUE Part II Defenders Report: Homeowners face Mike Kelly
KVUE is there while homeowners ask home builder Mike Kelly tough questions, while he is under oath.  Mike Kelly is facing a state investigation and a District Attorney could bring criminal charges against him. KVUE:View Investigative Video Report...

Homebuilder investigated for questionable business practices
In February, we first told you about an Austin home builder who was under state investigation for questionable business practices. Since then, the builder has sold all 3 of his austin subdivisions, Maravilla, Maravilla Hills, and La Ventana in Marble Falls. But, as you're about to see, Mike Kelly's history continues to follow him and it's caught the attention of authorities...In February we tracked down Mike Kelly, Maravilla's developer. When we first approached him, he just laughed.

The Hutto News - OPINIONS
Lennar lied to homeowners - Hutto Parke residents deceived by developer -Residents want to forget building horror - Expansive soil was not fully disclosed.  Let's be realistic. When given a choice, people would not choose to build on expansive soil if they know that it will be a constant maintenance problem in the future. People don't intentionally buy new houses or new cars knowing that they will have to deal with high maintenance. We bought new homes not fixer-uppers. Read more...

Housing fraud alleged
...the developers and 10 other businesses used predatory lending, fraud and unfair business practices against Spanish-speaking homebuyers over the past two years...mortgage broker firms Universal Mortgage, IRA Mortgage and Creative Mortgage placed the plaintiffs in subprime loans instead of placing them in the best loans possible, then took undisclosed and excessive commissions from them...the plaintiffs are suing Countrywide Financial, New Century, Cameron Financial Group and Wells Fargo banks, saying they approved illegal and unfair business practices committed against the plaintiffs.

Interviews with Hutto Texas Lennar Homeowners
Sylvia Jacobson tells how Lennar deceived her - Linda and Ronald Shaw's struggle with their new Lennar home in Hutto Parke & not so impressive Lennar Home construction in Texas.
View videos...

ABC I-Team & The Daily Herald Join Forces: Rush to Inspect
ABC7's I-Team joined forces with "The Daily Herald" to investigate the national problem- and local dilemma. The findings- cities and suburbs do not have enough inspectors to keep up with the construction projects, resulting in " Rush to Inspect" newly built homes and condos by time-challenged, short-staffed city agencies. After the I-Team began asking questions, the Chicago Building Department sent an inspection team to take another look. They noted two electrical violations, a suspicious leak in the gas and electric utility room, and low water pressure in some units.

S.A. home buyers less satisfied
In national survey, city falls from 10th to 31st. Homeowners here went from being generally thrilled last year to among the least-satisfied customers in the country this year, according to a report released Wednesday by J.D. Power and Associates. San Antonio customers reported more problems in their houses -- an average of 15.75 this year compared with 12.74 last year.  Nationally, though, the quality of home building improved. Typical home buyers found 14 problems with their home,..The country's happiest home buyers were in Minneapolis, where people reported an average of seven problems per home.  Gordon Hartman ranked last in customer satisfaction.

Council discusses construction issues in Hutto Parke
Ways to help residents get their houses fixed and how to improve the image of the neighborhood were broached two weeks ago during a city council workshop in city hall. Dan McDowell, chief building official for the City of Hutto, said the city was notified last March about nails popping out of walls in several Lennar homes. The city subsequently received calls that framing on the some houses had not been completed properly. Some homeowners have said the expansive soil where the subdivision is located is to blame for problems they have with their houses.