Thread: TN: Realtor stops immigrant loans

Realtor stops immigrant loans
Options for obtaining controversial mortgages drying up
By Daniel Connolly

Saturday, April 5, 2008

Su Casa Realty, one of the biggest real estate agencies catering to Hispanic immigrants in Memphis, has largely stopped selling homes to people without Social Security numbers, often a sign that they are here illegally.

Juan Romo, part owner of the Century 21 franchise, said mortgage programs for people who lack Social Security numbers aren't likely to come back as banks clamp down on credit in response to the sub-prime housing crisis.

Also, it's increasingly hard for illegal immigrants to keep steady jobs, he said.

"I think (getting these loans) is going to be more difficult every time," he said.

It's against the law to enter the country without inspection or overstay a visa, but businesses have been successful in lobbying for lax enforcement.

Many people here illegally use fake documents to get jobs, and some earn enough to buy homes.

But the economic slowdown, particularly in construction labor, may mean fewer illegal immigrants can afford them. And there's anecdotal evidence that many employers are checking documents more carefully and turning illegal immigrants away.

Federal law still allows banks to offer mortgages to illegal immigrants. Banks have typically required these immigrants to present an individual tax identification number, or ITIN.

The federal government issues these numbers so that workers can file income tax forms regardless of their immigration status.

Last year, Su Casa Realty, Spanish for "Your House," sold about 300 homes in the Memphis area, including 60 through ITIN mortgages, Romo said.

But in recent months, its options for obtaining ITIN mortgages for clients have largely dried up.

Su Casa had been using an ITIN program from the Bank of Bartlett, but Romo said the bank ended the program this year after the mortgage insurer it was using made a national decision to stop insuring the loans.

Bob Byrd, chairman and chief executive officer for the Bank of Bartlett, was unavailable for comment Friday.

One of the few ITIN programs still available to Su Casa is through Banco Popular, a Puerto Rican firm. It has tightened its lending requirements to the point that none of Su Casa's 19 agents is using its program, Romo said.

Romo spoke on the eve of the grand opening of Su Casa's new offices in a two-story house in Hickory Hill.

The firm recently closed two small offices and plans to focus its efforts on serving legal immigrants, he said.

He says Hispanics from places like Chicago and Florida are coming to Memphis because homes are cheaper.

Romo said he's done with ITIN mortgages for now. "It's better to invest your time with people with bad credit now than with the ITIN number."

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Romo spoke on the eve of the grand opening of Su Casa's new offices in a two-story house in Hickory Hill.

The firm recently closed two small offices and plans to focus its efforts on serving legal immigrants, he said.

That's what you should have been doing all along, traitor.

How do they verify employment of someone who stands on the street corner every day waiting for some a**h*** to pick them up? Do you think WE would be able to get a loan like that?? HELL NO. The invaders have their own set of rules. They have it better than we do.

Originally Posted by ourcountrynottheirs

How do they verify employment of someone who stands on the street corner every day waiting for some a**h*** to pick them up? Do you think WE would be able to get a loan like that?? HELL NO. The invaders have their own set of rules. They have it better than we do.

Right! I also have a feeling these are some of the very people who have gone into foreclosure and to which our government wants to bail out.
Illegal invaders have no right to any help if such help is delivered from tax dollars.

I hope those 60 loans go into foreclosure.

Originally Posted by ourcountrynottheirs

How do they verify employment of someone who stands on the street corner every day waiting for some a**h*** to pick them up? Do you think WE would be able to get a loan like that?? HELL NO. The invaders have their own set of rules. They have it better than we do.

Actually, that's come to an end also. I was just reading something about it. Because of the amount of mortgage fraud, lenders are not even trusting the documents people hand over as "proof" of income or anything else.

The lenders are physically doing the checking themselves, up to and including calling the IRS for their documentation and that is what they use. Because of this, here in AZ alone, just in the past few months, 19 attempted mortgage frauds have been uncovered. Nationally I'm sure the number is much higher.

This was probably one of the main factors behind this realtor's decision to go legitimate. He knows the "traditional methods".....translate:fraud.....of getting illegals into homes just isn't going to work anymore.

I hope he goes under faster than Titanic.

We all could have told them this was going to happen a year ago...they get deported and its all over, we should not be supporting the banks after these unlawful practices...they were aiding and abetting illegal activity.

Federal law still allows banks to offer mortgages to illegal immigrants. Banks have typically required these immigrants to present an individual tax identification number, or ITIN.

This has to change immediately! what's to prevent these ilegal invaders from simply walking away from these loans and high tailing it back to their beloved Mexico. Banks should not be bailed out on any loan they made which involved an ITIN Number!

Home loans are just part of the picture. What about all those auto loans the illegals took out to buy their Expeditions? They just have to drive it across the border where we have no jurisdiction.

And how about the credit card companies?? All the illegals have to do is go home. They're not worried about their steekin' credit rating.

AND OUR STUPID GOVERNMENT WILL BAIL THESE COMPANIES OUT WITH OUR MONEY!! Why do we have to bail out private companies anyway? Is it our fault they were greedy and lax on their security checks? Why do we have to pay for their CEO's stupid decisions? They should be allowed to fail, just like any business. Their stockholders should take the hit, not us. I don't see the gov't bailing out small Mom and Pops businesses. IS THERE SOMETHING WRONG WITH THIS PICTURE?????

Originally Posted by Ex_OC

Home loans are just part of the picture. What about all those auto loans the illegals took out to buy their Expeditions? They just have to drive it across the border where we have no jurisdiction.

And how about the credit card companies?? All the illegals have to do is go home. They're not worried about their steekin' credit rating.

AND OUR STUPID GOVERNMENT WILL BAIL THESE COMPANIES OUT WITH OUR MONEY!! Why do we have to bail out private companies anyway? Is it our fault they were greedy and lax on their security checks? Why do we have to pay for their CEO's stupid decisions? They should be allowed to fail, just like any business. Their stockholders should take the hit, not us. I don't see the gov't bailing out small Mom and Pops businesses. IS THERE SOMETHING WRONG WITH THIS PICTURE?????

Absolutely Ex OC !.I forgot about all the auto loans, credit cards, etc these people have been given access to. They can simply walk back to Mexico. What can anyone do then? I highly doubt these companies are going to track these scoflaws down in mexico to recoup the debt.

I suppose we as American Citizens will once again be called upon to cover the losses through higher premiums, interests rates, etc...