Part I The Hook: An Appalling Impac, Chicago Title & IndyMac Lending Story
Originally posted April 21, 2008...
Dee and her family were renting a home across the street from A. Pauling.
In 2004, the owners of the rental house decided to cash in on the real estate bonanza and sold for $600K.
This left Dee and her family scrambling to find a place to live. A. Pauling saw an opportunity, and invited Dee's family to move in with him, temporarily.
This is when the nightmare's for Dee, her husband SV and son SV Jr. began. With 4 people, 1000sf and 1 bathroom, the quarters were cramped. A. Pauling had a solution. He suggested that they borrow against the home for a remodel and addition.
They could build up and add enough room so everyone could be happy under one roof, for many years to come.
Dee obligingly drafted a one line letter giving her father permission to take out “a loan” against the home for “the sole purpose of making improvements to the home”.
A. Pauling took the letter to WORLD S&L (Now WACHOVIA) and obtained a loan for $303K, as the trustee of Big Red's Trust.
In another seeming act of good faith, A. Pauling even signed a document purporting to disclaim any interest and rights in the residence or the trust itself.
A. Pauling spent $15K to have plans drawn and see pull permits. The city approved, much to the delight of Dee's family.
A gleeful A. Pauling, then took Dee and her family on trips to Europe and Hawaii. A good time was had by all, and all was well on I LOV IT Drive, or so it seemed.
Everyone under the same roof was a cozy idea, but hardly what Mr. A. Pauling really had in mind for spending his golden years.
More to come in Part II: The Tale
Preface & Introduction
Dee and her family were renting a home across the street from A. Pauling.
In 2004, the owners of the rental house decided to cash in on the real estate bonanza and sold for $600K.
This left Dee and her family scrambling to find a place to live. A. Pauling saw an opportunity, and invited Dee's family to move in with him, temporarily.
This is when the nightmare's for Dee, her husband SV and son SV Jr. began. With 4 people, 1000sf and 1 bathroom, the quarters were cramped. A. Pauling had a solution. He suggested that they borrow against the home for a remodel and addition.
They could build up and add enough room so everyone could be happy under one roof, for many years to come.
Dee obligingly drafted a one line letter giving her father permission to take out “a loan” against the home for “the sole purpose of making improvements to the home”.
A. Pauling took the letter to WORLD S&L (Now WACHOVIA) and obtained a loan for $303K, as the trustee of Big Red's Trust.
In another seeming act of good faith, A. Pauling even signed a document purporting to disclaim any interest and rights in the residence or the trust itself.
A. Pauling spent $15K to have plans drawn and see pull permits. The city approved, much to the delight of Dee's family.
A gleeful A. Pauling, then took Dee and her family on trips to Europe and Hawaii. A good time was had by all, and all was well on I LOV IT Drive, or so it seemed.
Everyone under the same roof was a cozy idea, but hardly what Mr. A. Pauling really had in mind for spending his golden years.
More to come in Part II: The Tale
Preface & Introduction
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