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Wgu Gke Task 2

Decent Essays

• Loss of any insurance payout for damages relating to the property (the property requires complete demo and therefore is a total loss). The amount of the loss depends on what the insurer would deem as the value of the structure (RMS does not know the square footage of the property but for a total loss it would be XXX sqft x YYY cost to rebuild (including structure, machinery, equipment, fixtures, floor covering, appliances), plus debris removal (demolition costs) less deductible and less depreciation;

• Since the claim was not filed, the Trust will also incur post-acquisition expenses, including costs to demolish the property, which would have been paid by the insurer (the current bid for demo is $25,000);

• In our opinion, if the claim has been filed, Ocwen should not have foreclosed (and it is likely the total debt would have been paid in full). As a result, it opened the Trust up to ownership of the property, code violation expenses and all …show more content…

RMS also asked if Ocwen inspected pre-foreclosure? Ocwen was not on the call regarding how this proceeded through foreclosure. Regarding the insurance claim and demo, Altisource indicated they received only 1 bid and it was very high ($55,000). They are obtaining 2 more bids. Regarding the insurance claim, Altisource again confirm a fire claim was paid out on 4/27/2012 IAO $22,745.86 (with a policy limit of $239,000). RMS indicated this did not seem sufficient and asked if there was possibly another fire, as the demo bid alone (excluding the fact Altisource feels it was high) far exceeds the payout. In addition, based on the insurance payout comments provided by Altisource, the damage did not appear significant enough to warrant demo (much of the claim was said to be interior, with a lot of smoke damage). RMS indicated there needed to be more investigation as this did not make

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