This doodie nugget on why banks are dragging their heels singing “Tra-la-la” to desperate homeowners begging banks to accept short sales needs a bigger scooper than Petco sells.

In fact, Tony Soprano’s waste business couldn’t handle this load.

~ Miki

Dear Miki:

Here’s a hot story for you on a subject you may want to research because it is right up your alley, and few people (realtors included) know about it.

A real estate agent, having the professional designation of Certified Depressed Property Expert (CDPE), e-mailed me a letter he wrote to senators and congressmen regarding a Federal Deposit Insurance Corporation (FDIC) Loss Share Program.

He gave me permission to spread the word:

“I respectfully ask you to please look into the matter of Loss Share Programs that the FDIC has put in place, in an effort to sell failed banks to Wall Street Fat Cats.

“IndyMac was taken over by the FDIC, and sold to OneWest Bank in March 2009. The FDIC hand-picked CEO is Terry Laughlin, who previously headed Merril Lynch Bank & Trust.

“As part of the deal, OneWest acquired IndyMac’s mortgage portfolio for 70 cents on the dollar.

“The Loss Share Program Agreement states that if/when one of these mortgages fail, the FDIC will cover anywhere from 80 to 95 percent of the loss incurred by OneWest.

“I’m a real estate broker, and my company is doing nothing but trying to keep folks out of foreclosure, primarily through a short sale. I’m working with one of my clients going through a divorce who has been unemployed for almost two years, and has three kids. He owes $478k on his mortgage, and could not continue to make payments. After 30 days, we received a a short-sale all-cash, no-contingencies offer at $275,000. After fees, the deal netted OneWest $241,000.

“OneWest, after 60 days, came back to us, saying they would accept the deal, but my client would have to agree to a $75,000 promissory note, to be paid over the next 10 years, interest free. My client has less than $2,000 to his name, and obviously has no incentive to pay $700 per month for the next 10 years for a house he no longer owns.

“The original loan balance was $478k, plus six months of missed payments, for a total of $485k. OneWest paid approximately $335,000 for the loan. They will get a check from the buyer for $241,000. They will then get a check from the FDIC for $195,360 (80 percent of the difference between the original loan balance and the price paid for the home) for a total of $436,360.

“Under the FDIC Loss Share Program with OneWest, they will net a profit of $101,360 … and they have the guts to tell my client that they will only approve it if he agrees to another $75k! Instead, it will now go to foreclosure.

“So, OneWest takes a $100k profit from the FDIC, and my client now has a foreclosure on his record, which will keep him from buying a home for the next five to seven years, and could affect any future employment.

“IndyMac/OneWest isn’t the only bank that currently has a Loss Share Agreement in place. A recent article in the Wall Street Journal said this program will cost the FDIC six times the amount they currently have set aside for it. This egregious behavior needs to stop.”

I’ll be writing to my senators and congressmen, too.

~ Folsom Realtor

Dear F. R.:

No wondering here why FDIC Chairman Sheila Bair recently announced her agency is considering borrowing from the U.S. Treasury.

Thanks for helping me get in touch with the letter’s author. I asked the agent why his client was being strong-armed to sign a promissory note when California and 11 other states are non-recourse mortgage states and borrowers are not held personally liable for more than the home’s value at the time the loan is repaid. He said in some cases anti-deficiency statutes do allow lenders to collect a limited amount of money from the borrower.

Non-recourse laws apply only to purchase money loans (i.e. original home loans used to purchase property.) Almost all Home Equity Line of Credits (HELOCs) and home equity loans are considered recourse loans, and lenders for these loans may sue borrowers to recoup loss.

The letter’s author has kicked up so much dirt on the Loss Share Program that he said he had received a ring-a-ding from the public relations firm representing OneWest informing him and his client that out of the goodness of their hearts, OneWest will waive the $75k promissory note and authorize the short sale.

Almost brings a tear to your eye, doesn’t it?

Real estate agent Miki Garcia can be reached at askmikigarcia@yahoo.com.