Home equity theft is not something that happens when someone steals your identity or tricks you through a phising attempt. It is when the Government uses legal methods to steal from you – and it is a bad thing.
Fasten your seat belts folks, today we get a classic Rebelbroker rant podcast!
Set The Stage
Let’s play pretend for a moment. You find yourself in a situation where you are behind on your property tax payments. You owe $5,000 dollars. One thing leads to another and the state is going to take your property and sell it to pay your tax debt.
The state does its thing and sells your home for $500,000. Expecting to get a check for $495,000, you wait patiently at your mailbox for that payment. Surprise! It will never arrive. That’s right, the law says that no matter how little you owe, the government gets to keep ALL of the proceeds from the sale of your home! It is all legal and you are screwed.
To make it even worse, you later find out that a business was allowed to buy your home for what you owed – $5,000! Of course, the fact that this buyer was a HUGE political contributor to those that decided who gets to buy your home had nothing to do with it. Don’t even suggest that crazy conspiracy theory you nutjob!
Not All Hope Is Lost
Right now the Pacific Legal Foundation is fighting this practice of home equity theft in front of the Supreme Court. Even better, the Justices seem swayed by the arguments made against allowing this practice. I suppose the only true mystery is how this even found its way to the Supreme Court – just imagine all the courts that reviewed this prior to the Supreme Court getting involved who ruled that home equity theft was legal and constitutional!