September 05, 2013
By Carole A. Parks
On a beautiful summer afternoon, Patricia Hill hears the loud “pop” sounds signaling that the White Sox have hit a home run. She pauses in her yard work a few blocks south of U.S. Cellular Field.
“I’m not a big baseball fan,” she acknowledged, “but I can appreciate a game where everybody plays by the same rules.” She wishes the same were true in the contest to eject her from property she acquired and has lived on for nearly 20 years.
The lot Hill bought at 3811 S. Wabash Ave. includes a two-story house with a small cottage in back. Like many 19th century vintage structures in Bronzeville, Hill’s needed substantial work. In 2003, she obtained a lower fixed-rate mortgage, intent on using the savings to further upgrade her home.
About five years later, Hill’s monthly statement from Saxon Mortgage Services Inc. increased by $500. According to Hill, Saxon explained it covered homeowner’s insurance, which her carrier confirmed she already had. Hill said Saxon led her to believe it would make the correction. Saxon subsequently returned her third payment of the usual amount, warning her account was now in arrears.
Though not the typical victim of predatory lending, Hill soon discovered herself caught between bases in the detritus of the 2006-08 housing market crash.
A retired law officer and physical education teacher, former executive director of the African American Police League and well known community activist, Hill “sent a letter about my case to every public official who might have a role,” she said. “Some agreed they saw ‘irregularities.’ They referred me to agencies supposed to negotiate loan modifications on my behalf, which I worked through from January to September 2010. The mediators presented me a revised interest rate substantially less than what I’d had no problems paying before all this started—then turned me down on the basis of ‘insufficient’ income.”
At Saxon’s direction, Hill began dealing with the firm directly in spring 2011. “In July, a representative from Chicago Realty Partners comes by to see if the place is occupied, stating the house has been sold,” Hill said. “This is a month before I receive by mail a judicial sales hearing notice with a court date in two weeks.”
When she attended, Saxon was there on behalf of BNY Mellon. In January 2012, a judge granted Mellon’s request for an order for possession, scheduled for execution in 120 days.
After failing to get relief through the Federal Home Affordable Modification Program, Hill decided to attempt repurchasing her home. Her research indicated Mellon had sold it to itself for about a third of its 2010 appraised value, listing her as the mortgagee and owing $250,000. She contacted Saxon, which referred her to Chicago Realty Partners.
Eviction attempt
A little before noon on March 9, however, deputy sheriffs arrived to evict Hill and post notice trespassers faced criminal prosecution. Chicago Realty representatives were on hand to take possession. Police came to monitor the situation. So did supporters of Hill’s rights. “They filled every room — as many as 100 at one point—blacks, whites, Latinos,” Hill recalled. “Many came prepared to stay for two weeks. We strategized and Skyped with people in San Francisco, Atlanta, Boston, Minnesota. It was phenomenal. People move when they are morally, spiritually correct, on the high ground — even though it seems a David and Goliath fight.”
At the conclusion of that day’s seven-hour standoff, Hill continued residence in her home, as did her tenants in the cottage in the back. “Three days later I received a message from Chicago Realty, stating they no longer had any interest in the property,” Hill said. “All my efforts gone out the window. They set you up, then leave the scene. It’s a scam.” She received word later her home had been transferred to Ocwen Financial Services, which she said would not honor any agreements she had with its predecessor.
On July 10, Hill’s 62nd birthday, authorities showed up in numbers to ensure that this time the house would be vacated and padlocked. By now, Hill had become a hero to advocates of fair housing practices and human and civil rights as well as a subject in media questions.
Attorney Robert Anderson has handled property disputes for 40 years. In his opinion, “The plaintiff [Mellon] did not do what they were supposed to [in 2008] when Pat produced evidence of insurance,” he said. “Everything that happened after stems from that. We want the circuit court to reverse the foreclosure. We’ve had to go back and make a motion to unseal the files, so the appellate court could review for irregularities.”
A Morgan Stanley representative confirmed its subsidiary Saxon has ceased the majority of its operations and is no longer servicing loans. A spokesperson for BNY Mellon confirmed, “We are the trustee in this instance” and referred any questions to Ocwen, whose spokesperson responded, “Ocwen became responsible for the servicing of this loan after there was a court order to vacate the property. The previous servicer’s attempts to create a workable modification unfortunately did not work out…. Despite not being successful in this case, we have offered Ms. Hill relocation assistance.”
“Whether it’s hedge funds financing charter schools or investment bankers buying up foreclosed homes by the thousands, we’re seeing different parts of the same octopus,” said Tom Tresser of CivicLab, a nonprofit dedicated to increasing civic engagement and government accountability.
The Cook County Sheriff’s Office stated it carried out Hill’s evictions properly. According to the office’s website, “Cook County State’s Attorney’s Office has advised the sheriff’s office that it must attempt to enforce all foreclosure eviction orders that are signed by a judge — even if a review by sheriff’s staff reveals irregularities in the file. The state’s attorney advised that, once a judge signs an eviction order, it is presumed to be valid.”
Third Ward Ald. Pat Dowell would not speak to the specifics of Hill’s case, stating, “that’s typically a private negotiation between owner and bank. From my perspective, I believe Bronzeville has seen the worst of the foreclosure situation. The amount of filings has gone down. Over the last six months, about 25 to 30 foreclosures reached the end of process, with servicers taking over and going through the court system.”
Hill seems at peace with her uncertain status and is prepared to face the trespassing charges her financial opponents have in their arsenal. “I have continued to maintain access to the yard and rear cottage,” Hill said. “On August 17, we regained access to the front house. I am now back living where I belong.”
Source: Chicago Anti-Eviction Campaign
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