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78 STATE OF AFFAIRS: NORTHEAST » Connecticut RANK: 6 90+ Day Foreclosure Unemployment Delinquency Rate Rate Rate JANUARY 2014 2.71% 3.84% 7.2 YEAR AGO 3.18% 5.00% 8 YEAR-OVER-YEAR CHANGE -15.0% -23.2% -0.8 Top County WINDHAM COUNTY 90+ Day Foreclosure Delinquency Rate Rate JANUARY 2014 4.22% 6.35% YEAR AGO 4.35% 7.75% YEAR-OVER-YEAR CHANGE -2.9% -18.1% Top Core-Based Statistical Area WILLIMANTIC, CT 90+ Day Foreclosure Delinquency Rate Rate JANUARY 2014 4.22% 6.35% YEAR AGO 4.35% 7.75% YEAR-OVER-YEAR CHANGE -2.9% -18.1% note: The 90+ day delinquecy rate is the percentage of outstanding mortgage loans that are seriously delinquent. The foreclosure rate is the percentage of outstanding mortgage loans currently in foreclosure. State rank is based on the January 2014 foreclosure rate. All fi gures are rounded to the nearest decimal. The unemployment rate refl ects preliminary January 2014 fi gures released by the Bureau of Labor Statistics. All other data courtesy of LPS Data & Analytics. Connecticut Planet Realty, LLC Sales@CTREOTEAM.com 203-982-4985 cell www.CTREOTEAM.com Security • Preservation • Disposition Steve Rivkin IN THE NEWS CFPB Orders Payout for RESPA Violations e Consumer Financial Protection Bureau (CFPB) announced in a press release in March that it has ordered 1st Alliance Lend- ing, LLC (First Alliance) to pay an $83,000 civil money penalty for violating federal law. e company illegally split real estate settlement fees, leading to the CFPB ordered payout. First Reliance self-reported the violations to the Bureau, admitted liability, and provided information related to other actors that helped facilitate other investigations. "ese types of illegal payments can harm consumers by driving up the costs of mortgage settlements," said Richard Cordray, CFPB Director, in the release. "e Bureau will use its enforcement authority to ensure that these types of practices are halted. We will, however, also continue to take into account the self-reporting and cooperation of companies in determining how to resolve such matters." First Alliance is a mortgage lender in East Hartford, Connecticut, that provides loss- mitigation financing to distressed borrowers. e company obtains troubled mortgages from services, and reaches out to consumers to offer new loans at reduced principal amounts under federally related mortgage programs. Trouble began when First Alliance began using a hedge fund to finance its loans in 2010. e release notes, "Under this arrangement, First Alliance split revenues and fees with affiliates of the hedge fund. In 2011, First Al- liance secured less costly financing and ended its arrangement with the hedge fund and its affiliates." e report continues, "Although the hedge fund and its affiliates no longer financed First Alliance's mortgages, First Alliance continued to split origination and loss-mitigation fees with them. e hedge-fund affiliates received payments from 83 First Alliance loans made between August 2011 and April 2012." Under the Real Estate Settlement Proce- dures Act (RESPA), a person is banned from paying or receiving a portion or split of a fee that has not been earned in connection with a real estate settlement. First Alliance reported to the Bureau the violations in 2013, and the Bureau found that First Alliance had indeed violated RESPA. e CFPB notes, "First Alliance's self- reporting and cooperation, consistent with the Bureau's Responsible Business Conduct bulletin published on June 25, 2013, were taken into account in resolving this matter." Delaware RANK: 13 90+ Day Foreclosure Unemployment Delinquency Rate Rate Rate JANUARY 2014 3.41% 2.63% 6.1 YEAR AGO 3.86% 3.16% 7 YEAR-OVER-YEAR CHANGE -11.6% -16.7% -0.9 Top County KENT COUNTY 90+ Day Foreclosure Delinquency Rate Rate JANUARY 2014 5.15% 3.67% YEAR AGO 5.50% 4.08% YEAR-OVER-YEAR CHANGE -6.5% -9.9% Top Core-Based Statistical Area DOVER, DE 90+ Day Foreclosure Delinquency Rate Rate JANUARY 2014 5.15% 3.67% YEAR AGO 5.50% 4.08% YEAR-OVER-YEAR CHANGE -6.5% -9.9% note: The 90+ day delinquecy rate is the percentage of outstanding mortgage loans that are seriously delinquent. The foreclosure rate is the percentage of outstanding mortgage loans currently in foreclosure. State rank is based on the January 2014 foreclosure rate. All fi gures are rounded to the nearest decimal. The unemployment rate refl ects preliminary January 2014 fi gures released by the Bureau of Labor Statistics. All other data courtesy of LPS Data & Analytics. District of Columbia RANK: 20 90+ Day Foreclosure Unemployment Delinquency Rate Rate Rate JANUARY 2014 2.50% 2.31% 7.4 YEAR AGO 3.40% 2.43% 8.6 YEAR-OVER-YEAR CHANGE -26.4% -5.2% -1.2 Top County DISTRICT OF COLUMBIA 90+ Day Foreclosure Delinquency Rate Rate JANUARY 2014 2.50% 2.31% YEAR AGO 3.40% 2.43% YEAR-OVER-YEAR CHANGE -26.4% -5.2% Top Core-Based Statistical Area WASHINGTON-ARLINGTON-ALEXANDRIA, DC-VA-MD-WV 90+ Day Foreclosure Delinquency Rate Rate JANUARY 2014 2.27% 1.65% YEAR AGO 1.62% 0.88% YEAR-OVER-YEAR CHANGE 40.7% 87.6% note: The 90+ day delinquecy rate is the percentage of outstanding mortgage loans that are seriously delinquent. The foreclosure rate is the percentage of outstanding mortgage loans currently in foreclosure. State rank is based on the January 2014 foreclosure rate. All fi gures are rounded to the nearest decimal. The unemployment rate refl ects preliminary January 2014 fi gures released by the Bureau of Labor Statistics. All other data courtesy of LPS Data & Analytics. Completed Foreclosures over 12 Months, Ending January, 2014 Source: Corelogic National Foreclosure Report STAT INSIGHT 4,481