EXPERIENCE
SPECIAL MASTER 2009-present Superior Court of California for Santa Barbara County Santa Barbara, CA.
Tasked with asset liquidation and restitution to victims of a major real estate fraud.
PRESIDENT 1993-present
Eric Forster Inc. Los Angeles, CA.
1. Property sales, Property Management and leasing.
2.
Production, processing and underwriting mortgage loans for residential,
commercial and industrial properties. Ensuring compliance with investor
guidelines (FNMA, FHLMC, portfolio). Instituting Quality Assurance
procedures and full compliance with HUD and DRE regulations. Training
and supervising loan officers.
PRINCIPAL 1997-PRESENT
Forster Realty Advisors Los Angeles, CA
Litigation consulting concerning:
Mortgages and real estate finance.
Real Estate industry standards and practices.
Lenders/Borrowers standards and practices.
Plaintiff and Defense strategies concerning breach of contract and/or fraud.
Mortgage fraud litigation.
Credit underwriting (commercial & residential loans)
Brokers' malpractice issues; conflicts of interest
Commission compensation issues
Fannie Mae/Freddie Mac credit score & automated underwriting issues.
Education
MEMBERSHIP
American Bar Association (Litigation, Real Estate and Dispute Resolution)
Editorial Board - ABA Dispute Resolution Magazine
Institute of Forensic Science and Public Policy - AJS
CA DRE Broker License No. 827388
Freddie Mac Automatic Underwriter & Seller No. 121555
Board of Directors, American Youth Hostels-LA
Recent Honors
Los Angeles City Attorney (2008)
Sample of Cases handled
Real Estate:
Implied Warranty (for Defendant): Plaintiff operates a celebrity rehab facility in Malibu, out of a $40 million leased estate. Although the estate is used for commercial purposes, Plaintiff claimed a residential-use Warranty of Habitability.
Standards
of care (for Plaintiff): Defendant (owner/agent) accepted Plaintiff’s
offer to purchase Defendant’s home, as part of a multiple-offer
situation. He then changed his mind, and signed a second acceptance on
another offer. Plaintiff sued the seller and the national realty firm
for which he worked.
Fraud (for Plaintiff): Plaintiff lent money
to a friend for a down payment on a home purchase,to be repaid in 3
years. The lender required it to be a gift and not a loan, and
Plaintiff agreed to sign a bank form to that effect. Defendant relied
on that form in refusing to pay back the loan.
Standards of care
(for Plaintiff): Plaintiff purchased a home using the services of a
realtor, who referred Plaintiff to a mortgage broker to arrange for a
mortgage. After the closing, Plaintiff discovered that the terms of the
loan had been misrepresented, and that mortgage broker and realtor
failed to disclose that mortgage broker was an employee of the realtor.
Mortgage/Finance:
Standards
of Care (for Plaintiff): Plaintiff-Borrower sued both lender and
mortgage broker for approving a loan for which Plaintiff was clearly
not qualified and which ended in default.
Fraud (for Defendant):
Lenders evaluation of income shown on loan application in stated income
loans, where income documentation is not required. Is the income shown
on the application the projected income for the coming year, or must it
reflect last years income?
Standards of care/Fraud (for
Defendant): Defendant (mortgage broker) used the same appraiser for
many of his loans. Plaintiff (lender) claimed that it was the
Defendants duty to personally inspect the comps used by the appraiser
in arriving at his valuations, and confirm their validity.
Standards
of care (for Plaintiff): Plaintiff purchased a home with a 30-year
fixed rate mortgage. Five years later, Defendant (lender) notified
Plaintiff that her loan would revert to an adjustable loan since the
fixed period was for five years only. Lender could not document the
reasons for using the wrong trust deed forms.
Publications by Eric Forster
Editor:
Mortgage Forensics
(www.mortgageforensics.wordpress.com)
Mortgage issues in courts of law - fraudulent application, loan origination and underwriting.
Books
The Mortgage Applicants Bible (2000 edition. ISBN 0-595-09171-7)
Articles
Israel Shelanu/Shalom L.A. Real Estate advice column 1989-2007. Approx. 650 articles.
For Real Estate Today (National Association of Realtors publication):
Are ARM Borrowers Overpaying? Real Estate Today 9/92
Chart a Course to Smart Real Estate Investing Real Estate Today 9/93
For AOL OReilly Publishing Personal Finance Center Buying a Home series:
Buying a Home: Buy v. Rent Considerations 5/95
Buying a Home: Meet Your Realtor 5/95
Buying a Home: Financing Available 6/95
Buying a Home: Who Are The Lenders? 7/95
Buying a Home: Qualifying for the Loan 7/95
Buying a Home: Your Credit 8/95
Buying a Home: Appraisal Considerations 9/95
Shopping for Rates in a Fixed Market 1/96
For AllExperts.com (A New York Times Company):
Real Estate / Finance Q&A Articles 2004-Present. Approx. 400 articles.
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