Author Topic: Foreclosuregate  (Read 406 times)

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Offline formerlurker

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Foreclosuregate
« on: October 11, 2010, 04:23:38 PM »
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Title insurers have backed the titles of millions of these foreclosed properties and now potentially find themselves in a heap of trouble.  Some of the biggest title insurers have already begun circling the wagons in an attempt at damage control.  For example, one of the biggest title insurance companies in the United States, Old Republic National Title Insurance, has already declared that it will no longer write new policies for homes that have been foreclosed on by JPMorgan Chase and GMAC Mortgage.

So what happens if nearly all title insurers start avoiding foreclosed properties?

Won't that make it much more difficult for the banks to sell the massive backlog of foreclosed properties that they have accumulated?

In addition, Americans that have purchased foreclosed homes may now be facing some serious problems themselves.  Millions of Americans may now "own" homes that they do not have clear title for.  When it comes times to sell those homes, many Americans may find themselves unable to do so.

http://blacklistednews.com/Foreclosuregate/10991/0/5/5/Y/M.html

Offline formerlurker

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Re: Foreclosuregate
« Reply #1 on: October 11, 2010, 04:27:01 PM »
Not familiar with the source (looks a little loony).   Read this on FR and thought the excerpted section was interesting.