Thursday, August 19, 2010

HOMEOWNERS' REBELLION: COULD 62 MILLION HOMES BE FORECLOSURE-PROOF?

Having been in mortgage lending for 18 plus years, I am familiar with MERS as just a piece of the mortgage business. For those that don't know, MERS is the Mortgage Electronic Registry System which allows for the easy transfer of a mortgage from one party to the next. For example, ABC Mortgage Co funds a mortgage for a homeowner, they can easily sell it to XYZ Investor without recording new assignments with the local recorders office.

Unfortunately for mortgage companies, this has created some legal issues as judges deal with foreclosure proceedings. The problem according to MERS opponents is that it is not clear legally who holds the mortgage. Therefore it is not clear who can foreclose.

HOMEOWNERS' REBELLION: COULD 62 MILLION HOMES BE FORECLOSURE-PROOF?

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