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TITLES TITLES TITLES TITLES
Company Stops Insuring Titles in Chase Foreclosures
By DAVID STREITFELD
Published: October 2, 2010
A major title insurance company has stopped insuring homes foreclosed by JPMorgan Chase, another sign that the controversy over the legal practices of the big lenders is starting to influence the housing market.
The company, Old Republic National Title Insurance, told its agents Friday that it would not write policies on foreclosed Chase properties until “the objectionable issues have been resolved,” according to a memorandum sent out by the firm’s underwriting department.
A Chase spokesman declined to comment. Old Republic executives did not return calls for comment. The title insurer, which is based in Minneapolis, said earlier in the week that it would not write policies for properties that had been foreclosed by another big lender, GMAC Mortgage.
As GMAC and Chase try to deal with questions over their legal methods, they have halted all foreclosures in the 23 states where they need a court’s approval. Late Friday, Bank of America said it would stop all its pending foreclosures in those states as well.
GMAC and Bank of America have declined to say how many cases are involved. Chase said it was halting 56,000 cases. About two million households in the country are in foreclosure, and millions more are on the verge.
For the rest go here…
Relatives of mine are involved in two foreclosures in Florida. After reading about the banks “securitizing” notes on people’s homes and using Mortgage Electronic Registration Systems (MERS) instead of filing records at the county courthouse, I visited a local title company. I asked them how the verify things nowadays. I was told that they “just call the bank.” I was baffled.
When you open the door for crooks, they will come in.
Wow. (on “just call the bank”)
I just discovered that the statutory agent for the title company listed on the fraudulent assignment is a daughter of the law firm tycoon who initiated the foreclosure for BAC.
This oughta’ be fun!
Reading over civil rules today, need to file leave and notice for third party claim tomorrow. Counterclaim against BAC is ready to go.