A Mortgage-Backed Security Map: The Fantastic Fate of One Man’s Loan

The complexities of getting or refinancing a mortgage are many: the broker you can or can’t trust, the screening of your income and credit, the appraisal, the fear that rates will rise before approval, the title search, the paperwork at closing…

That’s what the homeowner sees. But out of sight and mind have been complexities greater still — until now. Banks have moved massively to foreclose. Homeowners have struggled desperately to resist. And finally, they’ve found a weapon: robo-signers who paid even less attention to the paperwork, it seems, than the homeowners themselves, throwing the legality of the foreclosure process itself into doubt. The deeper you look into the intricate details of securitization, however, the more sympathy you may have for homeowners and robo-signers both.

Consider the case of homeowner Daniel Edstrom, who happens to perform securitization audits for a company called DTC-Systems. With a background in computer technology, Edstrom figured he’d look into the history of his own mortgage.

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