New Insight After Dinner With A Real Estate Attorney Last Night
New Real Estate Closing Documents Streamline The Process And Make It Easier For You To See The Numbers
Title Insurance More Difficult To Obtain On Some Foreclosures
I had dinner and a fine premium cigar with my favorite local settlement attorney last night. He is Marc Wiltshire
with RGS Title, Lake Ridge Office.
Nice folks like you like Marc's style at closing; He is a gentleman in every way; He has a gift for making sense of complex, redundant documents; Marc is smooth and trustworthy.
We also compared notes on the topic of obtaining title insurance (or not obtaining title insurance) for homes sold by sellers who had securitized home loans that were chopped up and sold in packages of mortgage backed securities (MBS).
We have seen situations in which a buyer buys a home that was sold by the seller as a short sale. In a short sale, the bank takes a pay-off for the loan that is lower than the outstanding loan balance.
Suddenly, two weeks later, the new owner receives notice that another bank claims to have a mortgage on that house, a mortgage that is in default, and the owner must pay-up or face foreclosure.
Title insurance is your assurance that claims by other parties are handled by the title insurance company, and hold you harmless from claims by other parties.
With such situations becoming more common, many title insurance companies are not issuing policies on foreclosed properties that have securitized loans.
The good news for you is IF another bank claims an interest in your home you just purchased, all you have to do is call your title insurance company, and they shall provide the attorneys and the funds to protect your ownership of the property, and keep you in your home.
CLICK HERE NOW to search the Multiple Listing Service (MLS) for homes for sale in and around Woodbridge and Prince William County.
"Hey Erick, I have a question...."
Contact Peggy James or Erick Blackwelder of Erick and Company of Exit 1st Choice Realty, Woodbridge VA. Realtors®, call 703-851-3085(Peggy)703-590-2252 (Office).
Give us a call and we can "GET YOUR HOME SOLD FAST".
You can hire us to sell your home in Woodbridge, Lake Ridge, Westridge, Old Bridge Estates, River Falls, Middle County, Manassas, Gainesville, Garrisonville, and Triangle.
You can hire us to help you buy a home throughout all of Prince William County Virginia. Manassas Park, Haymarket, Montclair, Dumfries, Quantico, Fort Belvior, Occoquan, and Dale City.
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Wow. I had not heard this but I can certainly see how it could become an issue. It will be interesting to see how many people may be affected by title companies not offering title insurance on foreclosed properties.
I hadn't heard of these incidents either, but that's horrible! All my transaction involve title insurance.
It all boils down to one simple situation when selling a house that has a securitized loan on it... The loan has been sliced and diced into many pieces, then spread across dozens of Mortgage Backed Securities (MBS).
Who tracked where those pieces went? NOBODY!
The loan servicer is just a "pretender-lender" and the trustee is a "pretender-trustee".
Home owners are getting letters of default that specifically say that the wet copy original note has been lost, misplaced, or destroyed. Same with the deed of trust.
95% of home owners receiving the note fold faster than cheap lawn furniture.
The other 5% are delivering notice to the pretender-trustee, saying "Take me to court".
The banks are often letting the folks who are ready to fight stay in their homes because if they go to court, they will lose.