Attorneys general from all 50 states have put on a “bi-partisan multistate group” to investigate if faulty procedures were used to sign foreclosures which lead to evictions, as the foreclosure freezes extend with GMAC, one of the largest mortgage providers, deciding to review its procedures at a nationwide level. Bank Of America has already imposed a “freeze” on all of its foreclosures.
I could be wrong, but when all the huffing and puffing is done, I bet 99.99999% of the foreclosures were against people seriously behind on their mortgage payments and in default on those mortgages.
If that is true, then what is accomplished? Is this a version of the predicted “October Surprise” to absolve all mortgages? At least until the election is over?
Has anyone noticed the low prices that foreclosed houses are getting at auction. I bet the banks have been looking for an excuse to put those auctions on hold for a while to let prices rise.
Raising questions about the validity of titles ( who owns YOUR mortgage?) is not going to increase the value of foreclosed property.
And forgiving mortgages because the title is questionable would put even more of a burden on the people that didn’t get into speculative trouble and can still afford theirs. This October surprise won’t help anyone.