Friday, May 6, 2011
No easy answers in the foreclosure mess
Michigan's appeals courts took away MERS' legal standing to foreclosure last month (see here). But now, sales of foreclosed homes are fallling through because of the increased risk of insuring them. Future court decisions may give former homeowners, who defaulted on their loans, ownership rights. What a mess.
Subscribe to:
Post Comments (Atom)
MERS is a mess. This is a system that needs to be restructured for the sake of community re-building. No one seems to have the answer. Smaller banks pattered themselves on on the giants that have since fallen.
ReplyDeleteUm Laura, I think MERS needs to be eliminated, not restructured. I wouldn't want to waste my time helping out MERS...
ReplyDeletePerhaps, elimination could be the key to cleaning up the mess instead of restructuring?
I mean, MERS is a mess, but the underlying idea of MERS was really good: registering mortgages with county clerks made sense when there were fewer transactions (even in the primary market) and data coordination was complicated. But that's not our world today, and getting all mortgage info into a national clearinghouse with a high degree of standardization and timeliness is important. The problem is that MERS became more than a database, for what seems to be a variety of pretty complicated reasons.
ReplyDeletePoint is, I agree with Laura. MERS needs to be restructured, very drastically.
I agree with Adam,it has become more than a database and it is doing things that it was not supposed to do. I feel it needs to be restructured as well.
ReplyDelete