title defects: Where is your title work being processed and how safe is your information - 05/11/11 07:54 AM
As you all may know many title agencies are using the services of off-shore companies to complete the "title searches" on real estate located in the US.  These firms do their "title searches" by going on-line to public websites to access the "chain of title", prepare a report and issue a binder from that "search"
While many jurisdictions have put a large amount of data on line, not all information is available on line and a good title search is best conducted in the field at the court house where the professional abstractor can access ALL the information need to insure … (0 comments)

title defects: Success in the Rain- An interview on foreclosure fraud in Maryland and forged Deeds - 03/09/11 07:06 AM
Another Maryland foreclosure mill accused of fraud- Now it's the Deeds by CHARLENE PERRY | 2011/03/09 |
It was my honor to have been interviewed and quoted for this article by Jamie Smith-Hopkins of The Baltimore Sun which was in today's edition. (3-9-11)
www.baltimoresun.com/business/real-estate/bs-bz-foreclosure-complaints-20110307,0,5388979.story
I took a call yesterday from Jamie Smith-Hopkins, reporter for the Baltimore Sun, who writes about real estate in Maryland.  
Ms. Smith-Hopkins has read my blogs here and wanted my input on the state of foreclosures in Maryland and in particular how the allegations of deeds being executed by other than the named trustee would affect our industry. I listened … (4 comments)

title defects: Fannie Mae REWARDS foreclosure mills in Maryland for dismissed foreclosure files - 01/21/11 03:38 AM
This has got to be the most ridiculous thing I have ever heard.
Yesterday I wrote about 250 Maryland foreclosures being dismissed because of shoddy foreclosure work, liars affidavits and robo-signing and then today I read from Housing Wire.....
Fannie Mae will increase the maximum allowable fee servicers can pay Maryland foreclosure attorneys to $1,300 from $950 for mortgage loans referred to them on or after Feb. 1.
But wait, it gets better!! The reason they need a raise is because they need to do more work in Maryland in order to correct deficiencies. 
A recent decision in Maryland courts … (2 comments)

title defects: ALLY Financial pulls 250 foreclosures in Maryland due to Robo-signing - 01/20/11 04:29 AM
ALLY Financial withdraws 250 foreclosures in Maryland Heard this on my local news last night and wanted to share.
According to a report by the Washington Post, Ally Financial announced Tuesday it is withdrawing all foreclosures in Maryland signed by an employee who admitted to being a "robo-signer."
Jeffery Stephan testified under oath that he signed off on thousands of foreclosure documents every month without verifying their accuracy or signing them in the presence of a notary.
Because of the controversy and potential paperwork errors, Ally has agreed to dismiss and re-file 250 active foreclosure cases in the state that he … (0 comments)

title defects: How much of a risk are you willing to take? SHODDY TITLE SEARCHES, THE NEW NORMAL - 01/04/11 06:14 AM
Not even a week into the new year I have a file on my desk with such a messy title I can't imagine that anyone bothered to do a title search at all.
The case is the transfer of a property out of foreclosure, imagine that!  The title deed is shows the property to be vested in an LLC, the Deed of Trust that gave rise to the foreclosure is executed by an individual, no mention of the LLC that holds title.
There is nothing in the chain of title to reflect that the foreclosure attorney even bothered to have the … (0 comments)

title defects: REALTORS DUTY TO DISCLOSE IN SHORT SALE-by ROBERT FRANCO-Sourceoftitle.com - 12/02/10 07:12 AM
Realtors' Duty to Disclose in a Short Sale by Robert Franco | 2010/11/27 |
Mr. and Mrs. Holmes saw a house listed for sale in Huntington Beach, California on the Realtors' Multiple Listing Service with an advertised price of $749,000 to $799,000.  The listing indicated that the "seller was motivated."  The Holmes made an offer, and after a counter-offer they agreed to purchase the home for $749,000 with a 30-day escrow.
In order to close on this purchase, the Holmes sold their house. What the Holmes did not know was that this was a short-sale involving three lenders and a total … (0 comments)

title defects: IT'S BUSINESS AS USUAL AT THE FORECLOSURE MILLS-AND THE OHIO AG IS NOT HAPPY - 11/02/10 04:21 AM
 
FROM THE PRESS RELEASE
In response to Wells Fargo's statement acknowledging that it "made mistakes" and that affidavits in 55,000 foreclosures filed by the bank did not "adhere" to the law, Ohio Attorney General Richard Cordray offers the following statement:
"The big mortgage servicers and financial firms continue to demonstrate their belief that they do not need to play by the same rules as everyone else who uses our court system. The suggestion by Wells Fargo and its colleagues at several other national firms that they can cure fraudulent testimony by simply refiling new affidavits and continuing to proceed … (2 comments)

title defects: MARYLAND REO PURCHASES- TRICK OR TREAT? - 10/18/10 08:03 AM

There have been many articles lately in the news and on-line about the rash of foreclosure "fraud" that seemingly is running rampant in courts across the country.  And there has been much discussion about lenders "freezing" foreclosures nationwide.  While there may well be a "freeze" I can tell you that I received e-mail alerts today advising that more than 30 new properties came on the market today, all of which have gone through foreclosure and all of which are now being sold on the open market by the banks. So while there may be a freeze on new foreclosures, those … (0 comments)

title defects: I TOLD YOU SO - 10/14/10 06:22 AM
In October 2008 I sent letters to members of Congress, Fannie Mae, ALTA and MDLTA relating to the fact that the large servicing entities had made decisons to begin to use foreclosure mills nationwide in an effort to streamline their foreclosure processes. In so doing they may well have streamlined the process, but, we all see now just what that has meant to those of us in the title industry as well as for the consuming public.  My particular concern at that time was not so much related to the actual foreclosure filings, but was related to the lack of oversight of the … (0 comments)

title defects: I tried to take the weekend off, but..... - 10/12/10 06:23 AM
I really did.  I intentionally did not turn on the TV to watch the news, I did not spend a lot of time on-line trolling for information relating to foreclosures, but..
I took two calls yesteday from home because I closed my office for the holiday.  I know, I know, it was a minor holiday in a lot of people's mind, but I am just exhausted from all of this foreclosure mess.
As you know I am an REO title specialist. I have worked for many years with large banks and REO firms and as such have maybe more of an … (0 comments)

title defects: AN OPEN LETTER OF CLARIFICATION TO MY REO CLIENTS - 10/04/10 04:56 AM
Dear REO business partner: 
As you are all aware there has been much talk in the news over the last few days relating to whether or not the major title underwriters will allow policies to be issued on property that has been foreclosed upon in the name of JP Morgan/Chase, GMAC and others. 
On Thursday September 30, 2010 I received a bulletin from my underwriter, Old Republic National Title Insurance Company, advising that they would not allow us to write policy on these properties.  And then on Friday, October 1, 2010, I received an updated bulletin from ORT softening their position … (3 comments)

title defects: This post will not win me any friends on AR - 09/03/10 07:39 AM
I have been reading for some months now some of the comments that have been to submitted to HUD at www.regulations.gov as they relate to the Real Estate Settlement Procedures Act (RESPA): Strengthening and Clarifying RESPA's "Required Use" Prohibition. (Docket No. FR-5352-A-01).
As a proud member of The National Association of Independent Land Title Agents I have been very outspoken about my opinion of Affiliated Business Arrangements (ABA's) and Controlled Business Arrangements (CBA's).  I firmly believe that steering consumers into using affiliates for bundled services in their real estate transactions is detreimental to consumers and to the title industry as a whole.
… (0 comments)

title defects: Outsourcing title and legal services - 08/06/10 07:20 AM
I took a call today from a company whose phone number looks like they should be in New Jersey and they may actually have a location there, but maybe not. This firm does outsourcing of title services for large title underwriters and for some large banks.  They wanted to know whether or not I would be interested in meeting with them or having a phone consultation about their services. I politely responded with a resounding NO THANK YOU.
Title services, much like services rendered by Realtors, is very localized.  In the conversation that I had with the representative of this outsourcing firm they … (3 comments)

title defects: CLASS ACTION LAW SUIT-I READ THE COMPLAINT AGAIN LAST NIGHT AND..... - 08/05/10 05:02 AM
 I wish I could say that any of the allegations in this complaint surprised me, but, nope, no surprise at all. 
As an REO title specialist in Maryland I have seen HUNDREDS of cases like this where there was an assignment out of MERS into the "note holder" stuck smack in the middle of the chain of title, filed sometime "around" the filing date of the foreclosure. I must admit however that not once did my attorney abstractors question the validity of these documents. Nor, evidently, did the court as all of these sales were ratified with the court and the … (6 comments)

title defects: Class Action law suit filed against Florida foreclosure mill-A shining example why NOT TO allow the seller's title agent conduct your closing - 08/04/10 09:33 AM
Recently a 7.5 Billion Dollar class action law suit was filed against a Florida foreclosure firm alleging that they particpated in fraud when filing thousands of foreclosures in the State of Florida. To read the complaint, click here:
http://mattweidnerlaw.com/blog/wp-content/uploads/2010/07/sternclassaction.pdf
The Defendant Firm's attorneys primarily represent plaintiffs in foreclosure actions. Based upon statements by its owner and co-Defendant, David J. Stern, the Defendant Firm in 2008 and 2009 filed between 4000 and 7000 new foreclosure actions in the State of Florida per month. Beginning in or about 1999, the Defendant Firm joined with Defendant Merscorp, Inc., and other conspirators in the fraudulent scheme and … (15 comments)

title defects: REO ADDENDUMS and COUNTER OFFERS - 07/15/10 07:58 AM
It came to my attention yesterday that while most REO addendums floating around these days specifically state that the buyer may use their own title agent there a number of asset managers who are countering with a statement that the buyer MUST (or sometimes, because of RESPA) WILL use the seller's title agent.
In most instances the buyers and their agents know no better than to accept this counter offer and will go ahead and accept the counter offer without question. YOU DON'T HAVE TO ACCEPT THAT COUNTER. It is possible that the listing agent will tell you that the asset manager thinks the transaction … (1 comments)

title defects: TODAY'S TITLE DEFECT.... - 06/30/10 04:48 AM
Today's title defect... 
As usual coming out of a foreclosure we have reviewed the title and found a defect....
I have long ago learned that you have to READ every document that is presented to you in a title report when the property has been foreclosed upon.  This situation is no different, but for the fact that the foreclosure attorney did not READ the title deed.
The title deed clearly states that the property is owned by A & B as tenants by the entirties, with REMAINDER to C.  A predeceases B.  B then dies and the property is foreclosed upon.  A … (0 comments)

title defects: A sure sign you are working too hard and too many hours when out of the mouths of babes...... - 06/21/10 04:03 PM
My almost 5 year old grandaughter at one time was in my office Monday-Friday from 10:00 a.m to about 3:00 p.m. This was before she could walk and before she went to daycare. So you can say she has been raised in the title busines.  From the time she started to go to daycare at about 18 months old to the present she continues to come into my office at least once a week to "do her work".  She has her own little work station and she has her own little set of "office suppies" and she and I "play title" when she … (2 comments)

title defects: WATER-SEWER HOOK UP FEES- MARYLAND - 05/11/10 08:18 AM
I reviewed a title today and found that the property was subject to a water-sewer hook up fee payable annually. I have seen these a few times lately and want to bring to the attention of realtors and buyers the fact that these fees run with the land and are a lien on the property.
The documents relating to these fees are usually filed by the developer at the time that they are setting up the subdivision.  In short they impose an annual fee, payable by the record owner of the property, for re-paying the cost of establishing public water and … (0 comments)

title defects: SHODDY FORECLOSURE WORK BY FORECLOSURE MILLS A REAL THREAT TO THE CONSUMER - 04/30/10 04:59 AM
The huge number of foreclosures that have been initiated over the last year, (with millions more to come this year) have given rise to a concern that the foreclosure mills are not providing quality service and that consumers will be the ones to suffer as a result of the less than stellar performance by foreclosure mills nationwide.  It was with great interest that I read a very informative blog yesterday, which I have reposted here in it's entirety with permission from the author, Slade Smith.   Please visit Slade's blog for even more information.
Printed from Source of Title, www.sourceoftitle.com.
 
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