Courts all over the country are hearing cases about foreclosure challenges, and the lawsuits making their ways through the courts could ultimately determine the future of the housing market.
The cases revolve around Mortgage Electronic Registration Systems (MERS). The company, started in the 1990s, records mortgage titles through their advanced nationwide electronic system with county recorder offices across the country.
A New York appellate court dismissed a foreclosure action last week, ruling that MERS failed to assign the mortgage and didn’t hold the promissory note to enforce the foreclosure. More rulings like this one could mean a turning point in the foreclosure crisis.
MERS has come under attack for its recording processes amid legal challenges in many states over the forged signings of documents to produce foreclosures against homeowners without legal proof of ownership.
For more information: http://www.housingpredictor.com/2011/market-future.html