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Saturday, October 02, 2010

Report: Title Insurance company stops insuring Chase Foreclosures

by Calculated Risk on 10/02/2010 05:04:00 PM

From David Streitfeld at the NY Times: Company Stops Insuring Titles in Chase Foreclosures

The company, Old Republic National Title Insurance, told its agents Friday that it would not write policies on foreclosed Chase properties until “the objectionable issues have been resolved,” according to a memorandum sent out by the firm’s underwriting department.
For those who haven't seen it, here is an excerpt from an affidavit signed by Jeffrey Stephen of GMAC:

Census workers per week Click on image for larger image in new window.

I've highlighted a couple of sentences in yellow. Source: Stopa Law Blog

According to the affidavit the affiant claims to have "examined" the details of the transactions in the complaint, and that he has "personal knowledge of the facts contained in the affidavit". In a disposition - according to media reports - the affiant admitted to just signing the documents without verifying the details. If so, the affidavit is not correct.

The affidavits are being withdrawn.

Obviously the title insurance companies are concerned about what will happen to homes that have already been through foreclosure - with false affidavits filed during the process - and that have already been sold to another party. I'll have more on this later ...