| Existing Home Sales Rose 5% in December:
Home sales rose in December to the highest pace in nearly a year. The gain coincides with other signs that show the troubled housing market improved at the end of last year. The National Association of Realtors said Friday that sales increased 5 percent last month to a seasonally adjusted annual rate of 4.61 million, the best level since January 2011 and the third straight monthly increase. Sales are increasing at a time when the market is flashing other positive signs. Mortgage rates are at record-low levels. Homebuilders have grown slightly less pessimistic because more people are saying they might be open to buying a home this year. And home construction picked up in the final quarter of last year. The median sales price rose 2.3 percent to $164,500 in December. |
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What Happened to Rates Last Week?
Mortgage backed securities (MBS) lost -91 basis points from last Friday to the prior Friday which moved mortgage rates upward. |
| What to Watch Out For This Week:
The following are the major economic reports that will hit the market this week. They each have the ability to affect the pricing of Mortgage Backed Securities and therefore, interest rates for Government and Conventional mortgages. I will be watching these reports closely for you and let you know if there are any big surprises: Courtesy of Stephanie Halpin Fairway Mortgage |
Mortgage and Housing sales data update
A Foreclosure purchaser may own nothing.
Problems with a foreclosure case are inherited by the buyer of the property. If liens are missed, the buyer owns the property with liens on it.
In fact, the defects in the foreclosure case can be so big that the buyer may not get ANY interest in the property at all.
Without the title insurance, Buyers have no protections from foreclosure mistakes. Buyers cannot go after the prior owner, the Court or the attorney. They simply must deal with the problems they just inherited. And as I have noticed, the problems keep increasing.
A buyer of one such property was told he had a complete failure of title and could not sell the property because he did not own the property. He sued. The result is below.
“In a much anticipated decision by the Massachusetts Supreme Judicial Court, the court held that a third party purchaser at a foreclosure sale did not hold title to a property that had improperly been foreclosed upon by the foreclosing lender.” – The Legal Description October, 2011
So, after all the time and attorney fees to bring this case to the State Supreme Court, the Buyer still ended up with nothing.
To add to the problem, when buying from a Bank, the closing is often handled by the title agency that performed the foreclosure and missed the liens the first time. They probably won’t catch anything new the second time around.
Make sure Buyers understand the importance of insuring their title. Even if your client is buying the property from someone who bought out of foreclosure or from the Bank, they still want the title insurance.
Nick
Nicholas D. Perrino
Attorney at Law
Prodigy Title Agency
8080 Beckett Center Dr. #318
West Chester, OH 45069
513 870-9070 PH
513 870-9071 FX
www.ProdigyTitle.com
