the solution is to say the deffective mortgage is no longer attached to the real property and is an unsecured claim. thus there is no lien to cloud the title.
Legally you are 100% correct ... I don’t know if we have the gonads to throw the “too big to fail” banks onto the rocks ... as they deserve.
Sounds good.
But you can bet the government will find some way to prevent those homeowners from getting a free home at the expense of the financial system.
Gosh. Like 70% of all mortgages are held by Fannie & Freddie. That would be what,at least a trillion in losses for we,the people,to eat? I’d prefer a solution that wouldn’t involve me and mine owing another 30k apiece.