Not a good thing. It will tie up closings in the court ad infinitum. Folks will be afraid to purchase foreclosures (which is estimated to be between 25-40 percent of the closings)...so the real estate market collapses more. The class action suits are brought by ambulance chasers who’ve converted to class action type in order to cash in on the situation (they’re the ones that will make out bigtime.) And it won’t be long before you’ll start seeing notices in the paper or on TV looking for clients who have been foreclosed on.
I posted an article a few days ago about a guy that left the state, didn’t notify anyone, was served papers...which he says never got to him, came back after two years and is trying to reclaim the house saying the “process” involved was defective. Now the folks that bought the house and fixed it up, if he wins, see no money except their original purchase price (that’s what title ins covers) and will have to “eat” whatever fix up expense they put into the house, unless they also want to sue to recoup their costs, and then they’ll have legal expenses in order to hire a lawyer.
Decide you want to sell your home, well before you embark you’d better start the title search months in advance because if your bank doesn’t have it...how can you sell the home.
And the problems, IMO, go on and on and on.
“Ambulance chasers.” You nailed it. They have been the driving force on this nothingburger since day one, and they are exploiting the insane and their fears.