THAT is the other thing I’ve been saying for the last umpteen months too. As this charlie-foxtrot mushrooms, there will be an increased cost and drag on buying foreclosed properties to quiet the title.
I, as an investor, won’t buy foreclosed properties now, because most all of them have MERS on the title at some point, and I don’t feel like paying thousands to a lawyer on every house I’d buy just to clear the title. Real estate valuations are deteriorating badly enough as it is without adding the expense and hassle of quieting the title.
It still might make sense to purchase distressed homes if you’re a prospective landlord. I hear rentals are doing quite well.
The mortgage passes through MERS, but does the title?
Isn’t that why you have title insurance?