Tuesday, March 29, 2011

Securitization Audits for Foreclosure Defense Litigation

A Securitization Audit is a process by which an Auditor or Investigator puts together a comprehensive report and document that shows what happened to a specific loan, where the money went and to which investment vehicle it ended up in. This can be very important in foreclosure defense cases and litigation against lenders. Each state is set up differently and there are judicial and non-judicial review foreclosure rules.

Securitization is the process by which residential and commercial real property mortgage loans are bundled and sold to investors. Investors such as Goldman Sachs, DeutschBank, Countrywide, Wells Fargo, etc. routinely sell or purchase large blocks of loans and place them into trusts or REMICs (Real Estate Mortgage Investment Conduits). Shares of those are then sold to other investors. Securitization can occur months after the origination of the loan or it can occur immediately after origination. Approximately 85 percent of portgage loans are securitized. Please be aware that not all loans are securitized. It is important to know if your loan was in the 85 percent before hiring someone to conduct your securitization audit.

If you are a bankruptcy or real estate attorney or otherwise have the need to obtain documentation on the holder of your client's mortgage note and or it's securitization history, Right Path Investigations can provide you with court ready information and documentation. Right Path Investigations should be accepting new clients for this new service as early as the beginning of April in 2011. Go to our website and register as a new client or email us and we can send you more information regarding our services and what we can provide.

Note: This information is not to be taken as legal advice and should be evaluated by your attorney for any clarification.

No comments:

Post a Comment