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Market conditions are staying fairly constant with no
dramatic changes foreseen. Interest
rates on this date (November
18, 2008) are at 6.00 % with no points or 5.875% with ½ point. Anticipate some drop once the Federal
government works through how the bail out is going to work.
We get inquiries from clients as to the drop in value of
properties. Maryland statistics acquired from confirmed
sales indicate that while there have been drops, the general market is faring
better here than in many states.
Maryland
has taken a position with lenders in an effort to have more loan modifications
and less foreclosures. In an agreement
with six major lenders in Maryland,
once the lender receives a loan mitigation application, they must acknowledge
receipt within 5 days and come to a decision within 2 months. During that time, they will not further a
cause of action to foreclose. While 2
months seems like a long time period, we explained in our last newsletter that
the lenders need that time to reach a consensus with the investors on a loan,
as its often more than one investor.
Recently, we have been involved in claims work for our title
insurer, rectifying problems caused by errors or oversights. We strongly urge you not to use an out of
state title company to handle your transaction.
They clearly do not understand Maryland
requirements and the nuances of our industry.
In one instance, an out of state title company never recorded a deed,
thinking the front foot assessment shown on the county’s lien certificate had
to be paid in full by the sellers at settlement (it doesn’t). That assessment is prorated over thirty years
and makes up a small portion of your annual tax bill. They wrote the sellers for the amount (around
$2800.00), and when they did not receive it, they never went to record. That title company is now out of
business.
We are experiencing an upswing in representing clients in
contracts and in dealing with lenders.
Our extensive experience in the real estate field makes us the right
choice in these “exciting” times.
We want to be your title company and law firm. Call me at 410 884 1160 x3007 or write at tee.tillman@colonytitle.com.
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