true true true

Read this, please:
Executive Director of the Center for Economic Justice Birney Birnbaum explains, “Reverse competition refers to a market structure in which title agents and title insurers market their products and services to real estate professionals who are in a position to steer the ultimate consumer – the consumer paying for the title insurance or escrow – to the title agent or title insurer. The competition for the referrers’ business involves the title agent or title insurer providing things of value to the referrers and passing these sales and marketing costs onto consumers, who have no ability to exert market pressure on title insurance or escrow prices. There can be no assumption that actual expenses incurred by the title agents and title insurers in New Mexico are reasonable expenses for purposes establishing reasonable title insurance rates.”

Two very important movements will change the title insurance landscape in 2008, RESPA reform and state regulators.

Rumors have it that the RESPA reform proposal will be released for comment later this month. We expect it to contain a new longer version of the GFE with provisions that ensure accuracy. We also expect some requirement that the HUD-1 will be available 3 or 4 days prior to closing. Both of these concepts, if adopted, will significantly change the mechanics of the transaction as it moves to close. I’m not really expecting surprises in the RESPA package because without legislative reform, there’s not much HUD can do, BUT

BUT, and this takes me to the second very important movement, state regulators have turned their attention to title insurance in a big way. THIS is very exciting.

State regulators have found out that they can step in and protect their consumers in ways that HUD cannot.

What’s happening in New Mexico is happening all over these united states.

From one who has been asking for help for so long, it’s a “ray of sunshine in a very dark cloud.”

Mortgage Industry Professionals. Like what you see?
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