Published: January 23, 2015
Feds Won't Back Mortgages Seized by Cities
A controversial plan to use a municipality's eminent domain powers to seize properties in defaulthas suffered a severe setback with FHA, Ginnie Mae, and HUD now having no funds to insure, securitize, or establish a federal guarantee of any mortgage or mortgage backed security that refinances or replaces a mortgage that was subject to eminent domain condemnation or seizure.