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Mortgage Litigations More Than Double Year-Over-Year

Mortgage litigations in the second quarter of 2011 have more than doubled since last year, according to the Mortgage Litigation Index released Monday by MortgageDaily.com.
During the second quarter of this year, mortgage litigations reached 190 cases, up from 75 one year ago. This is the highest number of cases recorded since MortgageDaily.com began releasing the index in 2007.

The rate is 26 percent above the previous quarter when the number of cases was 151.

Foreclosure-related litigation more than doubled from last year, rising from 29 cases to 67 cases. The category also recorded an increase from last quarter when foreclosure litigation totaled 46 cases.

Litigation involving investors has almost doubled since last year and rose from 42 cases to 50 cases between the first and second quarters of the year.

Servicing litigation posted a significant increase since last year, rising from nine cases in the second quarter of 2010 to 65 cases in the second quarter of 2011.

Criminal mortgage litigations, which only posted 11 cases one year ago, has moved up to 44 cases in the second quarter of this year.

While other categories doubled or nearly doubled over the year, cases involving the secondary market have more than doubled over the quarter, rising from 11 cases to 27 cases.

The Mortgage Litigation Index is prepared by MortgageDaily.com and Patton Boggs, LLP.


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