REO & Foreclosure Management.(Brief Article)

With moratoriums on foreclosure starting to expire in the region affected by Hurricane Katrina, lenders are preparing to move into uncharted territory. How do you respond to a catastrophe on such a broad scale that affects hundreds of thousands of homeowners?

That issue is a key one on the minds of servicers attending this year's MBA annual national mortgage servicing conference. But it's not the only reason lenders need to be mindful of default management and property disposition issues. As the regulatory environment becomes more restrictive, lenders are finding that their default management practices are under greater scrutiny. And with real estate markets starting to cool down in some areas, selling real estate-owned may become more challenging as well.

How lenders cope with what may be a rising foreclosure workload remains to be seen. But we're betting that technology will play a key role in helping lenders manage the tasks more efficiently than in the past. While default management remains a ...