Housing Policy

Officials Like Scheme To Seize Mortgages

Never mind that it's nutty, politicians are getting enthusiastic about a plan to use eminent domain to grab mortgages

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Despite fierce pushback from housing and financial industry groups, interest in a plan to use local governments' eminent domain power to purchase underwater mortgages is picking up steam.

The controversial plan, developed by Mortgage Resolution Partners in San Francisco and in the adoption stage in San Bernardino County, has attracted serious attention from officials in Berkeley and Chicago.