LenderLive Settlement Services, Denver, is moving into the foreclosure/real estate owned title space through its acquisition of MoKan Title Services LLC, Kansas City, Mo.
MoKan, explained LenderLive Network Inc., president and chief executive Rick Seehausen, is short for Missouri and Kansas, the two states the title agency operated in under its previous affiliation with the Kansas City, Mo.-based law firm of Martin, Leigh, Laws & Fritzlen PC. MoKan has been in business for 10 years.
"We wanted to expand our footprint and this acquisition allowed us to get the expertise of the people who are running that business and helps us forge deeper relationships in the default side of the industry," Seehausen said.
Joe Mowery, the president of LenderLive Settlement Services, added MoKan brings REO sales transaction experience to LenderLive and that is a service that can be made available to asset management providers to the default side of the business.
"The banks are working very quickly to expand their vendor chains and obtain additional asset management companies to manage those properties. And as the width of the vendor chain within the banks expands, as does the volumes, ultimately—once buyers are identified for those bank-owned properties—[it will help] getting those transactions closed," Mowery said. LenderLive is looking to do the title work on those sales, both men added.
The deal also expands MoKan's operations because LenderLive is licensed to do business in 36 states, Seehausen added.
LenderLive Settlement Services is an agency and one of its services is on the title side of loan modifications, in situations where the modification agreement requires that it be recorded with local authorities.
It also works with servicers on the default side in their assignment and substitution of trustee work; it provides a search which verifies the proper chain of title is in existence.
With the recent settlement among major loan servicers expected to clear up the backlog of foreclosures in the marketplace, this area is expected to grow. But Seehausen said there are other opportunities from this deal as well, including providing title services for law firms. Those law firms are potential clients for other services LenderLive Network provides.
"We're seeing unprecedented volume on the distressed of the industry, we're seeing it in mods, we're seeing it in short sales and we're seeing it in foreclosures. And that's putting stress on all of the entities that surround those areas, including the law firms," he said.
All of MoKan's staff will move over to LenderLive. Amy Wilson has named vice president of default operations for LenderLive Settlement Services, while Berry F. Laws III will become director of strategic initiatives. Laws will also remain of counsel for Martin, Leigh, Laws & Fritzlen.
Mowery just joined LenderLive Settlement Services. Previous positions include: vice president of sales and national operations at Assured Title Agency; vice president of lender services for a division of Fidelity National Financial; senior vice president and strategic accounts director at First American Title; and executive vice president at Lenders First Choice.
“Joe has a very solid operations and sales background in addition to an excellent understanding of the intricacies in the title insurance segment of the mortgage market. We are fortunate to have him join our team,” said Seehausen
