Faced with hundreds of homes that have been abandoned by “underwater” owners, the City of Richmond, California, has proposed to purchase 624 loans secured by those properties, and has threatened note holders who resist selling with seizure of their loans. The City argues that these loans are only worth the current value of the underlying real estate. The City proposes to … [Read more...] about Can “underwater mortgages” be acquired by municipalities using Eminent Domain power?