I've read a bit about this, but I don't understand some of the legal issues surrounding real estate titles that have cropped up recently. I'm 25 and have rented my whole adult life, want to buy a house at some point in the near future but I'm a bit confused about how to do so "safely".

Is there a safe strategy for avoiding MERS/securitization-caused title issues when you buy a property?

If you purchase a house with cash, and therefore receive the title immediately, are you safe with regard to a bank or investor in the previous mortgage's securitization chain coming forward and claiming that they are the one who have the valid title? Can there be multiple versions of the title for the property which their holders believe to be valid?

How about if you get a mortgage from a local credit union that would be less likely to sell it off and securitize it? Or do even the small local credit unions not hold on to the mortgages they issue these days? Do they end up with private investors, or sent straight to the GSA's?

if you looking to move to new york you can buy mine no issues with title free and clear. Bought for cash and before mers problems from someone who also bought for cash. owned since 1999

^ that's the best way to do it. Buy cash from someone who didn't mortgage their home, paid cash, and it has a clean and clear title going back at least to the late 80s early 90s.

or buy land and build yourself.

Does the title insurance offered by title insurance companies cover MERS/securitization-caused title issues?

Theoretically, yes, but realistically, it would bankrupt them.

That is the whole purpose of recording statutes. In most states, the recording of an interest in land (whether it be an ownership interest or a security interest) gives that interest priority over any subsequent interest in the same parcel of land, regardless of when the interest was acquired. The scheme is intended to allow a bona fide purchaser (or a subsequent lender, for that matter) to do "due diligence" by way of a title search and to know for certain whether anyone has asserted an interest that would take precedence to his.

The above is for informational purposes only. It is not, and should not be construed as, legal advice, nor relied upon for purposes of taking or forbearing action. The law varies from state to state and may be applied differently depending on the facts of the particular case. If you have questions about how the law applies to you, please consult a licensed attorney.