In an unusual twist brought about by stressed lenders and highly leveraged real estate, homeowners across the metro who are facing the loss of land due to eminent domain projects are increasingly getting notices from banks claiming rights to the proceeds. In the past, such notices were sent so rarely that county officials never saw a need to keep track of how often it happened.
What "unusual twist?" Standard mortgage provisions require paying eminent domain proceedings to the lender. Homeowners benefit by getting their mortgages paid off sooner, with more of their payments going to reduce principal instead of paying interest.
Minnesota law requires that the condemning authority provide notice to lenders, as well as owners, lessees and anybody else with an interest in the property when property is sought to be condemned.
In an interesting non sequitur, the article first tells us that homeowners are getting notices from their banks claiming rights to the condemnation proceeds. Then, in the very next sentence, we are told that county officials have never kept track of how often "it happened" that homeowners received such notices.
How would the county have any record of notices that were sent to homeowners? Does the Star Tribune expect the government to be the nanny that watches over pitiful homeowners unable to read the documents they sign, and to record every time lenders enforce their contractual rights against these poor, unsuspecting homeowners? Just exactly how much intrusion into our lives will be necessary to protect us from our own ignorance?
Did this writer even attempt to get to the bottom of this non-story? Or, in her mission to infantilize homeowners and pave the way for more governmental intervention, did she think that was unnecessary?