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VOL. 125 | NO. 205 | Thursday, October 21, 2010

Obama Official Says Banks Can Restart Foreclosures

ALAN ZIBEL | AP Real Estate Writer

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WASHINGTON (AP) — President Barack Obama's top housing official says lenders are within their rights to resume foreclosures this month despite allegations that they erred in processing documents.

Two big lenders — Bank of America Corp. and Ally Financial Inc.'s GMAC Mortgage unit — are resuming foreclosures after halting them for two weeks. The companies say they're fixing problems in legal documents used to complete foreclosures.

Whether to restart foreclosures is a decision every lender is entitled to make independently, says Housing and Urban Development Secretary Shaun Donovan.

"We're committed to forcing institutions to change the way they conduct business," Donovan says. "We will force the changes to make sure that these types of problems don't happen again."

Copyright 2010 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

RECORD TOTALS DAY WEEK YEAR
PROPERTY SALES 81 201 16,108
MORTGAGES 40 104 10,026
FORECLOSURE NOTICES 0 8 1,417
BUILDING PERMITS 130 336 38,272
BANKRUPTCIES 28 56 7,528
BUSINESS LICENSES 11 24 2,777
UTILITY CONNECTIONS 0 0 0
MARRIAGE LICENSES 0 0 0