New California Law Strips Escrow Control From Lenders Selling Foreclosed Homes; Allows Buyers To Choose Their Own Closing Agent

In Sacramento, California, The Stockton Record reports:

• Gov. Arnold Schwarzenegger has signed Assemblywoman Cathleen Galgiani's Buyer's Choice Act into law. The bill will allow buyers of foreclosed homes in the state to choose local escrow companies to handle their real estate transactions. In a housing market dominated by foreclosures, banks consistently have contracted most of their escrow services to specific companies, mostly in Southern California. Galgiani, D-Livingston, said this has hurt other escrow companies and caused headaches for Northern California real estate agents and mortgage brokers.

For the story, see Buyers now can choose local escrow companies.