MERS for CRE Coming Soon
It is anticipated that the Mortgage Electronic Registry System for the commercial sector will start to register loans later this summer.
The system will benefit users by eliminating the need to do assignments, thereby reducing costs, Deborah Schiavo noted, during a panel session on the future of technology at the MBA's recent Commercial Real Estate Finance/Multifamily Asset Administration & Technology Conference here.
Six firms - Bear Stearns, Bank of America, John Hancock, Wells Fargo, GE Capital and GMACCM - have put up money on the endeavor so far. The hope is that "a lot of other folks will sign on when it gets rolling," Ms. Schiavo, a managing director with Bear Stearns' commercial mortgage department, said. While CMBS players are likely to be major beneficiaries from the system, with the benefits being a reduction in risk and cost for lenders, even portfolio lenders could benefit.
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