MEMPHIS, TN- (WMC - TV) - A little known foreclosure nightmare is draining money from upstanding taxpayers in Memphis.
When homeowners can no longer afford to pay their mortgage, some institutions that take over are not paying the property taxes. That is when the burden falls on taxpayers.
"It hits every single district," said Memphis Council Chairman Edmund Ford, Jr.
Ford is talking about a new foreclosure horror economists coined the Zombie Title Crisis.
"All of these properties, you can't find the person," he said.
He said the Zombie Title cases have doubled to 1,500 in Memphis over the last two years. That is when banks and realtors leave the foreclosed properties in the homeowners' names so it is hard to track the true owner.
"That's a problem," said Ford explaining how taxpayers are now paying for it. "It's a double-whammy on the city.