We haven’t had foreclosure on a wide scale since securitization became common. Some municipalities are trying to figure out who truly owns a house in foreclosure if the loan was securitized. I would think that the trustees were the legal owners on behalf of the junior certificate holders, with the servicer acting in behalf of the trustee.
The radio show NPR Marketplace had an interesting piece on this phenomenon. When a city is dealing with a mass of abandoned buildings, they want to know who owns them, so that they can be protected, and blight avoided.
In this era of securitization, finding the owner after foreclosure is not simple. Listen to the piece, and consider the effects on our markets and society.