Is there a federal banking law that disqualifies a foreclosed house for title insurance for 4 years?

As long as the title is marketable, we can lend on it

No... Never heard of any such thing, and I've done plenty of foreclosed home financing. Could there be something else on one home in particular that a title insurance company is scared to insure? You bet... If you have a house in mind that is having trouble getting title insurance, just try another title company, but note that there are only a few big national title insurance companies.

It wouldn't be a "Banking Law" since you are dealing with insurance.. but as Joe said, I've never heard of such a thing.. there might be other reasons why a property does not qualify for title insurance,, but if you talk to the title company, they will run the title report and let you know what conditions need to be met in order to obtain a valid policy. I'm a preferred Lender with California and Arizona being my primary markets. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. 480-287-5714 WilliamAcres.com NMLS# 226347 / RPM Mortgage NMLS 1541014 / AZMB0121893