New Foreclosure Laws

Recently, the government in California enacted Senate Bill 900 (SB900) which will go into effect upon the expiration of prior foreclosure law on January 1, 2013.  SB900 extends and expand on existing foreclosure law in California to January 1, 2018.  The law was passed in response to the fact that California is still reeling from the economic downturn of 2007.  In 2011 alone, 38 of the top 100 hardest hit zip codes of foreclosures was in California.

SB900 will change the law to require additional disclosures and communication prior to a mortgagee filing a notice of default.  Such requirements would also include servicers of mortgages.  Additionally, and probable the most important is that it prohibits filing of a hour payday loans notice of sale or conducting a trustee sale when a property owner has a complete first lien loan modification application that is pending.  The law also touches upon requirements for approval and denial of loan modification and right to appeal denials.

Any violations of the provisions found in SB 900 would entitle a property owner to three times the actual damage or $50,000.00 in statutory damages, if the violation is reckless or willful.  Furthermore, an award of attorney fees is authorized.

If you feel that your rights have been violated, please contact Seneca Law Group for a free consultation.  If you’d like to read the bill in detail, please click on the link below.

http://leginfo.legislature.ca.gov/faces/billNavClient.xhtml?bill_id=201120120SB900

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