Richardville and other conference committee members reach agreement on foreclosure legislation
LANSING—Sen. Randy Richardville today announced that members of a Senate and House conference committee have reached agreement on legislation that would help Michigan homeowners facing foreclosure.
“As a member of the conference committee, our main goal was to help homeowners who are trying to save their homes, but are struggling to make due because of the difficult economic times,” said Richardville, R-Monroe. “We worked through differences in the legislation until we reached a compromise that members of both the Senate and House could agree upon.”
House Bills 4453 through 4455 would revise Michigan’s “foreclosure by advertisement” process to encourage greater communication and negotiation between lenders and borrowers.
Under the legislation, the lending institution that holds the home mortgage in question would be required to send a written notice to borrowers before foreclosing on a principal residence. If a homeowner decides to work with the lender, the two parties would have 90 days to participate in “pre-foreclosure” meetings and develop an agreeable solution.
“Foreclosure is bad for homeowners and lenders, as well as the communities where the property lies,” Richardville said. “It’s important for both parties to work together to prevent it. This legislation will encourage greater cooperation between the mortgage industry and homeowners to keep residents in their homes. I expect the conference committee recommendations to move through the Legislature quickly, so they can be signed into state law as soon as possible.”
Richardville served on the bipartisan committee with two other state senators and three state representatives.
Posted: Wednesday, May 13, 2009
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