Homeowner's Bill of Rights Passed by Legislature includes key provisions by co-author Holly Mitchell
AB 278 and SB 900, codifying much of the "Homeowner's Bill of Rights" negotiated earlier this year with major banks by Attorney General Kamala Harris and offering potential relief to many of the nearly 700,000 Californians now in delinquency or foreclosure on home mortgages, has been adopted by the State Legislature with key provisions authored by Assemblymember Holly J. Mitchell (D-Culver City) largely intact. The package of bills now goes to the Governor to be signed into law.
"These bills give homeowners facing foreclosure a clear, fair process for saving their most valuable asset," said the Assemblywoman, a joint author of AB 278 and a co-author of SB 900. "Too many of those losing their homes are subjected to bewildering and arbitrary procedures that block them from re-negotiating mortgages on terms they are able and willing to pay."
Mitchell earlier introduced AB 2425 to secure due process rights for those in danger of losing their home, guarantees now enshrined in the two bills just adopted. Requiring time to complete loan modification, an established point of contact, explanation for denial and the right to sue for unfair foreclosure, the bills are expected to come as particularly welcome relief to homeowners of modest means.
"80% of those who get loan modifications stay out of foreclosure," Mitchell added. "One in 10 of minority homeowners need them, but approvals lag. The Homeowner's Bill of Rights will help keep people in their homes."
Contact: Charles Stewart, (310) 482-1070