Rep. Woody Burton’s legislation dealing with abandoned properties passed another legislative hurdle passing out of the Senate Committee on Judiciary.
House Bill (HB) 1238 would help expedite the foreclosure process for communities by allowing a creditor in a residential mortgage or a municipality to petition the court to find that the property is abandoned. At any time, however, the debtor is allowed to present evidence that the property is not vacant or abandoned.
“Allowing foreclosure and abandonment action to occur simultaneously will greatly benefit our local communities because it puts the process on a fast track,” said Rep. Burton. “Abandoned properties may be an eye-sore and attract crime in many of our local communities. In addition, abandoned or vacant lots can decrease the property value of surrounding homes and neighborhoods.
“Reducing the amount of time that these properties remain off the market will be beneficial for both the surrounding community and its residents.”
The next step for HB 1238 will be a floor hearing in the Senate. If signed into law, it will go into effect on July 1, 2012.
