Take a read of Maura McDermott's latest article in Newsday, "NY's COVID-19 foreclosure ban is set to expire, but homeowners can still get help," where she quotes our very own Leslie Mendoza, Esq.

Leslie explains that while the "[t]he state’s temporary foreclosure ban 'merely delays any kind of discussion between the borrower and the lender in terms of resolving the delinquencies,' the CFPB rule should help many homeowners get a modified loan, as long as they qualify for one."

To learn more about whether you qualify, read the article and always speak to a great lawyer.

The Town of Southampton has issued a new compliance protocol (Town Code at Chapter 262) for Foreclosure Plaintiffs in response to an increase in crime and deterioration in property appearance. 

The new law sets forth a Registration Scheme with new maintenance obligations:

• Homes are to kept free and clear of weeds, overgrown brush, trash, dead vegetation, debris, etc.
• No graffiti
• Requirements for watering, irrigation, cutting and mowing of lawn
• Pools and spas to be clear of pollutants and debris

• Locked windows, doors, and gates
• Repairs to broken windows, doors, and gates
• Designation of a property manager to maintain and perform necessary work

Penalties & Fines include:

• $1,000 fine or up to 15 days in jail (or both), for each violation
• $1,000-$5,000 fine or up to 15 days in jail (or both) for a second or subsequent violation
• $150 for first day of violation, $250 for second day of violation, $500 for third day of violation and continuing.

A new NYS law permits tenants who did not occupy a foreclosure premises at the time of the commencement of the foreclosure lawsuit to remain in occupancy for the remainder of their lease term, up to a maximum of 3 years. 

This new law gives tenants greater protection in the event that they happen to occupy a home subject to a foreclosure action, prior to their possession. The ongoing COVID-19 pandemic has caused so much chaos, disruption, and hardship to families across this nation (and the world for that matter) and the ability for families to be able to remain in a rental dwelling that is being foreclosed upon for at least the remainder of their lease and up to a maximum of 3 years, can give these families some relief and afford them a little more time to figure out their next move. 

On the other hand, this law could create delays in the purchase and sale of residential homes due to a tenant's ability to remain at a foreclosed home as referenced above. 

Would you even want to buy a house from foreclosure anymore? 

Do you support the new law that gives tenants additional rights during foreclosure? 

How much of an impact will this new bill have on future purchase and sales on foreclosed homes?