Senate Bill 555, which will require mortgage loan servicers to have a mediation session with their borrowers before initiating a foreclosure, either a judicial or non-judicial foreclosure, will have a senate committee meeting later today. The meeting is scheduled to start at 3:00 PDT, and is streaming live at www.leg.state.or.us/listn.
This bill expands the Foreclosure Avoidance Mediation Program to judicial foreclosures and makes some technical changes to clarify the mediation process.
Cody
Wednesday, February 27, 2013
Saturday, February 23, 2013
State of Oregon Legislative Measures
The State of Oregon Legislature is active in session at this time. Two bills currently in consideration are of particular interest for those involved in real estate.
The first bill, Senate Bill 558, doesn't really have much impact to real estate investors, but does have an impact on mortgage loan servicers when initiating a foreclosure process. First of all, a little history.
In the summer of 2012, two events occurred within a week of each other that had a substantial impact on mortgage loan servicers. First off, SB 1552 was passed in the 2012 Session and became law in July 2012. That bill, called the Foreclosure Avoidance Measure, required servicers to, among other things, to enter into mediation with the grantor (borrower) for the purpose of negotiating a foreclosure avoidance. The second event was that an Oregon Appellate Court basically stated that the Mortgage Electronic Registration System, or MERS, did not follow the Oregon non-judicial foreclosure laws, therefore nullifying, in most cases, a servicers right to foreclose if the beneficiary of the loan was listed as MERS. There is a lot to this case and I don't intend to discuss if in detail here.
Bottom line, is that most servicers took the approach they didn't want to go through a mediation with the borrower, and if the non-judicial systems wasn't working, then they would file a lawsuit with the courts and go down the judicial foreclosure path.
What SB1552 failed to anticipate was the change of servicers moving to judicial foreclosures. The mediation requirement was only necessary if they were attempting to foreclose non-judicially, so servicers could avoid the mediation requirement by filing in the courts.
What Senate Bill 558 hopes to cure is that loop hold, requiring servicers to engage in a mediation process before filing a judicial foreclosure.
For those that like to read the text of proposed state laws, here is a link to SB 558.
http://www.leg.state.or.us/13reg/measpdf/sb0500.dir/sb0558.intro.pdf
The second bill of interest is House Bill 2639. This bill, called the Housing Choice Act of 2013, has the potential for significant impact to real estate investors. As indicated in the summary of the bill, the bill "redefines "source of income" for purposes of prohibiting discrimination in selling, renting or leasing real property." Meaning, if you are a landlord, you can no longer refuse to rent to anyone that holds a valid Section 8 voucher.
I'm going to let you dwell on that for a while as I gather more information on the potential impact and what the thoughts are from landlords around the state. In the interim, rather than think about what types of tenants that could bring, the higher position is what additional administrative costs this will bring, the potential to increase vacancies as the wait for unit inspections protracts due to lack of inspectors, the additional costs to landlords for repairs and requirements of the HUD program, and many other things. Your thoughts?
Oh, here is a link to that bill:
http://www.leg.state.or.us/13reg/measpdf/hb2600.dir/hb2639.intro.pdf
So, add your comments. I'll be back soon with more information.
Cody
The first bill, Senate Bill 558, doesn't really have much impact to real estate investors, but does have an impact on mortgage loan servicers when initiating a foreclosure process. First of all, a little history.
In the summer of 2012, two events occurred within a week of each other that had a substantial impact on mortgage loan servicers. First off, SB 1552 was passed in the 2012 Session and became law in July 2012. That bill, called the Foreclosure Avoidance Measure, required servicers to, among other things, to enter into mediation with the grantor (borrower) for the purpose of negotiating a foreclosure avoidance. The second event was that an Oregon Appellate Court basically stated that the Mortgage Electronic Registration System, or MERS, did not follow the Oregon non-judicial foreclosure laws, therefore nullifying, in most cases, a servicers right to foreclose if the beneficiary of the loan was listed as MERS. There is a lot to this case and I don't intend to discuss if in detail here.
Bottom line, is that most servicers took the approach they didn't want to go through a mediation with the borrower, and if the non-judicial systems wasn't working, then they would file a lawsuit with the courts and go down the judicial foreclosure path.
What SB1552 failed to anticipate was the change of servicers moving to judicial foreclosures. The mediation requirement was only necessary if they were attempting to foreclose non-judicially, so servicers could avoid the mediation requirement by filing in the courts.
What Senate Bill 558 hopes to cure is that loop hold, requiring servicers to engage in a mediation process before filing a judicial foreclosure.
For those that like to read the text of proposed state laws, here is a link to SB 558.
http://www.leg.state.or.us/13reg/measpdf/sb0500.dir/sb0558.intro.pdf
The second bill of interest is House Bill 2639. This bill, called the Housing Choice Act of 2013, has the potential for significant impact to real estate investors. As indicated in the summary of the bill, the bill "redefines "source of income" for purposes of prohibiting discrimination in selling, renting or leasing real property." Meaning, if you are a landlord, you can no longer refuse to rent to anyone that holds a valid Section 8 voucher.
I'm going to let you dwell on that for a while as I gather more information on the potential impact and what the thoughts are from landlords around the state. In the interim, rather than think about what types of tenants that could bring, the higher position is what additional administrative costs this will bring, the potential to increase vacancies as the wait for unit inspections protracts due to lack of inspectors, the additional costs to landlords for repairs and requirements of the HUD program, and many other things. Your thoughts?
Oh, here is a link to that bill:
http://www.leg.state.or.us/13reg/measpdf/hb2600.dir/hb2639.intro.pdf
So, add your comments. I'll be back soon with more information.
Cody
I'm baaaccckkkk!!!!
After a considerable time away from this blog, I've decided to return. I look forward to providing quality content on real estate investing, and in particular my business, Northwest Property Option.
We're just back from the National REIA Winter Meetings, which happened to be on the Adventure of the Seas. While my tan is fading, my enthusiasm for real estate investing hasn't. Check back often and grow with me as this business grows.
Thalk to you soon.
Cody
We're just back from the National REIA Winter Meetings, which happened to be on the Adventure of the Seas. While my tan is fading, my enthusiasm for real estate investing hasn't. Check back often and grow with me as this business grows.
Thalk to you soon.
Cody
Saturday, January 1, 2011
Ready for 2011
Happy New Year!! 2010 is behind us, and from my perspective, good deal. The uncertainty of last year is gone and I am eager for a better 2011.
I say many ups and downs this past year, and I have had some successes. I believe these successes have set up for a great 2011. I hope to be able to be more conistent with my blog posts for the new year and bring some great content and provide some real world examples of what is happening at Northwest Property Options.
Stay tuned.....Cody
I say many ups and downs this past year, and I have had some successes. I believe these successes have set up for a great 2011. I hope to be able to be more conistent with my blog posts for the new year and bring some great content and provide some real world examples of what is happening at Northwest Property Options.
Stay tuned.....Cody
Thursday, September 16, 2010
10 Habits of Highly Effective Real Estate Investors
Real Estate Investors come in all perspectives. There are those that do it part time while working a regular day job. There are those that keep a prior home as a rental when the move to a larger home they will occupy. Yet there are others that focus all their attention on the making real estate investing a full time occupation.
Whatever aspect you come from, here are 10 habits you must attain to be effective in your real estate investing:
10 Habits of Highly Effective Real Estate Investors
Here's to your successful investing. Cody
Whatever aspect you come from, here are 10 habits you must attain to be effective in your real estate investing:
10 Habits of Highly Effective Real Estate Investors
Here's to your successful investing. Cody
Tuesday, September 7, 2010
The 4 Most Important Things to Remember When Evaluating Real Estate Deals
There are a lot of things to consider when evaluating a deal. As real estate investors, we must find great deals, not good deals. Read the entire text of this article at this link from Biggerpockets.com.
The 4 Most Important Things to Remember When Evaluating Real Estate Deals
Follow me at Northwest Property Options on Facebook.
Cody
The 4 Most Important Things to Remember When Evaluating Real Estate Deals
Follow me at Northwest Property Options on Facebook.
Cody
Wednesday, August 18, 2010
Mortgage Closing Costs increase be 36%
According to a study by Bankrate.com, the average closing costs to a consumer have increased 36.6%. Watch the video below for more details about their findings.
2010 Bankrate Closing Costs Study
2010 Bankrate Closing Costs Study
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