California Homeowner Bill of Rights to Take Effect January 1, 2013
By: Esther Cho
Attorney General Kamala D. Harris issued a statement Thursday that served as a reminder that the California Homeowner Bill of Rights will soon take effect.
The official start date for the landmark bill is January 1, 2013. The six-part bill extends foreclosure protections to California homeowners through laws restricting the practice of dual-tracking and by guaranteeing homeowners a single point of contact from their servicer.
Tenants residing in foreclosed homes are also provided with protections and are given at least 90 days before getting evicted.
Another component of the bill gives the attorney general’s office the authority to use statewide grand juries to investigate and indict individuals who are part of financial crimes involving victims in multiple counties.
Other provisions from the bill include additional tools for local governments to prevent blight and the extension of the statute of limitations to prosecute mortgage-related crimes from one year to three years.
“For too long, struggling homeowners in California have been denied fairness and transparency when dealing with their lending institutions,” said Attorney General Harris. “These laws give homeowners new rights as they work through the foreclosure process and will give Californians a fair opportunity to stay in their homes.”
The final parts of the six-part bill were signed into law by Governor Jerry Brown in September.
According to ForeclosureRadar, the specific provision banning dual-tracking has already impacted the state through an increase in foreclosure cancellations, which spiked 62.1 percent from September to October .
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