Michigan Governor Rick Snyder signed a set of bills last week that will impact that the state’s foreclosure laws.
One of the bills, SB 383, maintains the state’s 180-day redemption period that gives the original homeowner time to reclaim the property or short sell the home after a foreclosure. However, the bill also includes a provision that allows the purchaser at the sale to inspect the home during the redemption period. If certain damages are found—such as boarded up or closed off windows—then the right to the redemption period is taken away from the homeowner.
Another bill, SB 380, extends the state’s 90-day negotiation period, which allows homeowners to seek out a modification from their lender, to January 10, 2014.
Snyder in a related letter called on the state’s legislature to clarify parts of the new laws and revealed plans to convene a workgroup to seek solutions to the issues.