Real Estate Foreclosures Fraud Prevention Bill

Feb 22, 2024 | Published by Leave your thoughts

Normally, we post tips and real estate insider tricks. This time around, we’re posting about the most current legal news in real estate foreclosures.

An Assembly woman in New York, Helene Weinstein, sponsored The Foreclosure Fraud Prevention Act of 2012. The bill increases penalties for deceitful practices relating to real estate foreclosures in New York. The penalties range from large fines to jail time for people who engage in fraudulent practices.

Managers of residential mortgage businesses who know about real estate foreclosures fraud but don’t report it will be punished too.

Foreclosure is a big concern for home-owners in our times. For many, it is difficult to understand the real estate market. In turn, they get swindled out of their savings and their homes. This is a devastating prospect for home-owners.

An example of a deceitful practice is something called “robo-signing.” Robo-signing is a done by bankers who sign off on documents and affidavits without confirming that the information contained in the documents as valid or true.

The penalties associated with catching bad lenders will help deter the practices that prey on the innocent. It is the hope that unfair real estate foreclosure schemes will become a thing of the past. This bill guarantees that those responsible for the crimes will face deserved consequences.

The real estate foreclosures prevention bill was recently introduced in the state legislature. Lawmakers are waiting to see if this bill will be passed and become a law in New York. We hope that it does and the people responsible for flooding the market with bad deals go out of business.

We take our business seriously and only want the absolute best for our real estate clients. We screen our appraisers and hope that others in the industry keep their ethics in tact too. Let’s see what happens with this piece of legislation in New York and if other states will follow suit.

Tags: , , , , , , , , , , ,

Categorised in:

This post was written by Joseph Castaneda

Leave a Reply

Your email address will not be published. Required fields are marked *

Are You Human? * Time limit is exhausted. Please reload the CAPTCHA.