Judge Orders Extension On Foreclosure Protections
The Wayne County Treasurer filed a motion requesting that the redemption period on property tax foreclosures be extended. Judge Timothy Kenny ordered that foreclosure protections for occupied homes and commercial properties be extended to March 31, 2022. The order will keep properties off the annual auction block. However property taxes must continue to be paid. The Treasurer asserts that the main objective is to keep people in their homes.
Mortgage Servicers Warned to Prepare for Disaster
The Consumer Financial Protection Bureau warns that mortgage servicers should begin reaching out to affected home owners now in order to best advise them on ways they can modify their mortgage loans. The CFPB is concerned about mortgage firms that may cause harm to struggling families and homeowners. A separate compliance bulletin said that companies that are unable to successfully manage loss mitigation can expect the bureau to take enforcement or supervisory action. According to the bureau, as of January, over 2 million borrowers have postponed their payments or failed to make them for at least three months.
Weekly Brief – March 15
- The topic of reuse of no longer desirable real estate is starting to appear more frequently in the media. As I have discussed in several updates, the use of real estate will continue to change as the market desires change. This week, Crain’s discusses the reuse of several sites, including the Holiday Inn in Farmington Hills (discussed here previously), as well as Fairlane Mall (discussed here previously) and Briarwood Mall (also discussed here previously). Watch for reuse of real estate to become a continuing topic as retail and office uses fade.
- I am hearing from some individuals who would be in a position to know that the foreclosure “boom” that has been predicted may be a much smaller boom than thought. A combination of governmental assistance, mortgage servicer leniency, and post-COVID economic recovery may make the expected boom more of a small bubble.
- The changing desirability of malls is a nationwide issue, and is impacting even one of the most storied and successful urban malls in the country, Water Tower Place in Chicago, which is losing one anchor (Macy’s), and watching a second anchor drastically reduce its footprint (American Girl Place). If Water Tower Place is being this dramatically impacted, perhaps pessimism about even the most successful malls in Michigan is warranted (perhaps even Somerset Collection, the fate of which I discussed previously).
Eviction Moratorium Continues Through July
/in National /by Tracy WillisThe pandemic-inspired nationwide ban on evictions is hanging around for a while longer. The Supreme Court rejected pleas by landlords to end the moratorium with a 5-4 vote to keep the pan in place. The ban is due to expire at the end of July and another extension isn’t expected. In addition, the Treasury Department issued guidance encouraging a streamline distribution of the near $47 billion available for emergency rental assistance. The government is attempting to blunt the impact of the end of the eviction moratorium.
Millions Face Eviction & Uncertainty
/1 Comment/in National /by Tracy WillisAs states challenge the federal moratorium on evictions, families across the U.S. don’t know if they’re going to have a place stay. An avalanche of evictions could soon become a reality as renters owe $53 billion to landlords. The Texas Supreme Court lifted the moratorium on evictions on March 31. As a result, the Dallas-Fort Worth area has the third-most eviction filings in the country. The moratorium is scheduled to be lifted on June 30. According to the Aspen Institute, 40 million Americans are at risk of losing their homes.
Virtual Evictions Threaten Constitutional Rights
/in National /by Tracy WillisAcross the country, eviction hearings have moved to the computer because public officials don’t want to risk exposure to sick tenants arriving for court appointments. Lawyers have seen virtual eviction hearings that take as little as 30 seconds. Tenants often don’t have access to computers and have to dial into the hearings with their phones. Many courts only accept documentation online, and tenants who try to submit their records in-person are turned away. Many argue that tenants’ due process rights are violated by the technological and financial barriers of the eviction proceedings.