This bill aims to streamline the process for mortgage lenders to foreclose on vacant and abandoned residential properties, specifically in uncontested actions. It stipulates that lenders can pursue a summary action for foreclosure only if the action is uncontested, and any defense or objection to this expedited process must be accompanied by an affidavit confirming that it is not intended to delay the proceedings. Additionally, the bill clarifies that if a property is deemed vacant and abandoned, lenders are not required to serve the debtor with a notice to cure, and it outlines the conditions under which a property can be classified as vacant and abandoned.

Furthermore, the bill enhances the remedies available to common interest communities regarding the foreclosure of vacant units. If a lender fails to file for expedited foreclosure, the community's board can file a motion to compel the lender to pay outstanding association fees, provided the motion meets specific requirements. The bill also allows the board to apply for the appointment of a fiscal agent to manage abandoned or unoccupied units, who would be responsible for maintaining the unit and ensuring payment of association fees. Importantly, any licensee placed in the unit would not have anti-eviction protections, and the fiscal agent could terminate the license agreement without creating a tenancy.

Statutes affected:
Introduced: 2A:50-73