This bill aims to streamline the process of involuntary real property transfers by exempting them from certain municipal transfer approvals and water testing requirements. Specifically, it defines "involuntary real property transfer" as transfers resulting from foreclosure, sheriff sales, bankruptcy, or delinquent taxes. The bill stipulates that municipal ordinances requiring inspections or approvals will not apply to these transfers, and property owners will be exempt from local ordinances related to building occupancy, housing, zoning, and property maintenance for a period of 90 days following the transfer or until they recover possession through legal action. Additionally, municipalities retain the right to abate violations and place liens on such properties.

Furthermore, the bill introduces a temporary transfer approval process for properties that would typically require municipal approval prior to transfer, provided certain conditions are met, such as the seller's ownership being recorded and certifications from both the seller and buyer regarding occupancy. It also amends existing law to clarify that water testing is not required for properties involved in involuntary transfers, thereby preempting any conflicting local regulations. Overall, the bill seeks to facilitate the transfer of properties under distress while ensuring that municipalities can still address health and safety concerns as needed.

Statutes affected:
Introduced: 58:12A-27, 58:12A-34