LANSING―The 90-day foreclosure prevention program that would have expired on July 5 has been extended until Jan. 5, 2012, after legislation sponsored by Sen. Mike Green was recently signed into law.
“The foreclosure prevention program encourages homeowners and lenders to work things out and avoid an unnecessary foreclosure”, said Green, R-Mayville. “Getting mortgages back on track, when possible, benefits the homeowner, the lender and the community.”
Under the program, mortgage lenders are required to mail written notice of a potential foreclosure to homeowners. The homeowner could then request a meeting with their lender, which would result in a 90-day period for mortgage negotiations to take place, if applicable in the situation. Borrowers who do not take the steps required under the program or who do not qualify for a modification would still be subject to foreclosure proceedings.
Senate Bill 398 is now Public Act 72 of 2011.
For more information or to contact Green, please visit his website, www.statesenatormikegreen.com.