Despite the fact that the national foreclosure rate seems to be improving, year after year New Jersey continues to lead the nation in foreclosures. Recently, a bill package has been advanced by the New Jersey State Senate that seeks to address the state’s foreclosure crisis.
According to the New Jersey Record, in 2018, the national foreclosure rate dropped to 0.47 percent, down 8 percent from the previous year. Although New Jersey saw a similar drop last year, the overall rate of foreclosures in the Garden State remains high. According to RealtyTrac, an online real estate resource that provides foreclosure and housing data, New Jersey has had more foreclosures than any other state in the past three years. In February 2019, RealtyTrac recorded as many as one new foreclosure for every 1,006 housing units, almost 2.5 times the national rate. The top five counties for foreclosures in New Jersey are Cumberland (1 in every 326), Warren (1 in every 449), Atlantic (1 in every 458), Gloucester (1 in every 528), and Salem (1 in every 641).
In a recent press release, it was announced that legislation from a foreclosure bill package that seeks to address the high rate of foreclosures and streamline pending cases was advanced by New Jersey State Senate. The legislation seeks to help homeowners struggling to make payments and get foreclosed properties back in circulation sooner.
According to the press release, the bill package is as follows:
Bill S-3411 would require a notice from the mortgage lender with the intention to foreclosure would not be sent more than 180 days in advance of taking that action. Currently, a notice must be sent at least 30 days in advance of the lender initiating foreclosure or other legal action to take possession of the residential property.
Bill S-3413 would make changes to the summary action foreclosure process under the Fair Foreclosure Act by clarifying the method by which foreclosed properties can be sold on an expedited timeline.
Bill S-3416 would clarify the provisions of the New Jersey Residential Mortgage Lending Act and would also apply to out-of-state individuals and entities involved in residential mortgage lending in New Jersey. Debtors would be provided with a notice that the lender is licensed in accordance with the Act.
Bill S-3464 would revise certain provisions under the Fair Foreclosure Act to expedite residential mortgage foreclosure proceedings. The bill would require the sheriff to conduct a foreclosure sale within 120 days of the sheriff’s receipt of the writ of execution.
Unfortunately, many homeowners in New Jersey face the devastating effects of foreclosure. The lawyers at Law Offices of Hunziker, Jones & Sweeney assist those who are facing the prospect of foreclosure on their home. If you are facing a situation related to New Jersey foreclosure, contact our New Jersey foreclosure lawyers for a consultation at (973) 256-0456 or fill out our contact form for a consultation.