HF 3029

as introduced - 87th Legislature (2011 - 2012) Posted on 04/24/2012 09:43am

A bill for an act
relating to mortgage foreclosures; requiring lenders to make certain
postforeclosure offers to former homeowners; proposing coding for new law in
Minnesota Statutes, chapter 580.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

new text begin [580.231] OBLIGATION TO OFFER PROPERTY TO FORMER
OWNER AFTER FORECLOSURE.
new text end

new text begin A mortgagee shall, after the expiration of the redemption period after foreclosure
of a residential mortgage, offer the property for sale to the former owner at a price no
higher than the price the mortgagee could reasonably expect to obtain in an arms-length
sale and include in the offer financing for purchase of the property by the former owner at
the lowest interest rate then available from the lender. The offer must be available for at
least 60 days. The monthly payment must not exceed the guidelines of the United States
Department of Housing and Urban Development.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective August 1, 2012.
new text end