1st Engrossment - 85th Legislature (2007 - 2008) Posted on 12/15/2009 12:00am
|Introduction||Posted on 02/21/2008|
|1st Engrossment||Posted on 05/18/2008|
|1st Unofficial Engrossment||Posted on 04/25/2008|
|Conference Committee Reports|
|CCR-HF3346||Posted on 05/18/2008|
A bill for an act
relating to housing; providing assistance to prevent mortgage foreclosure;
increasing the maximum amount of financial assistance; amending Minnesota
Statutes 2006, section 462A.209, subdivision 7.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Minnesota Statutes 2006, section 462A.209, subdivision 7, is amended to
(a) Program assistance
and counseling to prevent mortgage foreclosures or cancellations of contract for deeds
includes general information, screening, assessment, referral services, case management,
advocacy, and financial assistance to borrowers who are delinquent on mortgage or
contract for deed payments.
(b) Not more than one-half of funds awarded for foreclosure prevention and
assistance activities may be used for mortgage or financial counseling services.
(c) Financial assistance consists of payments for delinquent mortgage or contract
for deed payments, future mortgage or contract for deed payments for a period of up to
six months, property taxes, assessments, utilities, insurance, home improvement repairs,
future rent payments for a period of up to six months, and relocation costs if necessary, or
other costs necessary to prevent foreclosure.
(d) deleted text beginAn individual or family may receive a maximum of $5,500 of financial assistancedeleted text end
new text beginnew text endto
prevent a mortgage foreclosure or the cancellation of a contract for deednew text beginnew text end.
(e) The agency may require the recipient of financial assistance to enter into an
agreement with the agency for repayment. The repayment agreement for mortgages or
contract for deed buyers must provide that in the event the property is sold, transferred,
or otherwise conveyed, or ceases to be the recipient's principal place of residence, the
recipient shall repay all or a portion of the financial assistance. The agency may take into
consideration financial hardship in determining repayment requirements. The repayment
agreement may be secured by a lien on the property for the benefit of the agency.
new text begin new text end