JAMESTOWN – Jamestown city officials are throwing their support behind a proposed state law that would put pressure banks to provide information on delinquent and foreclosed properties.
On Monday, the city council approved a resolution of support for the proposed Abandoned Properties Neighborhood Relief Act of 2014. According to Jamestown mayor Sam Teresi, the law, if put into effect in Albany, would address the growing problem of “zombie properties” which involve foreclosed properties that have been vacated by the home owner, but the bank does not do anything to resell or to keep the property up.
“Sometimes the bank will proceed ahead, run a foreclosure and seek possession. Many times the bank is not doing that,” Teresi explained to the city council earlier this month. “In the meantime, the homeowner has vacated, the bank has not taken over possession, the bank may never take over possession and its stuck with the local code enforcement officials and the taxpayers to take care of these properties.”
Teresi also said one of the stipulations of the proposed law would be that the banks are required to notify a property owner that they are allowed to remain in the home until the foreclosure process is completed.
“Keeping the homeowners in the property, legally as long as they are eligible to do so at least leaves somebody of responsibility there,” Teresi said. “They will either continue to mow the lawn and take care of the property, or at least there will be a legal party out there that we can find and go back against. And obviously with the hope of all hopes that something changes in the process.”
In addition, the proposed law would establish a statewide abandoned property registry so local officials know which properties have been abandoned and/or foreclosed. It would also create a statewide hotline for residents to report abandoned properties.
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