Yonkers Insider: Chairman of the Westchester County Board of Legislators, Ben Boykin, 5th District: Emergency Eviction and Foreclosure Prevention Measures Becomes Law.

 

Emergency Eviction and Foreclosure Prevention Measures Becomes Law.

On Monday, December 28, Governor Cuomo signed into law the COVID-19 Emergency Eviction and Foreclosure Prevention Act of 2020.  The law was passed by the State Senate and Assembly in special sessions earlier in the day.

The new measure is designed to ensure that New York renters and homeowners can stay in their homes if they are facing hardships due to the pandemic.

The legislation helps tenants facing eviction and property owners facing foreclosure proceedings. 

Here are the major provisions of the new law:

Residential Evictions

• Places a moratorium on residential evictions until May 1, 2021 for tenants who have endured COVID-related hardship.
• Tenants must submit a hardship declaration, or a document explaining the source of the hardship, to prevent evictions.
• Any pending eviction proceedings, or any commenced within 30 days of the effective date of the legislation, will be stayed for at least 60 days to give tenants an opportunity to submit hardship declarations.

Residential Foreclosure Proceedings

• Places a moratorium on residential foreclosure proceedings until May 1, 2021.
• Homeowners and small landlords who own 10 or fewer residential dwellings can file hardship declarations with their mortgage lender, other foreclosing party or a court that would prevent a foreclosure.

Tax Lien Sales

• Prevents local governments from engaging in a tax lien sale or a tax foreclosure until at least May 1, 2021.
• Payments due to the locality are still due.

Credit Discrimination and Negative Credit Reporting

• Lending institutions are prohibited from discriminating against a property owner seeking credit because the property owner has been granted a stay of mortgage foreclosure proceedings, tax foreclosure proceedings or tax lien sales.
• They are also prohibited from discriminating because the owner is in arrears and has filed a hardship declaration with the lender.

Senior Citizens' Homeowner Exemption (SCHE) and Disabled Homeowner Exemption (DHE)

• Local governments are required to carry over SCHE and DHE exemptions from the 2020 assessment roll to the 2021 assessment roll at the same levels.
• They are also required to provide renewal applications for anyone who may be eligible for a larger exemption in 2021.
• Recipients of the exemption do not have to file renewal applications in person.

For more information visit https://www.governor.ny.gov/news/governor-cuomo-signs-covid-19-emergency-eviction-and-foreclosure-prevention-act-2020