This message is from Thomas Blanchard:
The current bill S.B.321 which is touted in the Nevada Senate as “The Homeowner’s Bill of Rights” is almost a carbon copy of the “California’s Homeowner Bill of Rights” law. Without “fixing” the language in S.B.321 Nevada will suffer the same fate that California has, “slowdown in foreclosures and short sales”. Have we not “Californicated” Nevada enough? Haven’t those of us whom relocated from California to Nevada, do it to get away from the over burdensome laws and regulations that California has placed on it’s citizens? Why are we copying a law that has already proven to be a bad law? We have had to live for the past three years with the over reaching legislation of A.B.284 from the last legislative session. The last year and a half was spent trying to reword A.B.284 so it wouldn’t be so overly restrictive. The Legislature passes a bill to correct the wrongs of A.B.284 and at the same time Senator Justin Jones and the Democrat controlled Senate Judiciary Committee introduces and passes a bill that double downs on the housing mess we are currently in! Should this bill pass, in it’s current form, we will be stuck with the “unintended consequences” of this bill for the next 3 years. The only real winner in this is the Home Builders as their business is booming. I testified in front of the Senate Judiciary Committee and stated I had concerns about sections of the bill as did Keith Lynam, the head of the Legislative Management team for GLVAR. I attempted to have the committee add additional language to the bill allowing underwater homeowners, current on their payment as well as those that may have fallen a bit behind, with a way to receive relief from their over burdensome mortgage amount. A simple request that would involve just one sentence but would have huge ramifications for all homeowners providing them with the right to receive relief. Not just more regulations that would muck up the waters even further with repetitive tasks and lawsuits, which is at the heart of S.B.321. This bill must be fixed and apparently the next place that can happen is in the State Assembly which will be receiving S.B.321 in the coming week. I can only hope that the even heavier Democrat controlled Assembly can see a wolf dressed in sheep’s clothing and not have the wool pulled over their eyes into seeing or thinking, how can I not vote for a bill named “The Homeowner Bill of Rights”. Well if it had been a true Homeowner Bill of Rights, it would have protection for all Homeowners, those current on their mortgage as well as those whom are not. Since this bill really only deals with those that have defaulted in their mortgage, I would suggest that the bill should have been named “The Defaulted Homeowners Bill of Rights” which properly describes who the bill actually gives rights too. That way everyone could understand what and for whom they are voting on when they vote on S.B.321.
The following is a comment I made regarding the threads on S.B. 321 and S.B.424 going through the Nevada Legislature currently:
Amazing, here I start a Nonprofit, Nevada Home Stabilization Program, (NHSP) for the express intent to have Underwater Homeowners Short Sell their homes to the Nonprofit and immediately sell it back to them at 125% of the Short Sell price. The only item stopping this from happening is the “Arms Length Affidavit.” Of course now HAFA no longer requires an “Arms Length Affidavit” in a Short Sale to a Nonprofit if they are 90 days delinquent. So I provide verbiage to our State Legislators, which would remove the requirement for an “Arms Length Affidavit” from any homeowner (Current or Delinquent) selling their home to a Nonprofit and even testify and they do nothing. Instead they go down the path of providing rights to defaulted homeowners and work to provide a 1st Right of Refusal to the homeowner if they actually do follow through and foreclose on defaulted home loan.
Sometimes you just can’t fight the tide of narrow vision. The true lack of understanding that we must incentivize good behavior and discourage irresponsible behavior, like not paying your mortgage payment or not allowing the ability of resetting loans at current market value, is hard to understand. Yes the Banks went overboard. So lets punish the Banks by allowing the homeowner that is doing the right thing to have their values reset through a program like NHSP. Yes there are homeowners that are not making a payment on their home mortgage. Some have made a conscious choice to stop paying, due to their own personal situation or are tired of paying into a huge black hole (Underwater). If they really can afford the home at today’s value lets refinance it and get them on steady ground. If they cannot afford the home at today’s value, then we need to move them forward through the process of finding them an alternative living situation, which better meets their current financial situation and ability to pay. This addresses both sides of the issue, the Banks and those that may have over reached in their purchase. Right now most of the homeowners have given up because they are so underwater. So lets address the real issue not what sounds politically correct