Housing Law Commons^™

Concentration And Coordination: Antitrust Perspectives On Single-Family Rentals, Margaret Traubert

University of Cincinnati Law Review

No abstract provided.

Equity And Clarity: The Impact Of Tyler V. Hennepin County On Property Taxation And Homeowners’ Rights, Analy Feigel

Cardozo Law Review

This Note explores the implications ofthe U.S. Supreme Court's ruling in Tyler v. Hennepin County, which significantly impacts property taxation and foreclosure laws. The Court ruled that property owners are entitled to surplus proceeds following a tax foreclosure, setting a new precedent by deeming it unconstitutional for governments to retain surplus proceeds without just compensation. Tyler clarified property rights under the Fifth Amendment, affirming that owners have a constitutional right to the surplus value of their foreclosed properties, even if local statutes do not explicitly allow it.

Further, this Note also addresses unresolved issues following Tyler's ruling, including how the …

Time Traveling With The Foreclosure Abuse Prevention Act: New York’S New Law And The Constitutionality Of Retroactivity, Jessica A. Dimattia

St. John's Law Review

(Excerpt)

This Note argues that the Foreclosure Abuse Prevention Act should be interpreted to apply retroactively and that retroactivity is constitutional. Part I will survey the history of the foreclosure crisis that led to the abusive litigation tactics that made FAPA necessary. Part II will analyze the most notable provisions of FAPA which have given effect to the legislature’s intent in passing FAPA. Finally, Part III will examine the constitutionality of retroactive legislation and review the validity of arguments surrounding FAPA’s retroactivity

Controlling The Mischief Of New York’S Foreclosure Abuse Prevention Act Through Constitutional Pre-Emption, Shelby D. Green

Elisabeth Haub School of Law Faculty Publications

FAPA aimed to ease the burdens of long-delayed foreclosure proceedings by restating the operation of the statute of limitations. It contains provisions across several sections of state statutes that specify that once the six year statute of limitations on actions to foreclose commences, typically by the acceleration of the balance due on the promissory note and commencement of suit, it continues to run, even after the parties have entered into a workout agreement and have dismissed the complaint. By express terms, the Act had immediate effect, such that those lenders who withdrew complaints pursuant to a workout agreement before the …

Tyrannical Hoas And How To Reign In Their Foreclosure Power And Further Protect Homeowners, Juliette Koves

Faculty Scholarship

No abstract provided.

Crypto In Real Estate Finance, R. Wilson Freyermuth, Christopher K. Odinet, Andrea Tosato

Faculty Scholarship

Blockchain and cryptocurrencies have ushered in a digital gold rush. But all that glitters is not gold. The latest fad is the use of non-fungible tokens (NFTs) to purchase and finance real estate. Typically, crypto real estate transactions begin with the transfer of title for a residential property into a dedicated business entity, such as a limited liability company. Thereafter, an NFT is ‘minted’ and used to represent the ownership interest in that entity. The real property is then marketed online specifying that, to acquire it, one simply purchases the relevant NFT via a blockchain transfer. Crucially, buyers are expected …

Playing Monopoly With The Neighborhood: Impact Of Series Limited Liability Companies On Nuisance Abatement Actions And Housing Code Enforcement, Lauren Williams

Cleveland State Law Review

The City of Cleveland has been one of the most active cities in combating the negative effects of the 2008 financial crisis, utilizing nuisance abatement actions in combination with municipal programs aimed at assisting homeowners and renters. However, the Ohio Revised Limited Liability Company Act ("ORLLCA"), passed in 2021, may reverse the progress made in cities like Cleveland by enabling real estate investors to conceal assets in several series under the same limited liability company, resulting in rising vacancy rates and unstable communities. This will negatively impact the effectiveness of nuisance abatement actions and traditional housing code enforcement in curbing …

Non-Debt And Non-Bank Financing For Home Purchase: Promises And Risks, Shelby D. Green

Elisabeth Haub School of Law Faculty Publications

This Article explores the phenomenon of the NDNBs in home purchase and finance that has gained a growing presence in the mortgage marketplace since the 2008 crisis. Part II offers a deeper discussion of the risk-prone practices leading to the 2008 housing crisis and the regulatory and industry responses for recovery. Parts III and IV describe the emerging new models of home purchase. Part IV explores some of the apparent and hidden risks in these transactions. Part VI concludes with suggestions for assessing and managing risks and for reforms.

A-Void-Able Consequences: Void Sales & Subsequent Purchasers Under Arkansas’S Statutory Foreclosure Act, Hannah Hungate

Arkansas Law Notes

This Comment explores Arkansas’s Statutory Foreclosure Act and addresses the question of whether there can be a “subsequent purchaser for value” when a foreclosure sale is void from the outset. After a review of the Act itself, distinction between void and voidable foreclosures of property, findings of other state courts, and proper application of the Act, the author urges the Arkansas Supreme Court to make a formal declaration finding that purchasers of property foreclosed upon in a void sale are not “subsequent purchasers for value” under the meaning of the statute.

Yesterday I Was Lying: Creeping Preclusion Of Reciprocal Fee Awards In Residential Foreclosure Litigation, Eric A. Zacks, Dustin A. Zacks

St. John's Law Review

(Excerpt

As a result of the high volume of foreclosure litigation in the wake of the Great Recession, scholars have explored several outgrowths of the foreclosure crisis, developing a burgeoning body of research. Scholars and commentators have authored studies about a wide variety of foreclosure-related topics, ranging from the disparate racial effects of the housing crisis to the many legislative and court-instituted policies enacted to ameliorate the harsh reality faced by financially distressed homeowners, all the way through books examining the aftermath of the crisis and lessons learned from the entire experience.

Our previous contributions to this evolving body of …

Screened Out Of Housing: The Impact Of Misleading Tenant Screening Reports And The Potential For Criminal Expungement As A Model For Effectively Sealing Evictions, Katelyn Polk

Northwestern Journal of Law & Social Policy

Having an eviction record “blacklists” tenants from finding future housing. Even renters with mere eviction filings—not eviction orders—on their records face the harsh collateral consequences of eviction. This Note argues that eviction records should be sealed at filing and only released into the public record if a landlord prevails in court. Juvenile record expungement mechanisms in Illinois serve as a model for one way to protect people with eviction records. Recent updates to the Illinois juvenile expungement process provided for the automatic expungement of certain records and strengthened the confidentiality protections of juvenile records. Illinois protects juvenile records because it …

Path To Destruction: Cook County's Property Tax System Is A Cause For Concern As It Mimics The Defunct Taxing Procedures That Led To The Detroit Foreclosure Crisis, Robert Romano

Chicago-Kent Law Review

For decades, Cook County, Illinois, has had one of the highest property tax rates in the country, and as a result the County has begun to experience unprecedented foreclosure rates which has contributed, in part, to the State’s significant population decline. Residents are forced to endure a property tax system that disproportionately burdens low-income homeowners, while providing tax breaks to higher-income individuals and commercial owners. The primary causes and characteristics of Cook County’s defunct property tax system are strikingly similar to those that sent the City of Detroit spiraling into bankruptcy in 2013.

This note provides a comparative analysis of …

No Brakes: Loan Acceleration And Diminishing Foreclosure Defenses, Eric A. Zacks, Dustin A. Zacks

Law Faculty Research Publications

No abstract provided.

Leverage: State Enforcement Actions In The Wake Of The Robo-Sign Scandal, Raymond H. Brescia

Maine Law Review

In the fall of 2010, the revelations that tens of thousands of foreclosure filings across the nation were likely fraudulent—if not outright criminal—sparked a nation-wide investigation by all fifty state attorneys general to assess the extent of the scandal and its potential impacts, but also to consider likely legal and policy responses to such behavior. One of the tools at the state attorneys general’s disposal that might rein in this behavior includes each state’s Unfair and Deceptive Acts and Practices (UDAP) laws. Such laws typically prohibit “unfair” and “deceptive” practices, which are described loosely in these laws, and often give …

Foreclosure Diversion And Mediation In The States, Alan M. White

Georgia State University Law Review

The recent mortgage foreclosure crisis, whose economic effects are well known, transformed state legal structures governing the mortgage foreclosure process. What had been a relatively routine system of default judgments and auction sales has evolved into a negotiation and workout practice in which homeowners contest foreclosures, demand loan modifications and short sales, and propose other alternatives to foreclosures.

A profusion of state laws and court orders were adopted between 2008 and 2014 with the aim of promoting negotiated foreclosure alternatives. These laws have produced a variety of experiments in the “laboratories of democracy.” The defaults—whether home loans are renegotiated, defaults …

Rental Home Sweet Home: The Disparate Impact Solution For Renters Evicted From Residential Foreclosures, David Lurie

Northwestern University Law Review

At the end of the last decade, a drastic spike in residential foreclosures brought unprecedented attention to the damage that mass foreclosure often brings to primarily low-income, minority–majority communities. Much of this attention—in both the media and in the legal arena—has been devoted to homeowners disadvantaged by predatory loans and other unsavory practices. However, a recent body of scholarship has shown that the brunt of mass foreclosure often falls on renters, who often have little or no procedural protection from speedy and unexpected eviction from their homes, regardless of lease status or tenure. This Note argues that the Supreme Court’s …

Banks, Break-Ins, And Bad Actors In Mortgage Foreclosure, Christopher K. Odinet

University of Cincinnati Law Review

No abstract provided.

Counting Casualties In Communities Hit Hardest By The Foreclosure Crisis, Matthew Rossman

Faculty Publications

Recent statistics suggest that the U.S. housing market has largely recovered from the Foreclosure Crisis. A closer look reveals that the country is composed not of one market, but of thousands of smaller, local housing markets that have experienced dramatically uneven levels of recovery. Repeated waves of home mortgage foreclosures inundated certain communities (the “Hardest Hit Communities”), causing their housing markets to break rather than bend and resulting in what amounts to a permanent transition to a lower value plateau. Homeowners in these predominantly low and middle income and/or minority communities who endured the Foreclosure Crisis lost significant equity in …

Banks, Break-Ins, And Bad Actors In Mortgage Foreclosure, Christopher K. Odinet

Faculty Scholarship

During the housing crisis banks were confronted with a previously unknown number mortgage foreclosures, and even as the height of the crisis has passed lenders are still dealing with a tremendous backlog. Overtime lenders have increasingly engaged third party contractors to assist them in managing these assets. These property management companies — with supposed expertise in the management and preservation of real estate — have taken charge of a large swathe of distressed properties in order to ensure that, during the post-default and pre-foreclosure phases, the property is being adequately preserved and maintained. But in mid-2013 a flurry of articles …

Unfair Foreclosure Process: Protecting The Tenants That Pay Your Mortgage, Dania L. Sancho

St. Thomas Law Review

This comment addresses the problem tenants face when their rights are violated. Part II explains the different types of foreclosure actions, including judicial foreclosure in Part II(A), and non-judicial foreclosure in Part II(B), while Part II(C) describes the twenty-first century crisis in the United States. Part III of this comment explains the Protecting Tenants at Foreclosure Act of 2009, an act created by Congress in 2009 to help the affected tenants during the crisis.' Further, Part IV explains the different types of ownership and property rights. Part V contrasts the Protecting Tenants at Foreclosure Act of 2009 and current law." …

Catherine Lennon's Story: Lessons From Front Line Advocacy On The Human Right To Housing, Rob Robinson

Journal of Law and Social Policy

Discusses the United States housing crisis, where four and a half million families were foreclosed on between 2008 and 2013. Families who lacked universal or adequate health insurance, found the physical pain and suffering of a loved one was soon followed by the economic pain and suffering associated with the high costs of health care. The human reality of this suffering is reflected by the story of New York state resident Catherine Lennon. Ensuring the pay out to Bank of America was the law firm of Steven J. Baum, the notorious New York based foreclosure mill, which has since been …

The Price Of Equal Justice: How Establishing A Right To Counsel For People Who Face Losing Their Homes Helps Tackle Economic Inequality, Andrew Scherer

Articles & Chapters

No abstract provided.

A Tightrope Over Both Your Houses: Ensuring Party Participation And Preserving Mediation's Core Values In Foreclosure Mediation, Heather Scheiwe Kulp

Pepperdine Dispute Resolution Law Journal

The article focuses on the laws made for regulating the party's participation in preserving the principles of mediation for the resolution of disputes related to the foreclosure crisis. Topics discussed include the impact of the foreclosure crisis on the housing and domestic markets, the impact of foreclosures on the sales and price value of the houses and the impact of the foreclosure crisis on the economic conditions of the local communities.

Mortgage Wars Episode V - The Empiricist Strikes Back (Or Out): A Reply To Professor Levitin's Response , Mark S. Scarberry

Pepperdine Law Review

Professor Adam Levitin has responded to my recent symposium article critiquing proposed congressional legislation that would allow modification (including strip down) of home mortgages in Chapter 13 bankruptcy. A portion of my Critique criticized his empirical studies concerning the likely effect of the proposed legislation on mortgage interest rates and availability, and also criticized the arguments he has made in support of the proposed legislation. The Critique did note, however, that the insight involved in conceiving of such empirical studies was impressive. Surprisingly, Professor Levitin’s Response fails to deal with the substantial case authority discussed in my Critique. He treats …

Back To The Future With Chapter 13: A Response To Professor Scarberry, Adam J. Levitin

Pepperdine Law Review

Professor Mark Scarberry has put forth a formidable critique of my empirical study of mortgage market sensitivity to bankruptcy modification risk. As this response shows, however, his critique does not hold up under scrutiny. Professor Scarberry argues that my study design is invalid because, as he reads the current state of the law, cramdown is virtually impossible. Therefore, he contends, we should not expect markets to exhibit sensitivity to cramdown risk, so no policy conclusions can be derived from my finding of market insensitivity. Regrettably, Professor Scarberry overreads the state of the law. The law is in fact unsettled, and …

A Critique Of Congressional Proposals To Permit Modification Of Home Mortgages In Chapter 13 Bankruptcy, Mark S. Scarberry

Pepperdine Law Review

Proposed amendments to the Bankruptcy Code permitting strip down of under secured home mortgages to the court-determined value of the homes and other modifications of home mortgages in Chapter 13 would substantially alter the risk characteristics of home mortgages, with likely substantial effects on future mortgage interest rates and future mortgage availability. Thus, the future societal cost of such a change in the law likely would be large. This article explains and supports that thesis, primarily on the ground that the proposed changes would leave mortgage holders with all of the future downside risk in the real property market while …

Confronting The Mortgage Meltdown: A Brief For The Federalization Of State Mortgage Foreclosure Law, Grant S. Nelson

Pepperdine Law Review

This Article argues for federal preemption of state procedures governing the foreclosure of mortgages and security interests in rents. While it also suggests that federal action limiting or prohibiting state anti-deficiency legislation may be appropriate, it leaves this issue to future consideration. Thus, its major focus is to advocate the congressional adoption of both Uniform Nonjudicial Foreclosure Act (UNFA) and Uniform Assignment of Rents Act (UARA) to make them available to all lenders nationwide. However, the federal government has a special stake in greater uniformity for its own account. This is especially the case as to mortgages on real estate. …

Preventing A Return Engagement: Eliminating The Mortgage Purchasers' Status As A Holder-In-Due-Course: Properly Aligning Incentives Among The Parties, Alex M. Johnson Jr.

Pepperdine Law Review

No abstract provided.

The Value(S) Of Foreclosure Law Reform, Melissa B. Jacoby

Pepperdine Law Review

This symposium contribution examines the starkly different values reflected in traditional legal literature on foreclosure law reform in the U.S. as compared to some more recent entries in the wake of the rise of subprime lending and high rates of residential mortgage default. I highlight economist Dean Baker’s “right to rent” proposal, which would give former homeowners leasehold rights at market rates, to illustrate a more progressive set of housing policy considerations and to challenge the assumption that ownership is essential or optimal to promoting various housing objectives.

Foreclosure By Arbitration?, R. Wilson Freyermuth

Pepperdine Law Review

No abstract provided.