Bill > S450

Introduced Session

This bill places certain obligations on creditors to maintain vacant dwelling units in age-restricted communities during foreclosure. The bill provides that if the owner of a dwelling unit in an age-restricted community vacates or abandons a unit on which a foreclosure proceeding has been initiated or if a unit becomes vacant at any point subsequent to the creditor's filing the summons and complaint in an action to foreclose on a mortgage against the unit, but prior to vesting of title in the creditor or any other third party, a representative of the community may notify the creditor of the vacancy. The creditor, in addition to any other applicable responsibilities under the current provisions of section 17 of P.L.2008, c.127 (C.46:10B-51) with respect to maintaining residential property, shall have the responsibility, in the same manner and to the same extent as the title owner of the unit pursuant to the bylaws, rules, and regulations of the community, to: (1) pay the unit's monthly maintenance fee and the unit's share of any other common expenses of administering, maintaining, or operating the community; and (2) maintain the unit. The creditor may recover, against the title owner in the foreclosure or any other action, any outstanding fees paid or expenses incurred toward the maintenance of a vacant or abandoned property. If the creditor, subsequent to receipt of notice from the community, fails to pay the monthly maintenance fee or other common expenses or fails to maintain the dwelling unit pursuant to the bylaws, rules, and regulations of the community, the community shall have the same recourse against the creditor as it would have against the title owner of the unit pursuant to the bylaws, rules, and regulations of the community. The bill adds the nonpayment of any condominium or age-restricted community unit's monthly maintenance fee and common expenses for administering, maintaining, or operating the community or maintenance of the unit to the list of conditions indicating that a property is vacant and abandoned pursuant to P.L.2012, c.70 (C.2A:50-73).

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Jim Holzapfel (R)*, 

Introduced in the Senate, Referred to Senate Commerce Committee (on 01/09/2024)

Official Document