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Pebble Singha ..'s Blog

By Pebble Singha .. | Agent in Encino, CA

Support the anti Deficiency bill SB 1178 for people facing foreclosure !! I am RU?

Pebble Singha
Certified Distressed Property Expert
"Helping Homeowners avoid Foreclosure"

HI Folks,
California legislature just passed the SB 1178 bill . It is now on th edesk of Gov. of Ca. Pebble Singha supports this bill. I sent a letter to the congressman before to help this bill get support in the legislature and now just sent a letter to the Gov. to sign this bill in order to protect homeowners who refinanced just to get a lower rate.Thanks to California Association of Realtors to support this bill.

What's At Stake:

C.A.R. is sponsoring SB 1178 (Corbett) to better protect homeowners going through foreclosure. SB 1178 will ensure that homeowners keep the same "anti-deficiency" protections they have in the original loan after the loan has been refinanced.

California's anti-deficiency protection for "purchase money" mortgages says essentially that if a homeowner defaults on a mortgage used to purchase his or her home, the homeowner's liability on the mortgage is limited to the property itself. The law has worked well since the 1930s to protect borrowers, ensure the quality of loan underwriting and allow borrowers brought down by financial crisis to get back on their feet.

Unfortunately, the 1930s law hasn't kept up with current times. Current law doesn't apply to loans used to refinance the original purchase debt, even if the refinance was only to gain a lower interest rate. Recent years of www.pebblesingha.com

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