Mortgage Lenders Must Notify HPD Of Residential Foreclosures In NYC Now

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Foreclosure Notification: Local Law 4 of 2012

The New York City Council recently enacted legislation (Local Law 4 of 2012) requiring mortgagees (i.e., lenders) to notify the Department of Housing Preservation and Development (HPD) within fifteen days when they do any of the following: commence a mortgage foreclosure action against any residential property in New York City; discontinue a mortgage foreclosure action; receive a judgment in a foreclosure action against residential property; or sell the foreclosed property. Here is the HPD site for more info.

I expect that foreclosure attorneys will now add the failure to do this as a defense in foreclosure actions.