Michael P. Ehline Consumer Law Blog on Lawyers.com

San Francisco city uses legal system to force foreclosure owners to address deteriorated real estate

Tuesday, April 17, 2012 by Michael P. Ehline

Many people believe that some well known banks have gotten away with all sorts of mercenary business
practices in recent years. It seems as if the housing crisis has really brought out the character
of what the American people are dealing with in relation to our big-banks
banking system.
We know now that big banks aren’t really our caring
community neighbor down the street as they like to characterize themselves. Well, at least not all of them are.
Their customers have fled them in large numbers, falling into the arms of Credit
Unions across the country. At least they decided to do away with the proposed debit card fees, you have to give them credit for that.
San Francisco Examiner staff writer, Joshua
Sabatini, posted a story under the headline; “Foreclosed properties could fall
under nuisance law penalities,” today, April 15, 2012. He writes that owners of
foreclosed properties in San Francisco, such as the aforementioned banks for example, are
finally getting in the spotlight for allowing some of those properties to fall
into disrepair. In the Maui real estate market this may be happening as well.
Sabatini writes that District 10 has proposed legislation
that will make foreclosed properties subject to the city’s nuisance law.

Sabatini quotes District 10 supervisor Malia Cohen as saying, “I (have) seen
time and time again owners of foreclosed properties leaving them deteriorated,
accumulating trash, graffiti and other nuisances. These properties remain in
despair for months — even years — subjecting tenants, neighbors and communities
to the physical blight. (this is a) clear violation of The City’s blight laws." He went on to say that
“(Yet) I
continue to see owners of foreclosed properties completely disregard requests
from The City and the community to (fix the problem)”
Sabatini notes the
example of a property which has provoked complaints to the City. The trustee of
the home is U.S. Bank, but it said the responsibility for the property’s
condition belongs to Bank of America, writes Sabatini. When I read things like this it reminds me of why there are so many Hawaii and Maui real estate lawyers as well as real estate lawyers around the country.
The banks haven’t
seemed too interested in helping distressed homeowners, or in taking care of the
real estate they take rights to. “Giving back to the communities” they aim to
extract profits from is only a catchphrase to some of these big banks who will remain nameless.

Posted at 19:06 PM

Topic: Consumer Law