The slower the market is to work, the less efficient it is. Capital gets tied up and can’t be allocated most efficiently.
Processing a foreclosure typically takes two years in Florida’s clogged court system. Now Florida lawmakers are looking at speeding up that process to make the market work more effectively.
Keeping people in homes they can’t afford is doing nobody any favors. It just gums up the economy and slows it down and delays the day when the housing industry turns around.
Foreclosures typically takes three years to process in New York and about 100 days in Texas.
The Washington Post reports: Proponents of measures such as those included in the Florida bill, known as HB 213, argue that prolonging foreclosures means delaying economic recovery, and that the faster ailing markets hit bottom, the faster the healing process can begin.
Last week, the bill overwhelmingly passed in the House. Similar legislation awaits a vote in the Senate during the jampacked final week of the legislative session, which ends Friday.
Among other elements, the bill empowers any lien holder — including condominium associations and homeowners associations as well as banks — to seek expedited foreclosures, including on properties that are deemed abandoned. It would require banks to provide accurate and complete information to courts at the beginning of the foreclosure process, rather than piecemeal filings that often occur throughout the course of each case.