A coalition of community organizations and public employee groups is pushing for passage of three proposed state laws that aim to reduce the number of foreclosures in California.
About 40 demonstrators, including a few homeowners who are facing foreclosure, marched around the Bank of America building in downtown San Diego on Wednesday to bring attention to legislation that would require banks to do more to prevent foreclosures.
"Banks get bailed out! People get sold out," they chanted.
Rallies were held in other California cities in support of what organizers call "the homeowners' protection package," which they say are intended to mitigate the cost of foreclosures on communities, provide homeowner protection and stabilize the housing market.
The campaign is being organized by the Los Angeles-based Alliance of Californians for Community Empowerment (ACCE), which works with low-income, immigrant and working families and has an office in National City. For more information about this group visit its website at http://www.calorganize.org
ACCE recently released a study called "Home Wreckers" about the impact foreclosures are having on communities across the state. One in five foreclosures in the United States is in California, according to the study.
More than one third of California homeowners with a mortgage owe more on their mortgage than their homes are worth, according to the study.
The community organizer also sponsors a group called Home Defenders, for homeowners who are interested in joining together to change policies and fight foreclosures. The group can be found at http://www.homedefendersleague.org
The proposed laws ACCE and its partners are supporting:
SB 729- Fair and legal loan modification bill; state Sen. Mark Leno, D-San Francisco:
This bill would require loan servicers to give homeowners a "yes" or "no" decision on their loan modification application before beginning the foreclosure process.
AB 935- Foreclosure fee bill; Bob Blumenfield, D-San Fernando Valley:
This bill would impose a fee on a bank or other foreclosing party to raise revenue to mitigate the economic impact of foreclosures on cities, counties, school districts and the state.
AB 1321- Title transparency bill; introduced by Assemblyman Bob Wieckowski, D- Fremont
This bill aims to make sure that the foreclosing party has the right to foreclose. Banks have been criticized for expediting the eviction of homeowners without all the necessary paperwork and verification.
This legislation would require the recording of all mortgage deed/trusts and assignments, and payment of the requisite fees and would require that the mortgage note be filed prior to issuing a "Notices of Default" to ensure that the foreclosing party has the right to foreclose.
Leonel.sanchez@sandiegored.com
