Senator Richard Blumenthal (D-CT) and Representative Keith Ellison (D-MN) have introduced legislation to make the federal Protecting Tenants at Foreclosure Act (PTFA) permanent, and to add a private right of action to the law. The House bill, H.R. 3543, was introduced on November 20 and has 18 original co-sponsors. It has been referred to the House Committee on Financial Services. The Senate bill, S. 1761, was introduced on November 21, with Senators Elizabeth Warren (D-MA) and Sherrod Brown (D-OH) as co-sponsors. It has been referred to the Senate Committee on Banking, Housing, and Urban Affairs.
The PTFA is the only federal protection for renters living in foreclosed properties. The law provides renters the right to at least 90 days’ notice before being required to move after the property in which they live has been foreclosed. Without an extension, the law will expire on December 31, 2014.
“The PTFA was a groundbreaking piece of federal legislation based on recognition that the foreclosure crisis was hitting a lot more people than homeowners. Almost half the people who lost their homes due to foreclosure were renters and they had no protections whatsoever,” NLIHC President and CEO Sheila Crowley said. “This piece of legislation needs to continue because if it expires, renters will have no federal protection, and the remaining patchwork of state laws will leave renters in many states facing the threat of immediate eviction again through no fault of their own. People who faithfully pay their rent every month should not be subjected to the threat of losing their home because their landlord is facing foreclosure. NLIHC commends Senator Blumenthal and Representative Ellison for their leadership in this effort to protect renters in foreclosure.”
NLIHC urges advocates to contact their Senators and Representatives and ask them to cosponsor the legislation. Making PTFA permanent is a major NLIHC policy objective in 2014.
Read H.R. 3543: http://1.usa.gov/1aDgiol