STATE HOUSE – February 3, 2014 – (RealEstateRama) — Rep. John G. Edwards (D-Dist. 70, Portsmouth, Tiverton) and Sen. Harold M. Metts (D-Dist. 6, Providence) have filed bills that would prevent banks from evicting tenants living in foreclosed homes until they sold the house to a new owner.
Currently, tenants living in foreclosed homes have only 90 days before the foreclosing lender can evict them without cause. Under the language of the new bills, that new owner would have to be a non-financial institution in order for an eviction of that nature to take place.
“I introduced this bill six years ago when I met a neighboring family in Tiverton who lived in a foreclosed home,” said Representative Edwards (D-Dist. 70, Tiverton, Portsmouth). “Their situation shed light on the fact that our laws regarding tenant eviction and foreclosed homes disrupt the lives of hard-working families and individuals. The legislation Senator Metts and I have introduced not only protects those tenants, but breeds positive support from the local community. Renters need time to save and plan a clean exit, while cities and towns need to clamp down on vandalism and theft in empty buildings. This isn’t just about the foreclosure crisis in Rhode Island. It’s also about keeping people off the streets in tough economic times. We need to do what’s right here to ensure the people of Rhode Island have proper protection.”
Senator Metts added, “Unoccupied foreclosed homes cause all kind of problems in neighborhoods, including dragging down property values. Banks are opening those empty buildings up to more than just vandalism when they force families and individual renters to leave so quickly. An empty foreclosed home then serves as a tempting opportunity for thieves looking to steal pipes and cabinets. The grass is left uncut. The property value of surrounding homes decreases dramatically. What the foreclosure crisis does is poison whole neighborhoods, and not just urban ones. Meanwhile, families who have been evicted don’t just have to worry about a new place to live – they have to find new schools for their children, whose education has been interrupted. While the banks are looking out for their interests, we must ensure that the people’s interests are taken care of as well. This legislation brings balance to that equation.”
The primary sponsors of the legislation held a press conference on Thursday, Jan. 30, to talk about the benefits of the bills. In attendance were Representatives Jeremiah T. O’Grady (D-Dist. 46, Lincoln, Pawtucket), Frank G. Ferri (D-Dist. 22, Warwick), Teresa Tanzi (D-Dist. 34, South Kingstown, Narragansett) and Donna M. Walsh (D-Dist. 36, Charlestown, New Shoreham, South Kingstown, Westerly). Members of the Direct Action for Rights and Equality (DARE), an organization whose mission includes organizing low-income families in communities of color to pursue social justice, were also present. Representative Edwards and Senator Metts have submitted similar versions of this legislation for the past six years, saying the statutes need to be changed in order to keep more people off the streets and protect tenants’ most basic rights.
Despite recent declines in overall foreclosures, the statistics in Rhode Island are still shocking. According to Housing Works RI – a coalition of more than 140 organizations working toward ensuring quality, affordable homes for all Rhode Islanders – there were more than 9,600 foreclosures filed in this state between the first quarter of 2009 and the second quarter of 2013. Of those filings, more than 2,800 were multi-family foreclosures.
For more information, contact:
Brenna McCabe, Publicist
State House Room 20
Providence, RI 02903