Wisconsin Foreclosure Rescue Regulations Being Considered By State Legislature

In Wisconsin, an editorial in The Sheboygan Press highlights a few of the elements of the proposed Wisconsin state law intended to regulate foreclosure rescue, sale leaseback deals. In such deals, a homeowner facing foreclosure transfers title to a home to an investor, and then rents it back with an agreement to buy it back in the future. The investor provides the funds necessary to either pay off the existing mortgage, or at least catch up on the back payments, resulting in the cancellation of the foreclosure proceeding in court. While the Wisconsin legislature has yet to pass a law, foreclosure rescue legislation reportedly has bipartisan support. Currently, there are bills proposed both in the state Assembly and the state Senate. For more, see:

• Keep foreclosure rescues above board,
• Wisconsin Assembly Bill 568,
• Wisconsin Senate Bill 298.

For more on equity stripping scams, generally,see DREAMS FORECLOSED: The Rampant Theft of Americans' Homes Through Equity-stripping Foreclosure 'Rescue' Scams (4.61 MB approx.).