,i #aadth ,,congress #ast ,session ,h4 ,r4 #cbjc ,,in ,,the ,,house ,,of ,,representatives ,july #bc1 #bjae ,mr4 ,higgins introduced the following bill2 which was referred to the ,committee on ,financial ,services ,a ,,bill ,to require prompt responses by mortgage owners of homes in foreclosure to short sale offers to purchase such homes1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,vacant ,homes ,act of #bjae4 #b4 ,prompt response required 7a7 ,before ,foreclosure 7#a7 #ij days provided to respond ,with respect to a home in foreclosure1 the mortgage owner of such home who receives notice from the owner of such home 7or from such owner's designee7 of a qualified offer to buy such home in a short sale shall1 no later than #ij days after receipt of such notice1 provide a response to-- 7,a7 such homeowner2 and 7,b7 the person who made such offer4 7#b7 ,certification required when owner in imminent default ,if such home is a home in foreclosure only because the owner is in imminent default on a loan secured by a mortgage of such home1 a communication from such owner 7or designee7 to such mortgage owner does not constitute notice under paragraph 7#a7 unless such owner certifies in such notice that he or she is in imminent default on such loan4 7#c7 ,contents of response ,a response described under paragraph 7#a7 shall-- 7,a7 state that such mortgage owner accepts the offer2 or 7,b7 state that such mortgage owner rejects the offer and adequately provide a reason for such rejection4 7#d7 ,sufficient responses ,a response described under paragraph 7#a7 which states that such mortgage owner rejects the offer adequately provides a reason for such rejection only if it provides-- 7,a7 a counteroffer stating-- 7i7 an alternative price at which the mortgage owner would approve the offer2 and 7ii7 an economic analysis demonstrating a reasonable expectation that1 within the #a-year period following the #ij-;day period under subsection 7a71 the home's fair market value will likely be equal or greater than such alternative price2 7,b7 proof that the home's title is encumbered such that the transfer of title proposed by the offer is prohibited2 7,c7 proof that another mortgage owner of the home prohibits its being the subject of a short sale2 or 7,d7 proof that an enforceable contract between the mortgage owner and another person prohibits the mortgage owner from approving the offer4 7b7 ,after foreclosure 7#a7 #ij days provided to respond ,with respect to a foreclosed home1 the owner of such home 7or a servicer acting on behalf of the owner7 who receives a qualified offer to buy such home shall1 no later than #ij days after receipt of such offer1 provide a response to the person who made such offer4 7#b7 ,contents of response ,a response described under paragraph 7#a7 shall-- 7,a7 state that such owner or servicer accepts the offer2 or 7,b7 state that such owner or servicer rejects the offer and adequately provide a reason for such rejection4 7#c7 ,sufficient responses ,a response described under paragraph 7#a7 which states that such mortgage owner rejects the offer adequately provides a reason for such rejection only if it provides-- 7,a7 a counteroffer stating-- 7i7 an alternative price at which the mortgage owner would approve the offer2 and 7ii7 an economic analysis demonstrating a reasonable expectation that1 within the #a-year period following the #ij-;day period under subsection 7a71 the home's fair market value will likely be equal or greater than such alternative price2 or 7,b7 proof that the home's title is encumbered such that the transfer of title proposed by the offer is prohibited4 #c4 ,private rights of action 7a7 ,for homeowners ,a homeowner who has provided a mortgage owner with notice of a qualified offer under section #b7;a7 and does not within #ij days receive the response required thereunder may bring a civil action in the district court of the ,united ,states for the district in which such home is located against an entity required to provide such response4 7b7 ,for offerors ,a person who has made a qualified offer to purchase a home in foreclosure or a foreclosed home and does not receive a response within the #ij-;day period applicable under section #b7;a7 or #b7;b7 may bring a civil action in the district court of the ,united ,states for the district in which such home is located against an entity required to provide such response4 7c7 ,relief ,the relief sought in a civil action under subsection 7a7 or 7b7 may include an order requiring the defendant to comply with section #b4 #d4 ,authority granted to the ,bureau of ,consumer ,financial ,protection 7a7 ,enforcement authority ,the ,bureau of ,consumer ,financial ,protection may apply to the district court of the ,united ,states for the district in which a home in foreclosure or a foreclosed home is located for an order requiring-- 7#a7 the mortgage owner of such home in foreclosure to comply with section #b1 and for such other relief as the court may deem appropriate to carry out this ,act2 or 7#b7 the owner of such foreclosed home 7or a servicer acting on behalf of such owner7 to comply with section #b1 and for such other relief as the court may deem appropriate to carry out this ,act4 7b7 ,rulemaking authority ,the ,bureau of ,consumer ,financial ,protection shall have the power to make such rules as may be necessary or appropriate to carry out this ,act4 #e4 ,definitions ,as used in this ,act3 7a7 ,dwelling2 home ,the terms dwelling and home have the meaning given the term dwelling under section #ajc of the ,truth in ,lending ,act 7#ae ,u4,s4,c4 #afjb74 7b7 ,foreclosed ,home ,the term foreclosed home means a dwelling whose owner obtained such dwelling-- 7#a7 by reason of the acceptance by such owner 7or by a servicer acting on behalf of such owner7 of a deed in lieu of foreclosure on a mortgage of that dwelling2 or 7#b7 by reason of foreclosure on a mortgage of that dwelling by such owner 7or by a servicer acting on behalf of such owner74 7c7 ,home in foreclosure ,the term home in foreclosure means a dwelling-- 7#a7 whose owner is in imminent default on a loan secured by a mortgage of such dwelling2 7#b7 whose owner has defaulted on a loan secured by a mortgage of such dwelling2 or 7#c7 which is the subject of a foreclosure proceeding4 7d7 ,imminent default ,the term imminent default with respect to a loan obligation means a situation in which the obligor under such loan-- 7#a7 is current1 or delinquent by less than #cj days1 on the obligation under such loan2 and 7#b7 is experiencing a significant reduction in income or other hardship that will severely limit his or her ability to make the next required payment on such loan4 7e7 ,mortgage ,the term mortgage includes a deed of trust or other security interest in real property4 7f7 ,mortgage owner ,the term mortgage owner with respect to a dwelling means-- 7#a7 the mortgagee of such dwelling2 7#b7 the obligee of a loan secured by a mortgage of such dwelling2 or 7#c7 the servicer of a loan secured by a mortgage of such dwelling4 7g7 ,qualified offer 7#a7 ,in general ,the term qualified offer means an offer to buy a home for at least the lowest of-- 7,a7 half the assessed value of a home for the purposes of ,state or local taxation2 or 7,b7 half the value of a home as established by a private appraisal4 7#b7 ,no appraisal or assessment ,if a home that is the subject of an offer to buy has not been assessed for tax purposes or by a private appraisal1 such offer shall be deemed to be a qualified offer if it includes an offer to pay at least half the home's value as estimated for accounting purposes by-- 7,a7 if it is a foreclosed home1 its owner2 or 7,b7 if it is a home in foreclosure1 its mortgage owner4 7h7 ,servicer ,the term servicer has the meaning given such term under section #f7;i77#b7 of the ,real ,estate ,settlement ,procedures ,act of #aigd 7#ab ,u4,s4,c4 #bfje7;i77#b771 and includes a person who was a servicer of a loan secured by a dwelling before that dwelling became a foreclosed home4 7i7 ,short sale ,the term short sale means a transaction-- 7#a7 involving the sale of a dwelling that is the subject of a mortgage securing a loan for less than the amount of the outstanding obligation under such loan2 and 7#b7 in which the mortgage owner of such dwelling-- 7,a7 accepts the proceeds of such sale in partial or complete satisfaction of such loan2 and 7,b7 releases the mortgage of such dwelling4