Connecticut House Bill HB05611

Connecticut 2021 Regular Session

• Introduced: 1/27/21
• Refer: 1/27/21

Caption

An Act Concerning Property Appraisals In Foreclosure Proceedings.

Impact

If enacted, HB 05611 would significantly impact foreclosure proceedings in the state by establishing a standardized requirement for property appraisals. Requiring a licensed appraiser who represents the property owner's interests could lead to more accurate market valuations, as these appraisers are typically more attuned to local real estate conditions and the specific characteristics of the property. This change could potentially reduce disputes over property values in foreclosures, which have historically been contentious during such legal processes.

Summary

House Bill 05611 aims to amend the statutory framework governing property appraisals during foreclosure proceedings. The bill specifies that the fair market value of a property undergoing foreclosure must be assessed exclusively by a licensed appraiser representing the interests of the property owner. This legislative proposal intends to safeguard the rights of homeowners by ensuring that their interests are adequately represented in the appraisal process, thus promoting fairness and transparency in foreclosure outcomes.

Contention

The bill has been introduced amid ongoing discussions about the fairness of the foreclosure process, especially given the challenges homeowners face. While supporters, including some advocacy groups and real estate professionals, argue that this requirement will protect homeowners from undervaluation, there may be opponents who express concerns about the potential for increased costs and delays in the foreclosure process. Critics might worry that additional regulations could slow down necessary transactions and impose financial burdens on both lenders and borrowers in foreclosure situations.