Relief for homeowners and renters

Yesterday, Governor Wolf signed a new executive order extending eviction and foreclosure protections for homeowners and renters through August 31, 2020. The executive order must be read carefully because it does not provide protection in all cases.

The Governor’s executive order precludes the initiation of new mortgage foreclosure action – however, it does not protect homes which had already been scheduled for sheriff sale or if the lender has already commenced the mortgage foreclosure process. Evictions are suspended for non-payment of rent or for “holding over” after the term of the lease has expired – but evictions for violations of other lease covenants are permitted. 

The original full text of the March 18, 2020 Order can be found here: https://www.governor.pa.gov/…/20200709-TWW-eviction-order.p…

Homeowners who are facing foreclosure should also be aware of the powerful consumer protections of the Bankruptcy Code. The code contains an arsenal of legal remedies which home owners can save their homes from foreclosure while at the same time discharge most kinds of debt. Chapter 13 bankruptcy imposes a 60 month stay protecting homeowners from foreclosure that permits them to repay mortgage arrears and real estate tax. All types of bankruptcy will discharge most kinds of debt, including credit cards, medical bills, past due rent and vehicle deficiency claims. 

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Brent Diefenderfer is a board certified consumer bankruptcy attorney with CGA Law Firm and can be reached at bdiefenderfer@cgalaw.com or (717) 718-7127.

Please the link below to learn more about Brent.

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