Ohio’s foreclosure fast-track law, effective since April 2023, changed how mortgage lenders, municipal corporations and county land banks act on foreclosures in Cincinnati and across the state. This law speeds up foreclosures on abandoned residential properties, helping you recover investments faster and address neighborhood blight.
Previously, long foreclosure processes often increased costs, worsened property conditions and harmed neighborhoods. You now have a quicker option for eligible properties if you’re an eligible entity.
Fast-track law features
The law introduced several key changes to the residential mortgage foreclosure process:
- Eligible entities can now request expedited foreclosure on vacant and abandoned residential properties
- Foreclosure time may drop from months to just six weeks
- The requester must show clear proof the property is abandoned
- Property owners can still challenge the fast-track process
While also protecting property owners’ rights, this law helps you reclaim and resell properties faster, cutting your losses and helping keep neighborhoods stable. Local leaders expect this to help reduce Cincinnati’s vacant properties, which exceeded 8,000 in 2022.
How to use the fast-track process
If you’re a mortgage lender looking to use this expedited judicial foreclosure process, you can:
- File your foreclosure request and ask for fast-tracking
- Show proof the property is empty
- Inform everyone involved about your request
- Go to a hearing to see if you qualify
- If approved, you can start the foreclosure
Before you file, gather strong proof of abandonment, such as utility shut-offs, neglected upkeep or statements from neighbors.
Factors to keep in mind
While helpful, the fast-track law has its challenges. Interested parties might argue that the property isn’t really abandoned, which could slow things down. If the court approves your request, you need to move fast. The quicker timeline affects everyone involved, so you must act swiftly at each step to finish on time.
Remember, this law doesn’t work for lived-in homes or those in active bankruptcy. Check each property carefully to see if it qualifies.
This law gives you a new tool to manage your mortgage portfolio. But to use it well, you need to understand it fully. Consider seeking advice from a real estate law attorney. They can help you in meeting legal requirements and building a stronger claim for fast-track foreclosure.
The law tries to balance what mortgage lenders need with property rights, focusing on truly empty properties. Stay updated on court decisions and new laws to keep your foreclosures legal and effective as Cincinnati’s property market evolves.