DAYTON, Ohio (WDTN) - U.S. Sen. Sherrod Brown (D-OH) was at the headquarters of the Dayton Area Board of Realtors Friday to unveil a plan that he said would improve the housing market by addressing “short sale” home sales.
Brown’s Prompt Notification of Short Sale Act is bipartisan legislation that addresses the lengthy closing process that often comes with a short sale.
Short sales are real estate transactions that must be approved by the bank because the seller owes more on their mortgage than the proposed sale price.
The act would require banks to respond in a timely manner when prospective buyers are attempting to purchase such homes. The legislation requires a written response of an acceptance, rejection, counter offer, or the need for an extension of time within 60 days of a request from a homeowner.
“Ohio families are tired of being stuck in limbo,” Brown said. “If we're going to fully recover from the housing crisis, we need to make it easier for qualified candidates to purchase homes. This commonsense legislation helps prospective home buyers and distressed homeowners alike-rebuilding our neighborhoods and jump-starting economic growth.”
Brown said that one-third of Montgomery County homeowners are underwater on their mortgages.
Below is data on the percentage of Miami Valley homeowners who owe more on their mortgage than their property is currently worth:
- Auglaize - 24%
- Champaign - 28%
- Clark - 31%
- Darke - 17%
- Greene - 23%
- Logan - 23%
- Mercer - 12%
- Miami - 24%
- Montgomery - 36%
- Preble - 23%
- Shelby - 26%