California Gov. Jerry Brown signed into law the remaining components of the state’s Homeowner Bill of Rights Sept. 25, the Los Angeles Times reported. The laws are designed to prevent another explosive housing crisis in the state, one of the hardest hit by the recession.
The three new laws include SB 1474, which gives the state’s attorney general authority to establish a statewide grand jury to investigate and issue indictments for financial crimes like mortgage fraud, the Times reported.
AB 1950, meanwhile, extends the statute of limitations for prosecuting mortgage-related crimes from one to three years.
AB 2610 offers guarantees to renters to allow them to stay longer in foreclosed properties purchased by new owners.
These three new bills come on the heels of two bills that were signed into law in July. Those bills banned banks from seizing homes when the owners were negotiating to lower their mortgage payments and they allowed state agencies and private citizens to sue financial institutions who willfully or recklessly violated the law.
“The Homeowner Bill of Rights will provide basic fairness and transparency for homeowners and improve the mortgage process for everyone,” Attorney General Kamala Harris said in a statement, the Times reported.