January 1, 2021, the new Civil Code § 2924f Click here for text of AB1079 and Civil Code 2924f prohibits bundled residential foreclosure packages to be sold. Sometimes lenders as part of the foreclosure would at auction bundle several properties together selling them to a single buyer. The new law requires foreclosed homes to be sold individually to give people who want to actually live in the home a fair chance at buying it. Special notices (forms) are now required and after the initial bids at the foreclosure auction are received, tenants, families, local governments, affordable housing nonprofits, and community land trusts have a 45-day window to offer a higher bid in order to buy the property. These provisions of SB 1079 apply to all residential properties with one to four housing units and will sunset in five years.
