Proposed Zombie Property Regulations

October 21, 2016

The Department of Financial Services (DFS) has proposed a regulation that will implement provisions of Part Q of chapter 73 of the Laws of 2016 requiring banks and mortgage servicers to secure, protect and maintain vacant and abandoned properties before and during foreclosure proceedings They will be required to complete an inspection of a delinquent property within 90 days and to secure and maintain the property, if vacant. The proposed regulation is subject to a 45 day comment period ending November 28, 2016. The proposed regulation is available for review here.