HONOLULU — Gov. Neil Abercrombie last week signed Senate Bill 651 into law. The measure is the state’s response to the foreclosure issue facing many Hawaii families.

The bill aims to reform the foreclosure process by implementing additional protections to individuals facing foreclosure or at-risk of foreclosure.

Among other facets, the measure establishes a temporary mortgage foreclosure dispute resolution program and authorizes conversion from nonjudicial to judicial foreclosure.

Read more:

http://www.lahainanews.com/page/content.....

If I read the article right, there is also a 5 month hold on all foreclosures (he states that it will hold everything until Oct and they had been talking about a 5 month hold). Means my dirtbag landlord can milk the cash flow for another 5 months (at least), but at least I have a great place to stay for the rest of the year.

I wonder if the lenders will push back. Sounds like a great excuse for them to redline the whole state or at least raise rates on any new loans. Most of the mortgage brokers are gone.
Second home financing is all ready dead.

Found another article with better details:

HAWAII PASSES SB 651 – NATION’S TOUGHEST FORECLOSURE BILL

...under the new law, the servicer will be required to get their documents together in advance in order to show the mediation board that they do in fact have the right to foreclose. These documents are listed in the bill and include such things as “the promissory note, any endorsements, allonges, amendments, or riders to the note evidencing the mortgage debt."

http://mandelman.ml-implode.com/2011/05/....