A Win For Arizona Homeowners! SB 1271 To Be Repealed!

I received another e-mail from Alan Langston from AZREIA about the repeal of SB 1271. Here’s the text of the e-mail message:

“Over the last 48 hours since my last email of this subject there has been a lot of activity. Some you have heard or read about it in the news or received emails.  Much has been accomplished behind the scenes to protect your interest. I will not restate the issues with the law (see my previous email), but here is a quick update on where it stands that will give you an idea of how things get done.

Language has been inserted into the budget bill that will effectively repeal this law. The budget has to pass with the language intact for the repeal to happen. Currently there is no reason to believe the language will be removed, especially with the support that has been gained in both the House and the Senate. So, once the budget has been passed and signed by the governor, we will be successful. It isn’t done, yet, but it is close.

There were two organizations very active in the process, along with other stakeholders. The two organizations with very active lobbying efforts were the AAR and AZREIA/ARPOLA. I am grateful for the efforts of the lobbyist and the constant communication I have received from AZREIA’s lobbyist over the past couple of weeks. Success on these types of issues takes education, planning and execution with and from individuals who know how to get it done.

Thank you for your many calls and emails and your willingness to act if needed.  Your membership and support of AZREIA is very important. Without it we would not have the ability to work these issues. We won’t always be successful, but we have to be part of the debate.”

Alan’s explanation of how the bill will be repealed is a little confusing, but it sounds like lawmakers are going to place language into another bill pending on Arizona’s budget.

At this point, I don’t have enough information on this situation other than what I read in this e-mail, so stay tuned for more information, which I’m sure will be available in the days ahead.

AZREIA’s members are made up of real estate investors who are regular folks who own investment property. They are probably considered a “special interest group” but in this case, I think they did Arizona investors and homeowners a big favor on getting this legislation repealed. It was a terrible piece of legislation and would have pushed a lot of people into bankruptcy to get out from under the deficiency judgments by lenders.

Lenders already have too much power, and this would have given them even more leverage and remove any incentive to work with property owners to work out an equitable resolution to their mortgage problems.

I really like Alan’s last point about “we won’t always be successful, but we need to be a part of the debate.”

If you don’t like something that’s happening, speak up to your elected officials. In this case, change came swiftly because a lot of people worked together, were involved in the discussion and engaged our elected officials to make change happen quickly.

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