Mortgage firm violated provisions of New York's abandoned property relief act
New York’s Department of Financial Services (DFS) has fined mortgage servicer SN Servicing Corp. for failing to maintain two properties under New York’s abandoned property relief act.
The law requires banks and mortgage servicers to fulfill certain maintenance obligations at these so-called ‘zombie’ properties. Financial Services Superintendent Maria Vullo said that SN Servicing will be fined $100,000 for their non-compliance.
According to the DFS, at one property, SN Servicing failed to “properly secure the premises; to maintain the premises in good repair, structurally sound and sanitary; to maintain premises free of rubbish and debris; to keep all windows, doors and frames in sound condition, good repair and weather tight; and to keep all sidewalks, walkways, stairs, driveways, parking areas and similar areas in a proper state of repair and maintained free from hazardous conditions.”
At the other property, SN Servicing failed to “maintain the premises in good repair, structurally sound and sanitary; and to keep all sidewalks, walkways, stairs, driveways, parking areas and similar areas in a proper state of repair and maintained free from hazardous conditions.”
“Banks and mortgage servicers that do not uphold their responsibility to maintain vacant and abandoned properties will be held accountable by DFS,” said Vullo. “Under New York’s vacant and abandoned property law, anyone can report a vacant and abandoned property to ensure full compliance with the law and the correction of any violations to help combat the blight of zombie properties on New York neighborhoods.”
