On Tuesday afternoon, the DC Council passed 90-day emergency legislation to prevent city residents from losing their homes due to tax lien sales to private investors. The vote came just days after a Washington Post investigation found some elderly residents lost their properties when they owed just a few hundred dollars in back taxes. FSRN’s Noelle Galos brings us more.
According to a Washington Post report, the city auctioned off 142 tax liens to private investors this year alone, worth a combined half million dollars. Amy Mix, an attorney with AARP Legal Counsel for the Elderly, told FSRN that while anyone can be affected, certain populations are especially at risk for losing their homes and equity:
“It’s going to be seniors, it’s going to be people with disabilities, maybe people with diminished capacity.”
Mix said that one client in particular caused her office to look into DC’s tax lien sale process, where they found accounting errors that led to foreclosure proceedings:
“So this balance that was outstanding that caused the foreclosure suit to be filed against her, was because of an $8.61 balance that shouldn’t have been there in the first place.”
The emergency legislation will cancel this year’s tax lien sales and establish a review of past sales to compensate those who lost their home for owing less than $2,500 dollars. A spokesperson for the Mayor said he will sign. Noelle Galos, FSRN, Washington, DC.
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