Senate Bill 29 Summary

• Amends Michigan's Revised Judicature Act to establish a 2-year moratorium on foreclosure sales for residential property mortgages when a judgment has not yet been entered, upon motion by the defendant.

• For residential mortgages where a foreclosure judgment has been entered but the redemption period has not expired, allows courts to either stay the sale for 2 years or extend the redemption period by 2 years.

• Permits courts to include conditions during the stay or extension period, including defendant occupancy preference, fair rental payments, tax and insurance maintenance, and property preservation provisions.

• Requires foreclosures of residential property by advertisement to proceed through judicial foreclosure instead, allowing property owners or mortgage obligors to file suit to enjoin advertisement-based foreclosures within 3 years of the bill's effective date.

• Includes a moratorium sunset provision: courts cannot enter stay or extension orders more than 3 years after the effective date, and mortgage holders may apply for payment guarantees under the state housing development authority act during the stay period.