HB 5176 Summary

• Amends MCL 600.3232 and 600.3240 of the Revised Judicature Act of 1961 regarding foreclosure procedures and redemption rights for mortgaged properties.

• Modifies deed execution and recording requirements by removing "forthwith" language and clarifying that officers must state the precise amount each parcel was sold for and when the deed becomes operative if property is not redeemed.

• Establishes multiple redemption periods based on property type: 6 months for commercial/industrial or multifamily (4+ units); 1 year for agricultural; varying periods for residential (1-4 units) based on abandonment status and debt-to-original-indebtedness ratios; and 90 days if original mortgagee never assigned the mortgage.

• Requires purchasers to file affidavits stating exact redemption amounts and allows designation of a third party to assist in computing redemption costs with authority to charge fees and receive redemption funds.

• Adds new subsection (12) and renumbers subsequent sections to clarify that redemption periods remain 1 year when none of the specified conditions apply.