Zombie mortgage foreclosure protection gets political boost

A new bill signed into law this month is set to protect some New England homeowners from foreclosure on years-old zombie seconds many likely had forgotten existed.   

Connecticut Gov. Ned Lamont signed new legislation into law earlier this month that establishes protections for borrowers with secondary piggyback or 80/20 mortgages whose last payments were recorded over 10 years ago. The bill passed on a bipartisan basis in both the state’s Senate and House of Representatives in May.

“This bill protects our homeowners from foreclosure threats based on debt that’s been dormant for more than a decade,” said co-sponsor Sen. Pat Billie Miller after it was approved in the upper chamber. 

Why zombie mortgages are making news

Such secondary liens were a common offering prior to the Great…