To amend sections 2329.01, 2329.151, 2329.152, 2329.153, 2329.17, 2329.18, 2329.19, 2329.20, 2329.211, 2329.26, 2329.27, 2329.312, and 2329.52 of the Revised Code relating to real property foreclosures.
HB458 revises Ohio’s judicial and execution foreclosure procedures for real property, with a major focus on allowing and regulating private selling officers in place of, or alongside, county sheriffs. The bill defines a private selling officer as an Ohio resident licensed both as an auctioneer and as a real estate broker or salesperson, and it authorizes these officers to conduct public auctions of foreclosed property, including online auctions. It also establishes rules for remote bidding by creditors and lienholders, postponements and cancellations at the direction of the judgment creditor, title and closing services, fee limits, and reporting requirements.
The bill also modernizes notice and sale procedures for sheriff sales and private sales. It requires online or physical auction notices, sets minimum bidding periods, allows electronic or web-based publication for later notices, and creates procedures for deposits, bid validity, and sale confirmation. For residential property, it changes appraisal timelines and appraisal methods, including exterior-only appraisals by licensed professionals, and it adjusts the timing for second or subsequent foreclosure auctions from seven days to three days. It also maintains the general rule that property may not be sold for less than two-thirds of appraised value, while creating exceptions for later auctions of residential mortgage foreclosure property.
HB458 would significantly affect Ohio’s foreclosure statutes in Chapter 2329 by rewriting appraisal, notice, auction, and resale provisions and by repealing the existing versions of the amended sections. It would shift some foreclosure-sale functions from sheriffs to private selling officers, expand the use of online auctions and electronic notices, and formalize statewide sheriff-sale web and auction-management systems. The bill also changes cost allocation by allowing certain private-officer, appraisal, title, escrow, and closing expenses to be taxed as case costs or otherwise allocated among the parties.
Because the bill was only introduced and no committee testimony or votes are provided, there is no recorded legislative sentiment in the materials. Based on the text alone, the bill appears aimed at increasing efficiency, flexibility, and modernization in foreclosure sales, especially through online bidding and private auction administration. Potential concerns suggested by the structure of the bill include the role of private selling officers, cost shifting, shortened auction timelines, and whether the new procedures adequately protect debtors, lienholders, and the integrity of the sale process.
HB458 would amend multiple sections of the Ohio Revised Code governing foreclosure and execution sales of real property, including appraisal, notice, auction conduct, deposits, sale confirmation, and resale procedures. It would create a statutory framework for private selling officers, authorize online sheriff and private auctions, require new reporting to the attorney general, and alter how costs and fees are treated in foreclosure cases. The bill would also repeal the existing versions of the affected sections and replace them with updated procedures for residential and commercial property sales.
No committee testimony or recorded votes are included, and the bill is listed only as introduced, so there is no documented legislative sentiment in the provided materials. The bill’s text suggests a generally reform-oriented and modernization-focused approach, emphasizing efficiency, online access, and administrative flexibility in foreclosure sales. At the same time, the changes imply possible concern from stakeholders who may prefer sheriff-led sales or who worry about the effects of faster timelines and expanded private involvement.
The main points of contention likely involve whether private selling officers should be allowed to conduct foreclosure sales and how much control judgment creditors should have over the sale process. Lienholders are given a limited right to object to private selling officers, which suggests concern about protecting lien recovery. Other likely disputes include the shortened online bidding period, the move from sheriff-run to private or online auctions, the allocation of appraisal and title-related costs, and whether the revised notice and appraisal rules provide sufficient transparency and due process for debtors and other interested parties.