New York Attorney General Eric Schneiderman on Monday renewed calls for the state legislature to address the problem of "zombie properties," or foreclosed homes that banks have walked away from to avoid the cost of maintenance.

Schneiderman first took aim at the practice back in February, when he introduced a proposal that would put lenders on the hook for foreclosed properties soon after they are abandoned. Under current law, borrowers are required to pay for upkeep and taxes, even if a mortgage servicer has begun, but not completed, a foreclosure process.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.