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A community identifies a property in violation of state or local codes, as well as the owner’s failure to correct these violations.
A receiver is nominated via petition to the court.
Once a receiver is appointed, the property is under the direct control of the court via the court-appointed receiver.
The receiver creates and carries out a rehabilitation plan for the property and obtains lien financing—all under the authorization of the court.
The property owner, via the equity in the property, is responsible for paying the cost of the property’s rehabilitation.