Foreclosure Assistance
In the last several years, the United States experienced
a boom in subprime mortgage lending that targeted buyers who were
at high-risk to default on loans. As a result, thousands of Americans
are now facing foreclosure as they struggle to pay their mortgages,
especially as adjustable rates on many subprime mortgages send
borrowers' monthly payments through the roof.
From June of 2007 to mid-2008 over 49,000 New Yorkers
were forced to foreclose on their homes. According to a 2007
report from Congress’s Joint Economic Committee which
Sen. Schumer chairs, a staggering 67,836 New York Families could
lose their homes by the end of 2009 due to subprime mortgages,
with nearly two million foreclosures expected nationwide. In New
York alone, the economic cost of these foreclosures is predicted
to reach over $9.5 billion.
If you are at-risk of foreclosure and need help, communication
is key. Here are some numbers and websites that you may utilize
for assistance. And, as always, you can contact my New
York City office for additional help.
Hotline Numbers
888-995-HOPE is available:
• To any homeowner in America having trouble paying their
mortgage
• Any time--24/7
888-995-HOPE offers:
• Absolutely free foreclosure prevention counseling by expert
counselors at HUD-approved agencies.
When a constituent calls 888-995-HOPE:
• Service begins immediately—the counselors themselves
answer the phone
• Homeowners can get budgeting help, a written financial
plan, assistance contacting their lender
• If they'd like face-to-face counseling, they are referred
to their local NeighborWorks® agency or other counseling agencies
• If they need additional services, they are referred to
agencies in their area.
The details:
888-995-HOPE is provided free of charge by the Homeownership
Preservation Foundation, a nonprofit dedicated to preserving homeownership.
The Foundation partners with local governments, nonprofits, borrowers,
and mortgage lenders/servicers to deliver innovative homeownership
preservation opportunities.
In 2006, over 40,000 homeowners sought help through our counseling.
Nearly half have avoided foreclosure by working out new loan terms
or by selling their home. Currently call volume is increasing
by 25% every 6-8 weeks. Callers tend to be female, married, with
children, mid to lower income.
In-person counseling is provided by NeighborWorks® organizations,
located around the country in all 50 states, Puerto Rico and the
District of Columbia. NeighborWorks® organizations are chartered
by NeighborWorks® America, a national nonprofit created by
Congress to provide financial support, technical assistance, and
training for community-based revitalization efforts.
Partners:
American General Financial Services, a member of AIG, Inc., Bank
of America, BBWCDF, Citigroup, Countrywide Home Loans, EMC Mortgage,
Fannie Mae, Freddie Mac, GE Money, GMAC ResCap, Homeownership
Preservation Foundation, Housing Policy Council, HSBC– North
America, JPMorgan Chase, LaSalle Bank, Mortgage Bankers Association,
National City Mortgage Co., NeighborWorks® America, Ocwen
Loan Servicing, LLC, Option One Mortgage, State Farm Insurance,
SunTrust Banks, Inc., Washington Mutual and Wells Fargo Home Mortgage.
If you need more information:
About 888-995-HOPE: info@995HOPE.org
About in-person counseling:
foreclosuresolutions@nw.org
HUD
Approved Housing Counseling Agencies
I believe that connecting people with information
and resources to help is an important step in protecting New Yorkers.
The links below may provide answers to many of the questions surrounding
this difficult issue.
• Tips
for Avoiding Foreclosure - Department of Housing and Urban
Development
•
Foreclosure Resources for Consumers - Federal Reserve
•
Information on Homeownership - One Economy Corporation's The
Beehive
• Preventing
Foreclosure - One Economy Corporation's The Beehive
• Home
and Community Information - Consumer.gov
• Credit
and Loans - FDIC
•
Legal Information Related To Your Home - American Bar Association
• Legal
Information Related to Your Finances - American Bar Association