Despite the fact that foreclosures have declined since the height of the housing crisis a decade ago, Connecticut still has the 5th highest number of foreclosures in the nation.
An editorial in today’s Hartford Courant states:
Foreclosures haven’t ended, sadly. More people will lose their homes without this remarkable service.
The program was set up to “prevent preventable foreclosures,” in the words of Jeff Gentes, a lawyer with the Connecticut Fair Housing Center. It helps those who have fallen behind in mortgage payments work out a solution with lenders without having to learn arcane property law, he says. […]
The state provides mediators who guide borrowers through the document-gathering phase and meetings with lenders. […]
One indication of the program’s success is that 73 percent of the borrowers who go through it do end up keeping their homes. Often the mediator helps them negotiate a loan modification so they get a lower interest rate and more time to pay the debt.
During the last year, the Center has been contacted by seniors, people with disabilities, and others who have lived in their homes for years asking for help to stop a foreclosure. When the Center assures the family that the Foreclosure Mediation Program can help them determine if there is a way to prevent foreclosure or alternatively, to provide a graceful exit there is an almost audible sigh of relief. Unfortunately, the program is scheduled to end (“sunset”) in mid-2019 unless the legislature extends it or makes it permanent.
Removing the sunset provision and keeping the foreclosure mediation program alive for the thousands of Connecticut homeowners who still need it will help prevent homelessness and save the state money in the long run.
Read the full Courant editorial.
Learn more about the Center’s work to help homeowners facing foreclosure.
