HOMPCI—Implementing a Foreclosure Response

HOMPCI —
Implementing a
Foreclosure Response

Challenges

New challenges require new responses--certainly the foreclosure epidemic across the country—and in your state—is such a challenge.

The current foreclosure climate has created an urgent need to address the increasingly large number of residents who are at risk of losing their homes. The cumulative impact on cities across the state is too significant to continue to utilize anything less than an all out war on impending foreclosures.

We must find bold, new strategies which provide economy of scale in order to stem the downward spiral.

Direct consumer education is an idea whose time has come. Neither government bailouts, legislation, voluntary bank workouts, nor a strong stimulus package (sometime next year) can work quickly enough nor broadly enough to address the expanding foreclosure crisis faced by this state.

A consumer education program can deliver the missing links which can have substantial, measurable, meaningful and MOST importantly, immediate, results in reducing foreclosures.

The Missing Links

    Resources
      What resources are available?
      How do I gain access to them?
      What is the cost?
      How long must I wait?

    Options
      What are my choices for retention?
      What if I must leave my home?
      What about the consequences?
      Can I still owe more money?

    Process
      Whom do I call? When?
      What is a hardship package?
      Why don’t they call back?
      Suppose my bank goes under?

    Timeline
      How much time do I have?
      How does foreclosure work?
      When do I have to move?
      Can the bank lock me out?

    Owner Responsibilities
      What is a QWR?
      Must I stay in the house?
      What is an “answer”?

Goals

1. Empowering consumers to be proactive in avoiding foreclosure

2. Helping consumers to understand their rights, responsibilities and options related to home ownership in general, specifically default

3. To utilize a program which is easy to deliver, cost effective and can be comprehended by the average consumer

4. To improve the outcome when a default counselor is used, by having the borrower better prepared when they meet

5. To begin stabilization of communities by decreasing foreclosures

6. To engage all residents in a grassroots effort to “stop the bleeding”

Partners

      • Politicians
      • Media
      • Other Community Stakeholders
      • A Concerned Citizenry
      • Financial Institutions
      • Governmental Offices
      • Public Utilities
      • Grocery Store Chains

The mission of HOMPCI can best be accomplished with the support of PARTNERS who share a concern about the impact that foreclosures are having on communities. Tangible support may be provided in any number of ways, whether that be advertising, fund-raising support or professional support in some other way. Sustainable housing is the backbone of strong communities. We—and our partners—recognize that it is critical that we exert all effort necessary to stem the tide of foreclosures and help families find ways to stabilize their individual home as a way to strengthen our neighborhoods.