Homeownership news: Area-man caught in web of predatory lendingSeptember 22, 2009
(Note to readers: The SoftSecond Loan Program has helped nearly 12,000 low and moderate-income families purchase their first home, while keeping foreclosure rates low. Given SoftSecond's position in the marketplace, MHP will periodically summarize or provide links to stories about the mortgage industry and the recent rise in foreclosures in the sub-prime market. If you see stories of interest on this topic, let us know. If you are reading this page because you are in need of help with your home loan, click here for a partial list of agencies that offer foreclosure counseling and services).
Brockton: Area-man caught in web of predatory lending
BROCKTON, September 22, 2009 --- The Sunday Enterprise recently profiled an area homebuyer who was caught in the web of predatory lending and struggled to refinance his monthly mortgage payment. Click here to read the full story.
Boston: Increase in number of interested homebuyers
BOSTON, July 16, 2009 --- Despite an increase in potential interested homebuyers in the Dorchester area, many residents face obstacles in purchasing a property when they do not qualify for the federal government's first-time homebuyer $8,000 tax credit incentive. Click here to read the full story.
Framingham: New program to help potential homeownersFRAMINGHAM, April 15, 2009 --- The Community and Economic Development department recently launched a program designed to help moderate and low-income households achieve homeownership with the help of federal grant funds. The program offers buydown assistance of up to $60,000, downpayment assistance up to $5,000, and other grants for lead paint abatement assistance and home rehabilitation. For more information contact Community and Economic Development Office at 508-532-5457 or click here to read the full story.
Boston(Dorchester): Financing issues prevent 18 units from being sold
BOSTON, April 3, 2009 --- The Dudley Street Neighborhood Initiative (DSNI) has recently experienced difficulty in selling 18 units of new affordable housing. DSNI Executive Director John Barros says financing has been approved for only a handful of potential buyers for the $185,000 single-family homes due to the increasing need for higher downpayments and additional fees. Click here to read the full story.
Springfield: Non-profit aims to boost neighborhood with 8 homes
SPRINGFIELD, March 30, 2009 --- Springfield Neighborhood Housing Services recently completed the rehabilitation of eight blighted homes in the Mason Square area that have been converted into affordable housing units. Each house was sold to low-income families earning below 50 percent of the area median income, for a price of about $80,000 for each home. The organization is proceeding with plans to rehabilitate three additional houses in Upper Hill, and will announce a lottery drawing for eligible prospective homeowners at a later date. For additional information about the Homeownership Program, residents can call (413) 739-4737, or visit the office at 111 Wilbraham Road.
Worcester: MassWorks and Buy Worcester Now help families buy homes
WORCESTER, January 8, 2009 --- One reason for the success of the Buy Worcester Now program is MassWorks, which has helped the city get employers involved in supporting homeownership for their employees and for working families looking to buy in the city. To read more about these programs, click here.
State issues guidance for renters living in foreclosed properties
BOSTON, Dec. 9, 2008 --- The Patrick Administration has released a brochure outlining the rights of renters living in foreclosed buildings. The effort received MHP funding. Click here to download the brochure.
City embarks on plan to cut down on neighborhood blight
NEW BEDFORD, Nov. 26, 2008 --- City officials have embarked on a plan to take possession and renovate salvageable foreclosed homes while demolishing those homes that are beyond repair in the two neighborhoods directly north and south of downtown New Bedford. The plan was prompted by the 380 foreclosures so far this year in comparison to 175 foreclosures three years ago. Patrick Sullivan, director of the city’s Office of Housing and Community Development, said the city is working to secure federal and state grant money to finance the renovations and demolitions. Officials want to make rehabilitated properties available to first-time home buyers picked from a city lottery list. Click here to read the full story.
Loan agencies to broaden support for troubled homeowners
WASHINGTON, Nov. 11, 2008 --- The newly created Federal Housing Finance Agency has announced a major initiative to help homeowners refinance their mortgages. The program will modify the borrowers’ loan by reducing interest rate so that the payment is no more than 38 percent of their monthly gross income. The program targets borrowers who have missed three or more payments, own and occupy the property as a their primary residence, and have not filed for bankruptcy. Fannie Mae and Freddie Mac will be responsible for implementing the program by Dec. 15.
South Shore: Ledger's series focuses on families trying to avoid foreclosure
QUINCY, Sept. 18, 2008 --- The Patriot Ledger has also tackled the foreclosure issue with a multi-part series that includes profiles of families dealing with foreclosure and where South Shore homeowners can go for help. Click here to read the series.
Worcester Business Journal does the math on three-family home values
BOSTON, Sept. 15, 2008 --- In addition to the Dorchester Reporter's in-depth reporting on three-family homes (scroll down) in this real estate market, another must-read is Worcester Business Journal reporter Matthew Brown's July 21 article on how the real estate market has impacted the value of three-family homes in that city. We've posted it elsewhere on this site but wanted to also make it available here.
Dorchester: Investors dominate multi-family market
BOSTON, Aug. 25, 3008 --- Local cable television news reporter Chris Lovett has taken another in-depth look at how investors or developers that have survived previous housing slumps are continuing to purchase multi-family properties in Dorchester. Lovett says that the names that appear as unit buyers with mortgage trouble sometimes turn up later as investors converting more units, or as people with power of attorney to represent other buyers. Click here to read the full story.
Hub selection of developer for foreclosed properties riles some
BOSTON, Aug. 14, 2008 --- In its continuing coverage of how foreclosures are impacting Boston neighborhoods, the Boston Herald reports that a developer has been picked by the city to rehab four foreclosed properties on foreclosure-ridden Hendry St. in Dorchester. The Dorchester Reporter also reported the decision and noted that some neighborhood leaders aren't happy with the choice.
Housing receives much-needed boost from Congress
BOSTON, Aug. 13, 2008 --- While it may not result in a complete reversal of the housing slump, the Housing and Economic Recovery Act enacted on July 31 is a critical step forward to strengthen the nation’s housing market and economy.
Among its provisions, the new legislation will provide $300 billion in guarantees for some 400,000 homeowners at risk of foreclosure and will make $3.9 billion in grants available to state and local governments that are buying and renovating foreclosed properties. The act will also provide qualifying first-time homebuyers with a $7,500 tax credit to increase purchasing power that will be repaid over 15 years.
The Citizens’ Housing and Planning Association (CHAPA) has prepared a summary of the housing rescue bill. To read the full summary, click here.
Dorchester: Foreclosed homes fetching good prices, familiar financing
BOSTON, July 25, 2008 --- In a report published in his blog and in the Dorchester Reporter, local cable television news director Chris Lovett reports on how some foreclosed properties are being had for under $100,000 and then being resold for more than $300,000. Entitled "Rebound or Relapse," Lovett also reports that new buyers are in some cases getting loans from lenders with apparent connections to previous foreclosures at the same properties. Click here to read the story.
NY Times looks at how Americans have been caught in the "debt trap"
NEW YORK, July 23, 2008 --- The New York Times has been tackling the issue of growing consumer debt in the United States with a series called the "The Debt Trap: A series about consumer debt and the lenders that made it possible." Click here to check out the series and here for a columnist David Brooks' take on how the county switched from a culture of thrift to one of spending.
Boston: Herald report details how man allegedly duped homebuyers
BOSTON, April 16, 2008 --- Boston Herald reporter Laura Crimaldi has uncovered an alleged scam in which a Boston man may have pocketed $1 million while duping innocent people into buying homes they couldn’t afford.
The series began with a Sunday story called “Inside the Housing Scandal,” which focused on the story of former felon Dwight Jenkins whose easy-money credit deals left behind a trail of foreclosed homes and busted investors. Crimaldi followed up with two stories taking a deeper look into the scandal, including the bankers and brokers who placed borrowers in the subprime loans and the scheme of one get-rich-quick guru which has surfaced in connection to Jenkins.
Housing Authority to buy and rehab six vacant, foreclosed multi-family homes
BROCKTON, April 10, 2008 --- Having received $1.3 million in private and public grants, the Brockton Housing Authority is buying six foreclosed properties, and then will renovate and rent the 18 units at fair-market prices. Thus far, two properties have been identified for purchase. Rockland Trust, which is providing a $1.5 million line of credit, anticipates that if this round is successful, more money will be set aside for future purchases. Click here to read the full story in the Brockton Enterprise.
Lawrence: Non-profit presents buy-back option on homes in foreclosure
LAWRENCE, April 9, 2008 --- Lawrence Community Works, with $1 million from the state Department of Housing and Community Development (DHCD), plans to buy homes in foreclosure and rent them to the owners with the option to buy the property back after leasing for two years. LCW also has plans to purchase foreclosed homes, fix them, and resell them at affordable prices. Click here to read the full story in the Eagle Tribune.
Worcester: Uses receivership law to keep tenants in foreclosed homes
WORCESTER, April 8, 2008 (from Banker & Tradesman) --- As cities throughout Massachusetts pursue different strategies to combat the abandonment of properties due to foreclosure, Worcester is taking an innovative approach that is helping tenants stay in their homes.
Worcester became the first to use the state’s receivership law to take control of a foreclosed property, thereby allowing tenants to stay in place while appropriate repairs are done to the building. A lien will be placed on the property by the receiver and can be paid off by the lender in order to keep the title to the property. Click here to read the full article by Banker & Tradesman’s Amy Wyeth.
Opinion: Lawrence paper against moratorium on foreclosures
LAWRENCE, April 3, 2008 --- The Eagle-Tribune has editorialized against legislative proposals calling for a moratorium on foreclosures, saying it will tighten credit and make banks less likely to make loans. The solution, says the Eagle-Tribune, is to get foreclosed properties back on the market and have banks that are willing to lend again.
Worcester: Forum seeks to connect at-risk homeowners with services
WORCESTER, April 3, 2008 --- An Iraq war veteran who is in danger of losing his home to foreclosure was one of the key speakers at a public forum on foreclosures in Worcester. Click here for the story.
At workshop, homeowners seek relief from rising rates, falling values
BOSTON, April 2, 2008 --- Dorchester Reporter editor Peter Stidman profiles the struggle of several Boston homeowners at a recent foreclosure prevention workshop sponsored by the City of Boston. Click here for the report.
City, lawyers announce plan to aid homeowners, tenantsBOSTON, March 14, 2008- Boston's Department of Neighborhood Development plans to refer homeowners threatened with foreclosure and tenants facing eviction to lawyers who will work pro bono on cases, including actions to block lenders from improper foreclosures, analyzing refinancing options, or seeking bankruptcy protection. Click here for the story.
CHAPA issues briefing paper on state, federal foreclosure efforts
BOSTON, March 13, 2008 --- The Citizens' Housing and Planning Association (CHAPA) has a released a briefing paper listing all current and proposed initiatives dealing with the foreclosure crisis. The purpose of the paper, which will be updated regularly, is to track efforts and identify what new measures might be needed. Future efforts by CHAPA will include establishing a web-based information clearinghouse on foreclosures. Click here to download the 38-page briefing.
Boston: Herald tackles neighborhood hard-hit by foreclosures
BOSTON, February 15, 2008 --- Boston Herald reporter Laura Crimaldi has spearheaded a week of news coverage that is cautionary tale of what foreclosures can do to neighborhoods. The series began with a Sunday story called "Foreclosure Ground Zero," which focused on a Dorchester street plagued by crime and abandoned homes. Later in the week, Crimaldi reported on steps the city is taking clean up and make the neighborhood more secure and wrote a story documenting the many police calls that have been made to this neighborhood. Columnist Peter Gelzinis also weighed in on why it will take more than clean up crews to reverse the foreclosure crisis.
Worcester: Unveils plan to preserve neighborhoods, respond to foreclosures
WORCESTER, February 14, 2008 --- Worcester has unveiled an action plan to help neighborhoods strained by foreclosure. MHP is supporting the city's efforts with funds to assist homeowners facing an adjustable rate reset in the next 24 months. Click here for a news story and here to read the city's action plan.
Patrick Administration reaches out to 12,500 residents with adjustable loans
BOSTON, Jan. 3, 2008 --- In its latest response to the foreclosure situation, the Patrick Administration has sent a letter to Bay State residents who may be facing an increase in their home mortgage payments. The letter urges residents with adjustable rate mortgages to take action to avoid foreclosure. Click here to read the letter, which includes the hotline number 1-800-995-HOPE and information about MassHousing's Home Saver program. Click here for coverage of this initiative in the Boston Herald.
Boston Home Center effective in helping homeowners avoid foreclosure
BOSTON, Dec. 26, 2007 --- According to a feature story in the Boston Globe, Dorchester homeowner Kendra Jackson is one of 217 Boston homeowners who were in danger of losing their house this year but averted foreclosure with help from the Boston Home Center, the City of Boston's free counseling and lender-liaison service that started a foreclosure intervention program last year. Click here to read the story. If you are a Boston homeowner in in danger of losing your home, call 617-635-HOME or go to the Boston Home Center web site.
Boston blogger uses Codman Square condo to illustrate foreclosure situation
BOSTON, Dec. 10, 2007 --- Boston blogger Chris Lovett provides an interesting look at sub-prime mortgages by taking a look at the fall in value of three condominums in one Codman Square three-decker. Click here for the blog.
U.S. Mayors release report measuring impact of foreclosure crisis
DETROIT, Nov. 27, 2007 --- The U.S. Conference of Mayors, meeting in Detroit this week, released a report on the economic impact of the foreclosure crisis that forecasts 524,000 fewer jobs being created next year and a potential loss of $6.6 billion in tax revenues in 10 states. The report was prepared by Global Insight, a financial research firm based in Lexington, MA. Meanwhile, the New York Times editorialized on how foreclosures threaten neighborhood stability. Click here for the editorial.
Springfield non-profit gets $2.1M for homeownership, foreclosure counseling
SPRINGFIELD, Nov. 15, 2007 --- HAP Inc. has received a $2.1 million federal grant so it can continue to provide first-time homebuyer and foreclosure prevention programs in Springfield and in Hampden and Hampshire counties. According to an analysis of foreclosure data by MHP, Springfield ranked fifth in the state for the annualized rate of foreclosure notices per 1,000 properties from January 2006 through June 2007. Click here for the HAP story. Note that the homeowner highlighted in the first paragraph of the HAP story received homeownership counseling from HAP and bought her home with a mortgage from MHP's SoftSecond Loan Program.
MHP maps foreclosure activity for state, select cities
BOSTON, Nov. 15, 2007 --- MHP has compiled maps illustrating what communities are experiencing higher rates of foreclosures, as well as maps of Worcester and Lawrence that show households who will have their loans reset to higher interest rates in the next three years. Click here to see the maps.
Point of view: Foreclosure situation threatens women's homeownership gains
BOSTON, Oct. 22, 2007 --- As women have become a key part of the real estate market - one-third of first-time home buyers in Mass. last year were single women - so too have they become a part of the foreclosure story, writes Brandeis professor Anita F. Hill in an op-ed column for the Boston Globe. Click here for the column.
House passes foreclosure prevention legislation
BOSTON, Oct 19, 2007 --- While Gov. Patrick was announcing a five-point foreclosure prevention plan, Beacon Hill lawmakers gave initial approval to legislation to address the growing epidemic of mortgage foreclosures in the commonwealth. Click here for the story and here for a bill summary.
Patrick's five-point plan features targeted neighborhood stabilization in cities
LAWRENCE, Oct. 18, 2007 --- Gov. Deval Patrick unveiled a five-point foreclosure prevention plan that focuses on targeted neighborhood stabilization programs in hard-hit cities of Lawrence, Brockton, Worcester, New Bedford Springfield and Boston. Click here for the news release. Click here for MHP maps that illustrate foreclosure levels in Massachusetts.
Springfield reacts to Patrick plan to have lenders absorb 'short' sale losses
SPRNGFIELD, Oct. 16, 2007 --- The acting director for housing in Springfield likes the premise of Governor Patrick's reported plan to have lenders accept losses on their mortgages but worries that most homeowners will not take advantage of this plan to sell their homes and pay off their mortgages. Carl F. Dietz, acting director of the Springfield Office of Housing and Neighborhood Services, said the broad outlines of the governor's proposal "seem like a pretty good program, although the statistics show that almost two-thirds of people (facing foreclosure) never contact their lender." Click here for the reaction.
Patrick program would have lenders accept losses so homeowners can sell 'short'
BOSTON, Oct. 15, 2007 --- Governor Deval Patrick plans to introduce an ambitious program today to assist Massachusetts communities in preventing foreclosures by pressing lenders to accept losses on their mortgages so that homeowners are able to sell their properties and pay off smaller loan balances. The initiative would start with a pilot program in cities with the highest incidence of foreclosures, including Lawrence and Springfield, where delinquent borrowers with subprime mortgages are prevalent. Other cities being considered are Boston, Brockton, New Bedford, and Worcester. Click here for the story. Click here for MHP maps that illustrate foreclosure levels in Massachusetts.
Focus on Lawrence illustrates real-life impact of foreclosures
BOSTON, October 7, 2007 --- The Boston Globe takes an inside look at how foreclosures are sweeping through the north side of Lawrence, uprooting families, destabilizing neighborhoods and shaking a local economy only beginning to recover from the real estate crash of the 1990s. Click here for the report, which includes maps and video interviews.
MHP grant funds web site dedicated to listing affordable lotteries
BOSTON, October 6, 2007 --- The web site is called Massachusetts Affordable Affordable Homes and can be accessed at www.massaffordablehomes.org. It features a searchable database of affordable homeownership opportunities in Massachusetts. Users can search for a home geographic location, price, type, number of bedrooms, household size or household income. Users can also opt to receive an e-mail each time a new listing is added within the towns they select, while real estate agents can create a login and post new listings. The web site will also include an income calculator and general information about affordable housing. The site is funded by MHP and will be administered by the Massachusetts Affordable Housing Alliance.
What other states are doing to protect subprime borrowers
NEW YORK, August 24, 2007 --- The New York Times takes a look at states that are beginning to make legislative and regulatory changes to protect people who resort to subprime financing. Click here for the story.
Maze of modern mortgage financing causes confusion over responsibility
BOSTON, August 7 --- When delinquent payments lead to foreclosure filings, tracing the source of the loan has become increasingly difficult to do. Unlike in the previous real estate bust when most loans could be traced to local banks and credit unions, most home loans today pass through a nationwide chain of brokers, service companies, and investors. While the system worked well while the market was rising -- expanding credit and homeownership potential -- the consequent spreading of risk has also confused responsibility for the mortgages, leaving homeowners facing foreclosure unsure of where to turn. Click here to read the full story from the Boston Globe.
Patrick Adminstration unveils fund to help delinquent borrowers
BOSTON, July 11, 2007 --- The Patrick Administration has unveiled a $250 million program that will provide foreclosure counseling and fixed-rate refinancing loans to help troubled borrowers get out of subprime loans. Struggling homeowners will be encouraged to call toll-free foreclosure prevention hotline, 1-888-995-HOPE, and arrange to receive foreclosure counseling about how they can stay in their home. If the borrower is qualified, they may be able to obtain up to a 40-year, fixed-interest rate loan for up to 105 percent of the value of the home. Interest rates are expected to be approximately 7 7/8 percent at the outset. Borrowers can be behind on their mortgage payments by up to 60 days and still be eligible, as long as the delinquency was caused by their interest rate resetting to a higher level, and not by the homeowner’s actions, such as assuming more debt. Click here for the whole story.
Report: New scheme preys on desperate homeowners
NEW YORK, July 3, 2007 --- In the wake of the foreclosure crisis, the New York Times examines how "financial predators" are finding new ways to take advantage of people who are falling behind on their mortgages, with a variety of scams known as "equity stripping." Click here to read the story and view a video report.
Report: State mulls 'rescue' product for homeowners with risky mortgages
BOSTON, June 29, 2007 --- The Boston Herald is reporting that the state is discussing appropriating bond funds to create a loan pool that would help homeowners who are struggling with sub-prime mortgages. The program would provide more stable, fixed-rate mortgages for approximately 1,000 homeowners. Click here for the story.
Editorial: Connects hedge funds to foreclosure crisis, calls for oversight
NEW YORK, June 28, 2007 --- A New York Times editorial explains how the foreclosure crisis is impacting Wall Street and calls for increased regulation requiring lenders to offer loans that borrowers can be reasonably expected to pay back. Click here for the editorial.
Suburban builder pushes smaller cottage home concept
EASTON, June 27, 2007 --- Easton-based developer Charles M. "Nick" Mirrione says he wants to build so-called cottage housing and address the shortage of affordable homes for first-time buyers, young professionals and single parents: so-called cottage housing. Testifying recently at the state house at the request of the legislature's joint committee on housing, Mirrione said the one and two-story bungalows of less than 1,000-square feet would sell for between $240,000 and $350,000. Recently voters in Easton and Bridgewater nixed special bylaws that would've allowed Mirrione to build upt to seven cottages on an acre. Click here for the whole story.
Foreclosures hit Springfield hard; 2nd in state for 12-month period
SPRINGFIELD, May 24, 2007 --- This city came in second in the state in the number of foreclosures filed during the 12 months that ended April 30. Boston, whose population of 559,034 is nearly four times that of Springfield, saw just under twice as many foreclosure filings. Springfield, with 151,732 residents and 1,270 foreclosure filings, outranked Worcester, with a 2005 population of 175,898 and 1,027 foreclosure filings in the period from May 1, 2006, through April 30, 2007. Click here for the story.
MHP supports requiring mortgage companies to help lower income borrowers
BOSTON, May 19, 2007 --- MHP Executive Director Clark Ziegler supplied testimony earlier this month supporting legislation that would require mortgage companies, like banks, to provide credit to low and moderate-income first-time homebuyers. Ziegler testified that extending community investment obligations to mortgage companies would be the state's most effective response to the subprime lending crisis. Click here to read his full testimony.
Foreclosures rise in April
BOSTON, May 16, 2007 --- According to the Warren Group, foreclosures rose in Massachusetts in April for the fourth straight month. The Boston-based real estate data and publishing firm announced that foreclosures rose 54 percent in April. Regionally, Franklin and Hampshire County have also seen a spike in foreclosures. Click here for the statewide story and here for the Franklin-Hampshire story (subscription only).
Foreclosure help available to Boston residents
BOSTON, May 7, 2007 --- Homeowners in Mattapan, Hyde Park, Dorchester, Roxbury, and East Boston have been the hardest hit by foreclosures due to high rates of predatory lending. Now, they and all homeowners throughout Boston have somewhere to turn, as Mayor Menino and the Department of Neighborhood Development are funding five non-profit groups in Boston to provide advice to families facing foreclosure. For more information, click here.
Boston Business Journal: Massachusetts ranks high in subprime defaults
BOSTON, May 3, 2007 --- The crisis of rising foreclosures is not exclusive to Massachusetts; it’s a nationwide trend, and in fact Boston and its surrounding suburbs still have one of the lowest percentages of subprime loans in the country. The areas in and around Brockton, New Bedford, Fall River, and Springfield, however, are not faring as well. In December 2006, these areas all ranked in the top third nationwide for subprime loans and delinquent payments leading to foreclosure. Click here for the story.
Patrick administration directs state banks to help homeowners facing foreclosure
BOSTON, April 28, 2007 --- One day after announcing measures to address the state's rising foreclosure rate, Governor Deval Patrick has directed state banking officials to intervene on behalf of homeowners facing foreclosure and the state banking commissioner said his agency has already secured 60-to-90-day freezes on the foreclosure process for 11 borrowers who were part of a State House protest on Thursday, April 26. Click here for story.
Mayor Menino asks for state and federal help to fight foreclosures
BOSTON, April 20, 2007 --- Mayor Menino is working to introduce programs to help those at risk of foreclosure in Boston, including educational seminars for homeowners who have subprime loans. For FY 2008, Menino has asked for $950,000 for foreclosure prevention in the city budget, and he also introduced a bill to impose a 60-day freeze on any action by lenders after they file the initial foreclosure notice. Click here for the story.
Two government agencies pledge aid to delinquent subprime borrowers
April 19, 2007 --- Government chartered Fannie Mae and Freddie Mac have pledged to help delinquent subprime borrowers refinance into more affordable mortgages and avoid foreclosure. Fannie Mae plans to encourage 2,000 lenders to help borrowers refinance out of subprime loans, while Freddie Mac will directly offer borrowers more stable financing, including fixed-rate loans lasting up to 40 years. Click here to read the full article by Bloomberg.
Housing activist group offers $1B to help homeowners facing foreclosure
BOSTON, April 13, 2007 --- The Neighborhood Assistance Corporation of America (NACA) has announced that they will offer $1 billion to help 7,000 homeowners refinance their subprime mortgages. According to an article in the Boston Globe, in exchange for the loan, homeowners have to agree to participate in activism in their neighborhood. Click here to read the NACA press release.
Opinion: NY Times weighs in on sub-prime lending, loss of homeownership
NEW YORK, April 10, 2007 --- Citing the Center for Responsible Lending study that estimates that the sub-prime loan crisis will result in 2.4 million dip in homeownership, the New York Times urges states to hold lenders accountable and come up with rescue plans for homeowners in need. Click here to read the editorial.
Boston: Two companies ordered to halt mortgage sales in state
BOSTON, April 4, 2007 --- Globe reporter Kimberly Blanton continues her coverage of the subprime lending crisis, as she reports that two subprime lenders have been mandated by the state to shut down their Massachusetts operations. One of the two mortgage companies, New York-based Vertical Lend, was stopped after auditors found that the company’s brokers, often unlicensed, forged the signatures of borrowers in loan documents and charged unauthorized fees. Click here for the story.
Springfield: Report outlines foreclosure rise, impact on city
SPRINGFIELD, April, 2, 2007 --- Business reporter Marcia Blomberg researches how the recent wave of foreclosures is impacting Springfield area homeowners. The story includes interviews with homeownership staff at HAP Inc., the affordable housing agency that offers pre and post-purchase counseling designed to help first-time homebuyers avoid loans that could lead to foreclosure. Click here for the story.
Study: Sub-prime boom yields net loss in homeownership
(March 28, 2007) A new Center for Responsible Lending analysis shows that while the subprime market has produced more than $2 trillion in home loans over the past nine years, these loans have led or will lead to a net LOSS of homeownership for almost 1 million families. Click here to download the study.