MHP News

BOSTON, Oct. 9, 2008 (updated) --- Accompanying the recent wave of foreclosures in the sub-prime lending market has been a spike in inquiries about where homeowners can get help to avoid foreclosure.

The following is a partial list of where homeowners can go for advice and help:

• Hope for Homeowners: In September 2008, the Federal Housing Administration is creating a new "Hope for Homeowners" program that will help homeowners who are trapped in mortgages that they cannot afford. For more information, go to the fact sheet on the HUD web site.

• Citigroup Inc., Bank of America Corp., and other mortgage lenders have formed an alliance to maximize outreach efforts to at-risk homeowners and help them stay in their homes.  The Hope Now Alliance agreed to contact borrowers who are 60 or more days late on paying their mortgage to lay out options and prevent foreclosure.  For more information, visit the Hope Now Alliance website, or view the press release here.
  
• The Patrick Administration's new homeownership preservation program offers counseling and fixed-rate refinance home loans to qualified homeowners who are struggling with their sub-prime loans. The program, called Home Saver, will use both Fannie Mae and MassHousing funds to finance loans to assist households with modest incomes who have been the victims of deceptive lending practices and who are not yet in foreclosure. For more information, including loan limits and eligibility requirements, click here. To view a letter the Patrick Administration recently sent to homeowners regarding this program, click here.
• The Boston Home Center's foreclosure prevention program helped 217 homeowners avoid losing their homes last year. The center, the City of Boston's free homeownership counseling service, can be reached by calling 617-635-HOME or by going to its web site. For a feature on how the Home Center helped a family avoid foreclosure, click here.

• FHASecure is a refinancing option that gives credit-worthy homeowners, who were making timely mortgage payments before their loans reset but are now in default, a second chance with a FHA insured loan product. For more information, click here or call 1-800-CALL-FHA.

• Part of the response to the foreclosure situation in Massachusetts involves helping people find homes they can afford. To promote this, MHP has provided a grant to the Massachusetts Affordable Housing Alliance to create a new web site that lists affordable homeownership opportunities and lotteries around the state. To view the site, click here.
• Massachusetts Affordable Housing Alliance (MAHA) offers counseling services. Call 617-265-8995 x313.
  
• Ecumenical Social Action Committee (ESAC) offers counseling services. Call 617-524-4820.
• Urban Edge, the non-profit community development organization, offers counseling. Call Gercide Luc at 617-989-9320.
• Neighborhood Assistance Corporation of America (NACA) offers counseling and refinancing services. Call 1-888-302-NACA or go to their website.
• The state Department of Housing and Community Development also has a list of agencies that offer counseling and support. To view this list, click here.

These organizations provide resources and information on affordable options for refinancing. They can also help you workout a plan with your current mortgage company.