Piece by Piece Update
May 8, 2012
Please take note of the following news and calendar items.
Money, Power and Wall Street; Frontline Examines Direct Impact on Atlanta
PBS's Frontline reports on how the deals made on Wall Street devastated America's Main Streets. Episode One of this special report spotlights the staggering impact of the housing crisis on Metro Atlanta; interviews with former Georgia Governor Roy Barnes; Georgia State Senator Vincent Fort; Emory University Law Professor Frank Alexander and the Partnership for the Preservation of Pittsburgh's Mtamanika Youngblood. Watch Online
Children: The Invisible Victims of the Foreclosure Crisis; 192,000 Georgia Children Impacted
Children in Georgia are disproportionately affected by the foreclosure crisis when compared to other parts of the country. According to a new report released by the Brookings Institute, 8% of Georgia's children (totaling 192,000) are directly affected by foreclosure. Children in families facing foreclosure experience higher levels of stress, depression, and academic challenges brought on by mid-year school transfers and other home-life disruptions. More
How can the Mortgage Resolution Fund Offer Hope to Underwater Homeowners?
(Courtesy of Enterprise Capitol Express News) Enterprise SVP for Public Policy and Corporate Affairs Ali Solis testified before Congress on April 26 at a hearing entitled "Preventing One Million More Foreclosures This Year and Pursuing Accountability." Solis' testimony addressed principal reduction programs such as Enterprise's Mortgage Resolution Fund (MRF).
Enterprise collaborated with the Housing Partnership Network (HPN), Mercy Housing and NCST to form MRF in Illinois. The mission of MRF is to create stable options for homeowners for whom homeownership is still financially viable and to provide rental options for homeowners whose loans cannot be modified. MRF is designed to purchase distressed mortgage notes from financial institutions and other servicers/investors with the explicit intent of reducing the mortgage principal and modifying the note to keep the homeowner in their home whenever possible. MRF's note acquisition pricing model is consistent with the market price established in the current distressed mortgage note sales market. Specifically, MRF is acquiring the delinquent note at the current market price for nonperforming note sales, reducing principal to between 85-90 percent of the current home value, and providing credit counseling to help the homeowner meet the new payment amount and reduce all of their monthly debt to 45 percent of their total income. More
A Question of Scale: Can Capital Markets Serve Neighborhood Stabilization?
Shelterforce, a quarterly publication of the National Housing Institute, tackles the issue of stabilizing neighborhoods at scale in the magazine's most recent edition. Articles examine pooling distressed mortgages for sale; managing scattered-site rentals (ANDP's work is highlighted); and reclaiming REO at scale in an approach that protects neighborhoods. Also featured: the benefits of land banking (spotlights work of Frank Alexander and PBP partner the Center for Community Progress) and building a blueprint for responsible homeownership. This edition of Shelterforce is NOT to be missed. More
Mortgage Rescue Scams Surge 60% in Wake of Newly Launched Federal Programs:
Fraudulent law firms preying on at-risk homeowners are part of an emerging trend according to new data released by the Homeownership Preservation Foundation. Homeowners who fall victim to the scams have lost $60 million over the last two years as reported by the New York Times. How can consumers protect themselves: check credentials; beware of promises; and don't pay in advance advises the article. More evidence for the critically-needed services of our trusted and reputable housing counselors. More
Hundreds Attend Hardest Hit Fund Event in DeKalb County
More than 500 people participated in a HomeSafe Georgia foreclosure prevention event on April 26 hosted by Congressman Hank Johnson, and representatives of the Georgia Department of Community Affairs and HUD-approved counseling agency D&E at Salem Bible Church in Lithonia. The next HomeSafe Georgia event will be done in partnership with Congressman David Scott on June 2nd at the HOPE NOW Event at The Georgia International Convention Center. More
Calling All Volunteers for HOPE NOW --- Friday June, 1 and Saturday, June 2 in Atlanta: The U.S. Department of the Treasury and the Department of Housing and Urban Development (HUD), as part of the Obama Administration's Making Home Affordable Program, are partnering with the HOPE NOW Alliance and NeighborWorks America� to bring a free homeowner event to Metro Atlanta. The event is designed to help bring together homeowners in financial distress for a face-to-face meeting with a representative from their mortgage lender and/or local housing counselor. The event will be held at the Georgia International Convention Center (Exhibit Hall B) in College Park. Volunteers are urgently needed to help with registration, exit surveys, directional guidance, translation, etc.... More than 15-20 mortgage lenders and 500 to 750 homeowners are expected to attend. Volunteers will be provided with an event t-shirt, be fed, and receive free parking. Questions? See the attached FAQ for volunteers. Want to help? Contact Sheila Squier at [email protected].
This is NOT Your Parent's Housing Market! Atlanta Regional Housing Forum; June 6; 9:30 AM, Loudermilk Center - The June 6 Housing Forum will feature a presentation by Dr. Arthur C. Nelson and will review how changing demographics, economics, and financing are changing Americans' preferences for housing, neighborhoods and communities. It will also synthesize several national housing preference surveys to show that what Americans want now is very different from what they wanted just a generation ago. The presentation will show the mismatch between what Americans want and what they have, and summarize options to close the gap. Register Now
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