Filling the Foreclosure Funding Gap

The Good News:
Minnesota Housing announced a $1 million award to the Minnesota Home Ownership Center yesterday during a press conference held at a foreclosed property on Saint Paul’s east side. The award comes at a critical time when federal funding gaps threaten the ongoing work of 74 counselors across the state.

Coverage of the press conference can be seen here (Fox-9), here (Finance & Commerce) and here (MPR).
UPDATE: Star Tribune has also covered us: here.

“We’ve come too far and invested too much in foreclosure prevention across the state to let this funding gap damage our efforts and the infrastructure we’ve built together,” said Dan Bartholomay, Commissioner of Minnesota Housing. “Minnesota has benefited from a strong, statewide network of foreclosure counseling agencies, counseling nearly 16,000 households in 2009, and we’re here today to make sure that continues.”

Here's the situation... the foreclosure counseling network in Minnesota faces an immediate threat to the provision of services, even while facing continued, and in some areas, increased, demand foreclosure prevention counseling. Current funding has been exhausted and the next round of federal funding will not be available until March 2011, pending congressional authorization.

“Minnesota Housing has demonstrated outstanding leadership throughout this prolonged foreclosure crisis,” added Julie Gugin, Executive Director of the Minnesota Home Ownership Center. “Their latest contribution will help ensure that tens of thousands of Minnesotans have access to quality, nonbiased services that will help them avoid foreclosure. Their partnership is critical to stabilizing housing and communities throughout Minnesota.”

With this $1 million award, the Minnesota Home Ownership Center is prepared to work directly with counseling organizations to continue services.

The Bad News:
Center staff has calculated that it will take just over Five Million dollars to cover the cost of maintaining foreclosure counseling services in the state of Minnesota at current levels through the end of 2011.  We'll keep you informed about the fundraising process - and its impact on the counseling network over the coming months. 
 
For now... services will continue without interruption and MN Homeowners that are struggling with their mortgage payments - or think they may have difficulty making payments soon, should contact a non-profit (FREE!) foreclosure counselor TODAY.

Mission Accomplished - Foreclosure Workshop

Yesterday (June 23rd) the Minnesota Home Ownership Center, in partnership with US Bank, Freddie Mac and the City of Minneapolis, hosted the first day of a two-day Foreclosure Prevention Workshop at South High School in Minneapolis.

Dozens of homeowners received counseling and were able to meet face-to-face with their lender/servicer to discuss options to preventing their foreclosure. 

Here are some of the comments we heard from homeowners as they were leaving the event:

Mission accomplished!  I came tonight just to get [my bank] to listen to my situation.  Not only did they listen... they said they'd lower my payment and my new paperwork will be at my house by the end of the week.  Thank you!

I got more accomplished in 15 minutes here today than I've been able to accomplish in 3 months of trying to work with [my bank] on the phone.  I'm so glad I came here tonight.

I just saw you on Fox-9... and decided to come over.  I'm so glad I did.  I finally got them to listen to my situation.  Thanks!

Homeowners are welcome to come today (June 24) as well!  Lenders, non-profit housing counselors and legal services representatives will be back at South High starting at 2:00 today.  Do you have questions about your mortgage?  Not sure where to turn?  Feel free to drop by today and learn about the steps you can take to avoid foreclosure.  Homeowners from any/all lenders and from anywhere in Minnesota are welcome to drop by.

The workshop was also highlighted by Jessica Mador on Minnesota Public Radio.  The article is here.

A flyer for the workshop is available for download here.

Fox-9 Community Connection Focuses on Foreclosure

With the help of Roxanny Armendariz from the Neighborhood Development Alliance, homeowners Jose and Juana Gonzalez, along with their 4 children, were able to avoid foreclosure after Roxanny was able to mediate an affordable loan modification for the Gonzalez family.

Their story - including the difficulties the Jose and Juana experienced while trying to work with their lender is part of the focus of the most recent "Community Connection" segment on Fox-9.

For additional information about the segment... including links to an on-line interview with Roxanny about the work she does assisting clients, click here.

The segment will air again on Saturday, October 11th at 9 a.m on WFTC channel 29.

If you're facing a possible foreclosure... and struggling to work with your lender - - the Center's network of FREE, non-profit foreclosure counselors can help. To find your local counselor, click here.

Fox-9 News Highlights Foreclosure Workshops

On Tuesday, September 14th, Fox-9 News at 10:00 highlighted the upcoming series of Foreclosure Information Workshops that the Center is hosting in partnership with Hennepin County, Hennepin County Libraries, and several other community based organizations.

You can view the Fox-9 report here.

At these workshop, homeowners and renters, can learn about the foreclosure process, what kinds of helps and assistance are available in Minnesota and nationally, including information on the "Making Home Affordable" program and meet with a non-profit Foreclosure Specialist, representatives from Hennepin County Taxpayer Services, and attorneys specializing in Renter Advocacy. In addition, attendees will be able to set up an appointment for a more personalized, in-depth discussion at a later time.

For a flyer on upcoming workshops, click here.

To view these, and other events the Center has scheduled, for both homeowners and professionals, click here.

COMING SOON: The Center is also conducting similiar workshops in partnership with the City of St. Paul, the St. Paul Mayor's office and St. Paul Public Libraries. Information will be available soon on our homeowner events page, here.