There are a few agencies and non-profit organizations trying to help distressed homeowners manage their way through the foreclosure nightmare and economic downturn that, for the most part is beyond the average person's control.
One, The Housing Development Fund, was highlighted in a previous newsletter and at First Time Home Buyers and Those At Risk Of Losing Their Home.
Another is The Connecticut Fair Housing Center, headed by Jeff Gentes, Attorney, Foreclosure Prevention. The following is great breaking news Attorney Gentes has made us aware of:
The state Senate just passed a bill that includes, among other things, changes to the foreclosure mediation process. The bill will now go to Gov. Malloy for signature. Here it is: http://www.cga.ct.gov/2011/AMD/H/2011HB-06351-R00HA-AMD.htm
I will do a longer breakdown soon but here are the high points:
- The mediation program's sunset date has been extended from 6/30/12 to 6/30/14
- There will be an 8-month hold on litigation while the homeowner is in mediation, unless the homeowner moves to dismiss or initiates litigation
- The first mediation session will now take place about 2 weeks later than it does now
- Homeowners and lenders must exchange documents 3 weeks prior to the first mediation session: the homeowners, a financial package; lenders, a 12-month account history + contact info for a "single point of contact" at the servicer
- Lenders must now participate by speaker phone
- Co-mortgagors need not attend every single mediation session so long as, after the first session, one attends and the other is available by phone.
- Church mortgagors may now participate
Some changes go into effect July 1, others October 1. Again, I'll write more soon.
Staff Attorney, Foreclosure Prevention
Connecticut Fair Housing Center
221 Main St., 4th Floor
Hartford, CT 06106