FORECLOSURE CENTRAL
Information on the continuing crisis
The Network wants to ensure that all its members and any other interested people can access as much pertinent information on the foreclosure crisis as possible. We will be adding to and updating this data on a regular basis.
Foreclosure Legislation - Critical Laws Enacted
In addition to monitoring the implementation of the Mortgage Relief and Stabilization Act passed in December, 2008, the Network has worked vigorously to advance the New Jersey Foreclosure Fairness Act, which requires foreclosing entities to inform tenants of their right to remain in their homes despite the foreclosure action. In January, 2010, in his last days as Governor of New Jersey, Jon Corzine signed this bill (S.2777/A.4063) into law, along with S. 3165/A.4316, which reallocates $10.8 million remaining from the Mortgage Stabilization and Relief Act to address New Jersey's foreclosure crisis. We want to thank the outgoing governor and state Legislature for their responsible actions. We also want to thank and congratulate everyone who gave of their time and energy to advocate for these crucial measures. Our work has paid off!
Read a detailed description of S. 3165/A.4316. See a letter by HANDS, Inc. Executive Director Pat Morrissey on passage of S.3165. Thanks to NJ Citizen Action, HANDS and NJ Community Capital for their work on this bill.
The Network also thanks NJ Citizen Action and the Office of the Public Advocate for their work on the Foreclosure Fairness Act.
Foreclosure Data and Maps on the Web
Foreclosure-response.org provides market data using mortgage data by census tract. This data includes information on median purchase loan amounts and the density of investor purchase loans for small properties. Read about and access this data.
To access information on pre-foreclosures, see maps of available properties at www.Realtytrac.com . You can search by zip code, however data is not aggregated at any level. You will need to make a visual assessment by viewing what is inside of street boundaries.
Another visual, zoomable map is available here, to view 2008 foreclosure concentrations and counts by census tract.
New Jersey Foreclosure Mediation Program
In January, the Governor launched the Foreclosure Mediation Program, a $12.5 million state-sponsored effort among the Judiciary, the Office of the Attorney General, the Housing Mortgage Finance Agency, the Office of the Public Advocate, the Department of Banking and Insurance and Legal Services of New Jersey. The program offers distressed homeowners access to housing counselors, attorneys, and court-trained mediators who are trained to help homeowners save their homes. For more information.
WHERE TO GO FOR REO
National Community Stabilization Trust (NCST). New Jersey Community Capital (NJCC) is the New Jersey Administrator. Contact Person: Marie Mascherin. NJCC is currently working with about 4 banks through this program. New banks are added periodically. How It Works: Using the NCST program works best if you are in a position to immediately acquire those properties in which you are interested. Signing up includes providing the zip codes in which you are interested; the types of properties you would like to purchase; and how many properties you can reasonably evaluate, make a bid on and purchase within a short period of time (in some cases you only have 5 days to inspect and enter into binding negotiations, and 45 – 60 days to close).
CAPC wants to hear from you about owners of clusters of REO properties in your neighborhood. As part of its work to purchase REO properties in bulk from large financial institutions, CAPC is looking for information about financial institutions that own multiple properties in your target area. Once a critical mass of NJ properties is identified that is associated with a large financial institution, CAPC will approach that institution about a possible bulk purchase. Send your property information to Wayne Meyer.
Bank First Look Programs
These programs all have a process allowing non-profits and/or NSP grantees a preview of REO properties and an opportunity to bid on them within a time-limited, highly structured process. Timetables and procedures to access the properties vary, so review requirements of each program carefully.
Bank of America (BOA). BOA is structured similarly to NCST. You must sign up as a community partner to receive property lists directly from the bank. BOA may also donate property in severely distressed neighborhoods. Contact: Rob Grossinger (tel:312.904.9677) BOA REOs links to a PowerPoint that describes their program.
Wells Fargo has a less structured program which requires non profits to sign up as community partners. Wells manages REO properties for a variety of lending institutions. You can view available properties by accessing the Housing Foundation’s website or here.
The Housing and Economic Recovery Act of 2008 created the Neighborhood Stabilization Program (NSP), under which states, cities, and counties will receive a total of $3.92 billion to acquire, rehabilitate, demolish, and redevelop foreclosed and abandoned residential properties. View a HUD draft notice of the implementation of the Neighborhood Stabilization Program funds, courtesy of Capital Access.
Access a draft CHECKLIST to assist groups wishing to apply for funds from the Neighborhood Stabilization Program.
The New Jersey Department of Community Affairs has posted two documents relating to their plan for the use of the state's NSP funds. One document talks about targeting funds, maximizing funds to areas with existing plans, counseling capacity, economic assistance programs and readiness to proceed. It lists the towns where foreclosure is greatest. It clarifies that they will do a RFP.
Access a summary of tenants' rights during foreclosure.
How to Spend $3.92 billion: Stabilizing Neighborhoods by Addressing Foreclosed and Abandoned Properties is the Discussion Paper that Network Executive Board Member Alan Mallach recently wrote for the Federal Reserve Bank of Philadelphia.
View a recent editorial on the foreclosure crisis, a fact sheet on foreclosures in New Jersey, and a year-to-date chart on foreclosures in New Jersey's counties.
For guidance on preventing, dealing with and recovering from foreclosure, go to http://www.nj.gov/njhrc/index.shtml
