Florida Foreclosure Prevention Event Helps Save Mortgages

Florida Foreclosure Prevention Event Helps Save Mortgages

Florida Foreclosure Prevention Event Helps Save Mortgages

An interesting and unprecedented event ended on August 31 in the heart of Florida. The Neighborhood Assistance Corporation of America held a giant foreclosure prevention, loan modification event in a convention center in Palm Springs. The center was staffed with loan officers and mortgage counselors from the NACA and many of the country’s top lenders. The doors stayed open 24 hours a day to allow thousands of homeowners to try and prevent foreclosure and stay in their homes over the five day long event.

Homeowners traveled from across the country, some as far as California. For many, it was their last chance to avoid foreclosure. The NACA is a company dedicated to helping homeowners lower or modify their loan agreements and find a monthly payment they can afford. They charge a membership fee and a small cost to request a home owner’s credit report, but these costs were waived for this special event. Only homeowners owning a single property that they resided on were eligible for counseling and modification.

Many of the homeowners cited the sudden housing slump and shrinking job market as their main causes of being unable to afford their mortgage. Some had purchased homes with values over $150,000 that are now worth $70,000 or less, leaving them with a debt that is twice as large as their home could possibly sell for.

The government’s programs to help prevent foreclosure, such as the Making Homes Affordable Act, have been difficult to implement and have more failed cases than successes. This is leading many economists to push for better programs, as they believe the continuation of homeowners losing their homes and values dropping will sink the economy further. NACA’s President also explains that many¬† banks seem reluctant to write new mortgages for even the most trustworthy of borrowers, leaving prospective homeowners out in the cold.


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