Real estate transactions are often fraught with potential pitfalls, especially in today’s volatile environment. The number of foreclosures on both commercial and residential real estate has proven a major problem for homeowners and investors alike. Those facing foreclosure on their property should seek to understand their rights and available options for dealing with banks and lenders.
The state of Massachusetts has distributed $4 million to 18 different organizations throughout the state in an attempt to address the current foreclosure situation. Funding for the grants comes from a deal struck by the federal government and the nation’s five largest mortgage servicers, as reported in previous posts on this blog. The funds are part of a settlement related to the servicers’ alleged connections to unlawful foreclosures and loan servicing.
The grants are expected to assist renters and homeowners with issues, including loan modification assistance, legal representation for distressed homeowners and post-foreclosure stabilization for families in need. Grants were sent to organizations, which include Catholic Social Services, Cambridge Neighborhood Apartment Housing Services, Neighborhood Housing Services of the South Shore, Housing Assistance Corp. and Merrimack Valley Housing Partnership, Inc.
Foreclosure is a looming possibility for many homeowners. The increasing number of foreclosures each year has lead to a crisis in many real estate markets, and it dramatically affects the economy and the well-being of many citizens. Understanding the many different options and assistance plans available to property owners can help a person or investor attempt to salvage their investment or remain in their home.
Source: Bloomberg Businessweek, “Mass. awards $4K in grants for foreclosure crisis,” Oct. 22, 2012