Framingham In The Throes Of Foreclosures

April 18th, 2008

The town of Framingham in Middlesex county of Massachusetts is the most populous town in New England region. During the last 80 days 180 Framingham houses have been scarred with foreclosures. It seems that Framingham too is in the throes of a foreclosure crisis. Sub-prime mortgages and declining property values have caused this situation to develop. Many are trapped and cannot find an escape route out.

Since the problem has swelled out of its boundaries and touching the lenders as well as the lenders there is a hurry and scurry to mend fences and stop the rolling juggernaut of rolling foreclosures. The town officials of Framingham heard a panel discussion on housing in The Plymouth Church. Chris Ross of Housing for All, stressed that there are many options before house owners. It is just that they do not know about it. They have to be educated. Unfortunately the borrowers do not want to wake up to the reality and pretend to look the other way hoping for miracles. But if they took the reins in their hands they would soon find a way out.

The conference asked the administration at all levels – federal, state and local to wake up the dangers of foreclosures. An office for Foreclosure Prevention was opened at Howard Street. This would be headquarters for further branching out. State has given grant for its operations. Three options are given to those facing foreclosures. A mortgage can be saved through Residential Assistance to Families in Transition Programme that avails of $3,000 stipend. One month’s mortgage payment can also be got form Federal Emergency Management Agency known as SMOC subsidiary. If bankruptcy is filed then the agency can connect with local legal personnel for necessary help. The attorney will seek 60 days extension from the court so that time will be gained to work out alternatives. But if the debt is too deep and the situation is impossible, then the agency can help in the matter of a quick sale. Something is better than nothing even if the value of the house is less than the loan amount. If it is sold for say $5,000 less, then the borrower will be in debt for only $5,000 and not any astronomical amount.

Simultaneously on the federal level some senators have initiated a foreclosure prevention and mitigation bill that passed through the Senate on 10^th April. Its gambit includes abandoned foreclosed houses or repo homes, foreclosure counseling and legal assistance.