Homeownership Preservation Foundation Commends Latest Data Released by NeighborWorks America on Effectiveness of Foreclosure Prevention Counseling
WASHINGTON, D.C., JUNE 18, 2012 – The Homeownership Preservation Foundation (HPF), an independent national nonprofit dedicated to helping distressed homeowners navigate financial challenges and avoid mortgage foreclosure through its Homeowner’s HOPE™ Hotline at 888-995-HOPE™, commends the latest data released by NeighborWorks® America reiterating the effectiveness of housing counseling for struggling homeowners seeking to avoid foreclosure.
According to a recently published update to Congress on the state of the National Foreclosure Mitigation Counseling (NFMC) program that it administers, NeighborWorks America, one of the nation’s largest community development corporations, reported that homeowners who participated in housing counseling through the NFMC program were nearly twice as likely to obtain a mortgage modification compared to those who did not. On average, these modifications lowered counseled homeowners’ monthly mortgage payments an additional $176 more per month (for context, the national average monthly mortgage payment on a 30-year fixed mortgage in the U.S. for May 2012 was $967.78, according to data released by LendingTree.com). Further, homeowners receiving NFMC counseling were at least 67% more likely to remain current on their mortgage nine months after receiving their modification. The Urban Institute independently verified all reported findings.
“The data released by NeighborWorks America with respect to the National Foreclosure Mitigation Counseling program is wholly consistent with other independent research proving the effectiveness of housing counseling as a means to help more Americans remain on the path of sustainable homeownership,” said Colleen Hernandez, CEO of HPF. “HPF applauds NeighborWorks’ continued commitment to providing struggling homeowners with access to reliable, unbiased housing counseling. As a national counseling partner that assisted approximately 14,000 homeowners last year through NFMC funding, HPF is proud to have helped them serve more than 1.3 million homeowners to date through this federally funded program.”
The full analysis is available in the NFMC 2012 Congressional Report.
About the Homeownership Preservation Foundation
The Homeownership Preservation Foundation (HPF) is an independent national nonprofit dedicated to helping distressed homeowners navigate financial challenges and avoid mortgage foreclosure. HPF guides consumers onto the path of sustainable homeownership and develops innovative solutions to preserve and expand homeownership. Through its Homeowner’s HOPE™ Hotline, 888-995-HOPE™, HPF provides comprehensive financial education and confidential foreclosure prevention counseling for FREE, 24 hours a day, 7 days a week, 365 days a year, in over 170 languages. Since 2007, HPF has served more than six million distressed homeowners, an average of 5,500 each weekday, who depend upon HPF as a trusted, neutral source of information and assistance. For more information about the Homeownership Preservation Foundation or the Homeowner’s HOPE™ Hotline, please visit www.995hope.org
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