Connecticut Foreclosure

Connecticut Holds Two Spots in Worst 25 Forecast Markets in 2010

Connecticut Foreclosure — Wed, 30 Dec 2009 17:54:11 +0000

Nearly all of the Worst 25 Forecast housing markets in 2010 are projected to sustain double-digit deflation for the year. Two markets in CT are listed in the Top 25 for 2010. A broad range of the country's markets compose the worst 25 with a total of 16 states represented, which showsjust how broadly the housing crisis is impacting the U.S. Rising foreclosures and more bank-assisted short sales will send housing prices lower in the majority of the country in 2010. But there are markets that are on the mend moving into recoveries. Some 44 cities are forecast to appreciate during the year, more than in the last four years.

Greenwich came in as the number seven worst forcast market for the coming year with a projected -13.4% decline. Stamford makes the list at number 22 with a projected -10.2% decline in values. Some people are suprised that Greenwich is projected to lose so much value next year, but nationwide, more and more higher end homes are projected to go into foreclosure in the coming year or two. (more…)

CT Foreclosure Rates Jump to Highest Levels in Over 30 Years

Connecticut Foreclosure — Fri, 21 Aug 2009 19:56:55 +0000

According to a report Thursday from the Mortgage Bankers Association, Connecticut had 31,979 residential mortgages either in foreclosure or 90 or more days past due. That equates to one mortgage in every 17 or roughly six percent of all CT home loans as of June 30th, 2009. Many economists expect the increase in foreclosures to continue until unemployment rates start to drop. Many are expecting the end of 2010 as the foreclosure bottom.

While the early increases in CT foreclosure rates were primarily from sub-prime mortgages, we are currently seeing more Prime mortgage holders default. This is going to have a big impact over the next year or so as more these prime mortgages head to foreclosure. Families with traditional mortgages who played by the rules and didn't overextend themselves are fueling this trend because of job layoffs. (more…)

CT April Home Sales at Lowest Levels Since 1987

Connecticut Foreclosure — Wed, 03 Jun 2009 18:22:54 +0000

Connecticut Home Sales and Median Price Info for April 2009
Year-to-date home sales in Connecticut totaled 5,079. That is a 26 percent decrease from 6,868 home sales this time in 2008. Sales of CT single-family homes for the month of April dropped 21.1 percent from 1,936 a year ago, to 1,528 in 2009. It was the slowest sales pace for the month of April since The Warren Group started tracking changes in Connecticut's real estate sales and prices in 1987.

Not only that, but the median selling price for CT single-family homes decreased 13.5 percent to $227,500 from $263,000 in April 2008. Monthly median home prices have been falling by double-digit percentages, year-over-year, for seven consecutive months, but April delivered the smallest price decline in that seven-month period. Meanwhile, the median price for homes sold in the first four months of 2009 is down 15.5 percent to $224,000 from $265,125.

If you own a condo the news is even worse.

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Lenders Want to Help You Avoid Foreclosure with Mediation

Connecticut Foreclosure — Thu, 19 Mar 2009 04:47:25 +0000

If you have received a Connecticut Foreclosure Notice (Summons) recently, you should have also received "Homeowner Notice: Availability of Foreclosure Mediation" stating that you may be eligible for mediation assistance from the courts. One of the best things you can do in a foreclosure situation is apply for mediation. It does a couple things for you. First - it gives you more time to figure out what you're going to do to resolve the situation. Second - the mrediationrs are very helpful and are trained on how to deal with the lenders and homeowners to come to an agreement that works for everyone. Hopefully working with a mediator will stop the foreclosure and help you keep your home. (more…)

Connecticut Fair Alternative Mortgage Lending Initiative and Education Services (CT FAMLIES) Program

Connecticut Foreclosure — Tue, 08 Jul 2008 15:05:00 +0000

And finally, the CT FAMLIES Program. This is a refinancing option for CT homeowners to get into a new 30-year fixed rate loan and out of the ridiculously high subprime rates that some people have. Here is a summary from the CHFA website:

CHFA continues to offer the Connecticut Fair Alternative Mortgage Lending Initiative and Education Services (CT FAMLIES) Program, a refinancing mortgage loan that is at a fixed rate for a term of 30 years. Eligible homeowners who have an Adjustable Rate Mortgage (ARM) or their current mortgage is no longer suitable for their financial situation may qualify for a CT FAMLIES Loan. Homeowners may contact the CHFA Special Programs Call Center located at 999 West Street, Rocky Hill, CT 06067 via telephone 8:30 a.m. to 5:00 p.m. – local calls 860-571-3500 or toll free 877- 571-CHFA (2432) or via e-mail at CTFAMLIES@chfa.org.

I am not sure what the qualifications are and I'm sure there are some, so you will have to give them a call to see what options are available to you and your situation.

Connecticut Foreclosure Mediation Available from CHFA

Connecticut Foreclosure — Tue, 08 Jul 2008 14:50:23 +0000

Foreclosure Mediation is when someone steps in on your behalf to try to stop foreclosure and negotiate a suitable arrangement with your lender for repayment of the mortgage. There are a ton of companies out there that market heavily claiming to Stop Foreclosure. Some are buyers and others offer Loss Mitigation services for a fee, typically equivalent one mortgage payment. There are also a number of non-profit agencies locally who provide this service as well. I would advise people to be very careful who they decide to work with to try and stop foreclosure on their home. Thankfully, the state has added the Foreclosure Mediation program for homeowners. Here is a summary from the CHFA website:

All lenders are required by law to attach to the front of the complaint that is served on the borrower a copy of the “Notice to Homeowner: Availability of Foreclosure Mediation” form and a “Foreclosure Mediation Request” form. In the mediation process, EMAP, HERO and the CT FAMLIES Programs will also be discussed with the borrower as alternatives to saving the borrower’s home from foreclosure. Inquires regarding Foreclosure Mediation may be directed to Roberta Palmer, Superior Court Operations at (860) 363-2734 or via e-mail at: roberta.palmer@jud.ct.gov.

I am not sure if the state will just be referring loss mitigation cases to the non-profits, such as 995-HOPE and Acorn or if they will be providing some of those services directly. I am guessing they will just be referring cases to the companies that already perform those activities.

Connecticut Homeowner’s Equity Recovery Opportunity (HERO) Loan Program

Connecticut Foreclosure — Tue, 08 Jul 2008 14:42:16 +0000

CHFA's HERO Loan Program gives them the ability to purchase certain mortgages from lenders in order to give borrowers more affordable terms and a more manageable payent plan that better fits their financial situation. Here is a summary from the CHFA website:

The purpose of the HERO Program is to permit CHFA to purchase eligible mortgages directly from lenders and place those borrowers on an affordable repayment plan. Funding in the amount of $30 million will be available for this program. There are several options currently being developed. Anyone with questions may contact the CHFA Special Programs Call Center located at 999 West Street, Rocky Hill, CT 06067 via telephone 8:30 a.m. to 5:00 p.m. – local calls 860-571-3500 or toll free 877- 571-CHFA (2432) or via e-mail at HEROinfo@chfa.org.

If you are having difficulties, please make contact with your lender and discuss the matter with them. Let them know you will be calling CHFA to discuss your options with them. Do not get talked into a payment plan with your lender unless you know it fits your particular situation. Typically the first people that you speak with at your mortgage company when you are behind on payments is a collector. They tend to be a little ruthless and have one job - to get you to send in money.

Connecticut Emergency Mortgage Assistance Program (EMAP)

Connecticut Foreclosure — Tue, 08 Jul 2008 14:37:33 +0000

This is a summary of the Emergency Mortgage Assistance Program which is part of the new law that went into effect July 1st. Full information is avaiable by contacting CHFA and is available from the CHFA website. I thought I would summarize it here for readers as well.

The Emergency Mortgage Assistance Program is available to provide emergency mortgage assistance payments to eligible homeowners. Funding in the amount of $64 million has been provided for EMAP and will be administered by Connecticut Housing Finance Authority (CHFA).

All lenders are required by law to take specific actions prior to commencing a judgment of strict foreclosure or foreclosure by sale for one-to-four family, owner-occupied residential real property located in the State of Connecticut, including condominiums.

Lenders who start a foreclosure process upon a borrower, are required to give written notice to the borrower by registered or certified mail indicating that the borrower has 60 days from the date of the notice to confer with the lender or have a face-to-face meeting with a consumer credit counseling agency to attempt to resolve the delinquency or default. (A list of CHFA-approved counseling agencies is attached for your reference.)

In the notice, the lender must also inform the borrower that the EMAP Program is being administered by Connecticut Housing Finance Authority (CHFA). If the lender and borrower are unable to resolve the delinquency or default, the borrower will have 60 days from receipt of the written notice to obtain information and apply for the EMAP Program.

EMAP is not available to borrowers who have FHA-insured loans.

Homeowners may contact the CHFA Special Programs Call Center located at 999 West Street, Rocky Hill, CT 06067 via telephone 8:30 a.m. to 5:00 p.m. – local calls 860-571-3500 or toll free 877- 571-CHFA (2432) or via e-mail at EMAPinfo@chfa.org

WorkPlace, Inc., in conjunction with other regional workforce development boards, will establish a mortgage crisis job training program for eligible borrowers if they are at least 60 days delinquent on their mortgage, are referred by the CHFA lender or demonstrate an imminent need to increase earnings in order to avoid delinquency or foreclosure.

There are some great support features included in this program including job training and more time to respond to your lender's legal actions.

New Law Assists Subprime Mortgage Customers in CT

Connecticut Foreclosure — Tue, 08 Jul 2008 14:31:43 +0000

A new state law took effect last Tuesday that will assist borrowers facing foreclosure in CT. The New Haven Register did a great job summarizing the law and how to get assistance.

A new state law that took effect Tuesday establishes borrower assistance programs to help homeowners with subprime mortgages.

The law re-establishes the Emergency Mortgage Assistance Program with $64 million in funding administered by the Connecticut Housing Finance Authority.

The programs available to Connecticut borrowers include mortgage assistance, loan refinancing, foreclosure mediation and job training.

A call center has been set up at CHFA to provide additional information on the programs. Anyone interested may call CHFA toll-free at (877) 571-CHFA.

Lenders are now required to notify borrowers facing foreclosure of the opportunity to speak with their lender or a CHFA-approved consumer credit counseling agency to attempt to resolve the delinquency or default.

If, after speaking to the lender or counseling agency, the borrower is still unable to reach a resolution, they may be eligible to apply directly to CHFA for an EMAP mortgage.

If approved for an EMAP mortgage, CHFA will make monthly mortgage payments on the borrower’s behalf directly to the lender for up to five years.

“Those who receive an EMAP loan from CHFA will have the security of knowing they will be able to stay in their homes for up to five years while they work to improve their circumstances or modify the terms of their loan,” Gov. M. Jodi Rell said in a statement.

The borrower will be required to make at least a partial payment to CHFA during that time.

Also launched as part of the bill, the Homeowner’s Equity Recovery Opportunity Program authorizes CHFA to purchase eligible mortgages directly from lenders and make alternative financing available to borrowers in the form of HERO loans.

The HERO loans will provide affordable repayment plans, according to Rell.

Eligible borrowers are those who live in a one- to four-family residence in Connecticut. Single-family condominiums also are eligible.

Governor Rell issued a press release about the new law and also included information on how to apply for assistance. Here is the Governor's Press Release:

Governor Rell: Programs Now Available to Help Subprime Borrowers

Governor M. Jodi Rell today said that a law that takes effect today creates borrower assistance programs that will help to provide relief to homeowners with subprime mortgages.

“These programs will provide relief to hundreds of Connecticut borrowers who are now facing foreclosure as a result of the subprime crisis,” Governor Rell said. “By being able to work directly with their lender or a counseling agency, many borrowers will be able to reach a modification agreement or set a budget that will allow them to make their monthly mortgage payments.”

Public Act 08-176 re-establishes the Emergency Mortgage Assistance Program (EMAP) with $64 million in funding to be administered by the Connecticut Housing Finance Authority (CHFA). More information can be found at emapinfo@chfa.org .

“Those who receive an EMAP loan from CHFA will have the security of knowing they will be able to stay in their homes for up to five years while they work to improve their circumstances or modify the terms of their loan,” Governor Rell said.

The multitude of programs available to Connecticut borrowers includes mortgage assistance, loan refinancing, foreclosure mediation and job training.

A call center has been set up at CHFA to provide additional information on the programs. Anyone interested should call CHFA at 860.571.3500 or toll free at 877.571.CHFA (2432).

Under the new state law, lenders are required to notify borrowers facing foreclosure of the opportunity to speak with their lender or a CHFA-approved consumer credit counseling agency to attempt to resolve the delinquency or default. If after speaking to the lender or counseling agency the borrower is still unable to resolve the delinquency or default, they may be eligible to apply directly to CHFA for an EMAP mortgage. If the borrower is approved for an EMAP mortgage, CHFA will make monthly mortgage payments on the borrower’s behalf directly to the lender for up to five years. The borrower will be required to make at least a partial payment to CHFA during that time.

The Homeowner’s Equity Recovery Opportunity (HERO) Program will also begin on July 1. Under PA 08-176, CHFA is authorized to purchase eligible mortgages directly from lenders and make available alternative financing to borrowers in the form of HERO loans that provide for affordable repayment plans. Eligible borrowers are those live in a one-to-four family residence in Connecticut. Single family condominiums and planned unit developments are also eligible.

Hopefully there will be enough assistance available, and there will not be any strict qualification requirements that exclude the majority of CT homeowners who are heading toward foreclosure.

Weekly CT Foreclosure Statistics for June 2, 2008

Connecticut Foreclosure — Mon, 02 Jun 2008 13:55:10 +0000

This months Connecticut Foreclosure Statistics once again show New Haven County as having the highest number of Lis Pendens in the state. By a lot. CT Foreclosure Auctions and CT REO numbers are down across the board either because they are not being reported or because they were just down. To determine trends, and see if the foreclosure rates are increasing or decreasing, monthly foreclosure stats should be viewed as part of longer term foreclosure statistics.

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