Home Saved from Foreclosure

Who would have imagined that attending a workshop could change the rest of your life...

That’s exactly what happened to a 72 year old Craven County resident who was 10 months behind on her mortgage when she walked into a foreclosure prevention training sponsored and coordinated by the NC Housing Coalition and the City of New Bern. For the sake of keeping her name anonymous, we’ll call her “Mrs. P”. Mrs. P listened attentively as one by one, speakers from NC Commissioner of Banks (NCCOB), HUD and Legal Aid of NC took the podium. Mrs. P sat quietly as she noticed that questions from the audience were coming from housing servicers and realtors... not homeowners (like her). Nevertheless, Mrs. P felt a glimmer of hope and a sense of refuge while being addressed by professionals, educating the audience seated before them.

As she listened to how NC Commissioner of Banks’ “State Home Foreclosure Prevention Project” is sometimes able to get a stay (postponement) on a foreclosure and how HUD’s “Making Home Affordable Program” could offer a loan modification, and how Legal Aid of NC’s “Mortgage Foreclosure Project” saves homes using legal defense... she became as optimistic as ever. She made sure she spoke with each presenter before leaving.

The following day, a Craven County sheriff knocked on Mrs. P’s door, serving her a notice of the foreclosure hearing and sale. Mrs. P was crushed, knowing she could lose her home within weeks! She contacted me that afternoon and I put her in touch with several agencies about possible options to save her home. We found out that the NCCOB had been working on Mrs. P’s case since the day of the workshop. They were able to get a 30 day extension on the foreclosure hearing and sale. In the meantime, not giving up, Mrs. P completed a counseling session by phone, which made her eligible for the “Making Home Affordable Program”.

In less than two weeks after attending this workshop, Mrs. P’s mortgage loan had been modified to a payment that she could afford (not more than 31% of her income). More excitingly is the fact that her insurance payments, city and county taxes are now escrowed into this lower payment (unlike before). Mrs. P is SAVING approximately $700 per month and her home has been saved! All of the services Mrs. P received were FREE!

Regina Green
Foreclosure Prevention Coordinator