State Awards $1.5 Million for Sustainable Homeownership Counseling and Foreclosure Prevention
On April 22, the Massachusetts Division of Banks awarded $1.5 Million in grants for Foreclosure Counseling and First-Time Homebuyer Education through the 2019 Chapter 206 Awards. A total of 20 awards were made to 10 foreclosure prevention regional centers and 10 consumer counseling organizations which provide homebuyer education.
CDCs continue to be among the leaders in providing these essential services, with twelve of the twenty awards made to MACDC Members or coalitions which include MACDC Members. CDCs serving urban, rural, and suburban areas across the Commonwealth are helping homebuyers acquire their first homes and assisting homeowners at risk of foreclosure in keeping their homes.
The counseling awards were created through Chapter 206 of the Acts of 2007 – a law that MACDC helped enact through our advocacy with CHAPA and MAHA. They are funded by fees associated with the licensing of mortgage loan originators. In 2018, the Regional Foreclosure Centers assisted almost 4,800 clients, helping 84% of these clients to avoid foreclosure. Homebuyer education was provided to almost 2,700 clients. This counseling helped prospective homebuyers make an educated decision on when to purchase a home. Furthermore, it helped homebuyers secure affordable and sustainable mortgage loans- only .02% of these clients purchased a home with a subprime mortgage!
MACDC appreciates the Baker-Polito Administration’s ongoing support for this program and is grateful to the Division of Banks for its effective stewardship of this important resource.