Barbara Nevins Taylor's
Saving Your Home From Foreclosure
If you are behind on your mortgage payments and are worried that you may soon be in foreclosure, this is the time to take action. Because the looming foreclosure crisis potentially affects so many people government officials have stepped in to help. In Washington the Bush administration has reached an agreement with six major banks to freeze foreclosures for 30 days until individual cases can be reviewed. The banks are Washington Mutual, Wells Fargo, Bank of America, Citigroup, J.P. Morgan Chase, and Countrywide Financial. If you have a mortgage with one of these banks and you are behind on your payments, you’ll receive a letter from the bank. It is important to respond immediately.
Renegotiating A Mortgage
The banks will refer you to a not-for-profit housing counseling group where an individual counselor will evaluate your situation, make recommendations and if possible negotiate with the bank to either work out a new mortgage for you, or clear up problems. While only six banks are included in the agreement Washington and local government officials are hoping that other banks and the companies called “servicing agents” that collect mortgage payments will also work with homeowners in this way.
Ask for Help
The most important first step is to ask for help. Even if you are not at the point where a bank is about to contact you to suggest that you are going into foreclosure, it is a good idea to take stock of where you stand financially and evaluate whether you will be able to make your mortgage payments consistently.
Housing Counseling Groups
Housing counseling groups are excellent resources. Most offer free counseling and they are the best place to get help. Counselors can help you review your finances and work out a plan that may save your home. The groups are busy, and are likely to ask you to send them information before they schedule an appointment. It’s a good idea to work with them and follow all of their instructions. Most have excellent track records and have helped many homeowners. We are providing a full list of groups in both New York and New Jersey at the end of this page.
Legal Assistance
You may also need a lawyer who understands the foreclosure crisis and the remedies that are available for homeowners. In some cases the counseling groups may be able to refer you to an appropriate lawyer. We are providing a list of possible legal resources at the bottom of this page.
Three Years to Undo A Loan Because of Fraud or Inaccuracies
The Federal Truth In Lending Law allows you to rescind or cancel a mortgage for a primary residence within 3 days if you have second thoughts. But if there was fraud or there are inaccuracies in your loan documents, in certain circumstance, you have 3 years to undo or rescind a mortgage. You will need clear evidence that information was deliberately or clearly misstated on your official loan documents. If there are inaccuracies, untruths, or misstatements it may be possible to have your loan rescinded and a new loan negotiated. But this may be difficult and requires a knowledgeable lawyer who has your best interests in mind It is likely that you will need a coordinated effort between a lawyer and a housing counselor.
Selling A House
Some people who can not afford mortgage payments even if they are renegotiated may have to sell their homes. It is important to be very careful about how you proceed. New York City Housing Preservation and Development Commissioner Shaun Donovan tells us that, “A lot of brokers who were getting people into bad mortgage deals have switched over to rescue scams to get people out of foreclosure. It is very important to be careful and make sure that if someone says they can help you, that someone is the right person.” This is good advice wherever you live. The housing counseling groups may also be able to provide advice and assistance for selling a house.
New York City
New York City has established a foundation specifically to help homeowners facing foreclosure. The Center For New York City Neighborhoods will provide money to not-for-profit counseling groups, and legal groups so that they can offer more help to more people. CNYCN will act as a support and referral agency. You can now access the groups that the center will fund by calling 311, or look at our listing at the bottom of the page.
New York State
The New York State Banking Department has a free consumer helpline. Staffers will answer your questions and refer you to people who can help. The hotline number is 1-877-Bank-NYS, or 1-877-226-5697.
New Jersey
New Jersey has created the Home Ownership Preservation Effort, or Hope. It is a partnership between government agencies, banks, and not-for-profit groups to help homeowners avoid foreclosure. It is affiliated with the Hope Now Alliance a coalition of banks, investors and counseling groups put together by the Bush Administration to address the mortgage crisis. On the Hope website www.state.nj.us/dobi/njhope, services are described and there is a referral to the Homeownership Preservation Foundation, established by the Hope Now Alliance. The number is 1-888-995-Hope. Counselors are available 24 hours a day, 7 days a week, and remember the service is free.
New Jersey also has the Homeownership Preservation Refinance Program aimed at helping people who are having difficulty making mortgage payments because of financial hardship make the switch to affordable mortgages. Click here to find out more about this program.
New York State Legal Referral
The New York State Bar Association offers a legal referral service. You can find out more on their website at www.nysba.org, or by calling the hotline 1-800-342-3661. In New York City you can call 212 626-7373.
New York City Not-For-Profit Housing Counseling Groups and Legal Services
CITY-WIDE
Asian Americans For Equality
111 Division Street New York, NY10002
212 964-2288
www.aafe.org
South Brooklyn Legal Services
105 Court Street , Brooklyn, NY
718 246-3279
BRONX
Legal Service New York-Bronx
579 Courtlandt Avenue, Bronx, NY
718 928-3880
www.lawhelp.org
Neighborhood Housing Services of the North Bronx
1178 East Gun Hill Road Bronx, NY
Tel: (718) 881-1180 x202
www.nhsnyc.org
BROOKLYN
Erasmus Neighborhood Federation
814 Rogers Ave Brooklyn, NY
www.erasmusfederation.org
718 462-7700
Cypress Hills Local Development Corporation
625 Jamaica Avenue Brooklyn, New York
www.cypresshills.org
Phone (718) 647-2800
Neighbors Helping Neighbors
443 39th Street, Brooklyn, NY
www.nhnhome.org
718 522-2613
Neighborhood Housing Services of Bedford Stuyvesant
1012 Gates Ave Brooklyn, NY
Tel:(718) 919-2100
www.nhsynyc.org
Neighborhood Housing Services
2806 Church Ave, Brooklyn, NY
718 469-4737
www.nhsnyc.org
Neighborhood Housing Services
306 W 37th St # 12 New York
212 519-2500
www.nhsnyc.org
Pratt Area Community Council
201 Dekalb Avenue, Brooklyn, NY
718 522-2613
www.pacc@prattarea.org
QUEENS
Jamaica Housing Improvement
161-10 Jamaica Avenue, Jamaica, Queens
718 658-5050
Legal Services for the Elderly
97-77 Queens Blvd., Rego Park, Queens
718 286-1500
www.jasa.org
Queens Legal Aid
120-46 Queens Blvd., Queens, NY
718 286-2450
www.legal-aid.org
Margert Community Corp.
19-31 Mott Avenue
Far Rockaway, NY11691
718 471-3724
www.margert.org
Neighbor Works
Neighborhood Housing Services of Jamaica
89-70 162nd Street
Jamaica, Queens
718 C291 7400
www.nhsnyc.org
Neighborhood Housing Services of Northern Queens
60-20 Woodside Avenue 2nd Fl.
Woodside, NY 11377
718 457-1017
www.nhsnyc.org
Jamaica Housing Improvement
161-10 Jamaica Ave # 601
Jamaica, Queens
718 658-5050
STATEN ISLAND
Neighborhood Housing Services of Staten Island
West Brighton
1205 Castleton Avenue
Staten Island, NY
718 442-8080
www.nhsnyc.org
LONG ISLAND
The Long Island Housing Partnership
180 Oser Avenue, Suite 800
Hauppauge, NY 11788
631-435-4710
www.lihp.org
Community Housing Innovations Inc.
190 East Post Road Suite #401
Patchogue, NY
631- 475-6390
www.chigrants.org
WESTCHESTER AND HUDSON VALLEY
Community Housing Innovations Inc.
55 Medford Avenue, Suite B White Plains, NY 10601
Tel: (914) 683-1010
Fax: (914) 683-6158
NEW JERSEY
NOT-FOR-PROFIT HOUSING GROUPS
BRAND NEW DAY
176 First Street
Elizabeth, NJ
908 282 0781
www.brandnewdaycdc.org
CATHOLIC FAMILY AND COMMUNITY SERVICES FOR THE DIOCESE OF PATERSON
24 DeGrasse Street
Paterson NJ
973 279 7100 ext 20
aalonso@catholiccharities.org
CCCS OF CENTRAL NJ, A DIVISON OF FAMILY GUIDANCE CENTER
1931 Nottingham Way
Hamilton NJ
609 586 2574
www.cccscentralnj.com
CCCS OF NEW JERSEY
30 Clinton St
Newark NJ
888 726 3260 ext. 1
www.cccsnj.org
CONSUMER CREDIT AND BUDGET COUNSELING
299 S. Shore Road
Marmora, NJ
888 738 8233 ext. 207
www.cc-bc.com
FAIR HOUSING COUNCIL OF NORTHERN NEW JERSEY
131 Main St,
Hackensack, NJ
201 489 3552
www.fhcnnj.org
FAITH, BRICKS AND MORTAR INC.
164 East Front St
Plainfield NJ
908 756 5774 ext 1
faithbricksandmortar@verizon.net
GARDEN STATE CONSUMER CREDIT COUNSELING INC/NOVADEBT
225 Willowbrook Road
Freehold NJ
866 472 4557
www.novadebt.org
NEW JERSEY CITIZEN ACTION
85 Raritan Ave
Highland Park NJ
800 656 9637
www.njcitizenaction.org
NEW JERSEY CITIZEN ACTION
744 Broad Street
Newark NJ
973 430 9975
www.njcitizenaction.org
NEW JERSEY CITIZEN ACTION
128 Market Street
Passaic, NJ
800 656 9637
www.njcitizenaction.org
PATERSON TASK FORCE FOR COMMUNITY ACTION
9 Colt Street
Paterson NJ
973 279 2333 ext 25
paterson.taskforce@verizon.net
PUERTO RICAN ACTION BOARD INC. (HOUSING COALITION UNIT)
90 Jersey Avenue,
New Brunswick NJ
732 249 9700
nrosado@prab.org
TRI-CITY PEOPLES CORPORATION
55 Washington Street
East Orange NJ
973 676 5506
www.tri-citypeoples.org
URBAN LEAGUE FOR BERGEN COUNTY
106 West Palisade Avenue Englewood NJ
201 568 4988
www.urbanleaguebc.org
URBAN LEAGUE OF MORRIS COUNTY
300 Madison Ave.
PO Box 9179
Morristown NJ
973 539 2121
www.ulmcnj.org
URBAN LEAGUE UNION COUNTY
288 N.Broad Street
Elizabeth NJ
908 351 7200
ulunioncty@aol.com