ECD Offers Free Foreclosure Prevention Workshops
For Immediate Release Contact: Laura Vinton
February 26, 2010 Phone: (228) 563-6583
Email: lvinton@ecd.org
Assistance Available to Mississippi Gulf Coast Homeowners Facing Foreclosure
ECD Offers Free Foreclosure Prevention Workshops
Gulfport, MS – Foreclosure rates for residents along the Gulf Coast have risen dramatically.
ECD (Enterprise Corporation of the Delta) urges homeowners at risk of losing their homes to
take the first step to avoid the foreclosure process: call for help.
ECD established counseling service in the region four years ago that have helped people to
rebuild and to protect their most important asset. To address the growing foreclosure problem,
ECD will be hosting two free workshops that open to the public. Anyone who is concerned
about their risk of foreclosure, behind or their mortgage, or simply worried about the
complexities and financial burden of homeownership is encouraged to attend these events on
March 6, 2010.
The program will include general information about foreclosure issues, an overview of
foreclosure prevention services, and will offer attendees an opportunity to schedule
appointments with certified foreclosure prevention specialists free of charge.
• ECD Gulfport Office, 4320 W. Railroad Street, Gulfport, MS 10:00 a.m. – 12:00 p.m.
• Pascagoula Public Library, 3214 Pascagoula St., Pascagoula, MS 2:30 p.m. - 4:30 p.m.
“We want everyone to build homeownership on a rock-solid foundation and to be able to keep
their homes for the long term,” said Laura Vinton, ECD Senior Vice President. “It can be difficult
to face the threat of foreclosure, but the earlier financially distressed homeowners reach out for
assistance, the more options they have to address their mortgage issues and potentially avoid
foreclosure.”
Industry studies show the foreclosure rate on mortgage loans has increased nationwide by more
than 50 percent since 2000, and the number of foreclosure filings has increased over 700% on
the Mississippi Gulf Coast in 2009.
While property values steadily increased and interest rates remained near historic lows over the
past few years, many people rushed into homeownership after being taken advantage of by
predatory and sub-prime lenders offering inappropriate loan products. Many of these loans
were responsible for getting people into homes with short-term benefits, but saddled borrowers
with significantly increased monthly payments as interest rates skyrocketed. Additionally, many
Mississippi Coast families face additional burdens related to the after effects of the 2005 storms
as well as the current economic crisis, such as the loss of a job, a reduction in income, or a
health emergency.
While there is no one reason that can explain why homeowners are facing foreclosure at an
increasing rate, the surest way out is to ask for help.
Unfortunately more than half of homeowners facing foreclosure do not seek assistance when
they begin to fall behind on their payments, according to industry studies. However, the early
stages of delinquency are the most crucial – the same studies show that homeowners who take
action when they are only one or two payments behind are more likely to keep their homes than
those who have fallen further behind on their payment schedule.
Homeowners who are having trouble making their mortgage payments are encouraged to
contact ECD at 228-563-6581 to receive foreclosure counseling from counseling agencies
certified by the U.S. Department of Housing and Urban Development (HUD), like ECD or other
members of the national NeighborWorks® network.
Many borrowers may be hesitant to call their lending institution because of embarrassment,
fear, or lack of trust, or lack of knowledge about the process. Working with a certified ECD
counselor may help alleviate this anxiety because they can serve as mediator between the
borrower and lender.
With the help of a counselor, a homeowner can work with his or her lender to develop a
reasonable action plan that will offer relief to the borrower. Lenders are often willing to work
with a borrower to put a family back on a stable financial footing.
Because it provides homeownership education and counseling, ECD can deploy a range of
services to help at-risk homeowners, including one-on-one counseling, bridge loans to help
borrowers falling behind in payments catch up, options for refinancing mortgages, and rehab
loans for repairs and maintenance.