Wednesday, November 14th, 2018
Does Foreclosure Counseling Matter to Delinquent Homeowners?
Many US households experience the process of foreclosure. To offer support to these struggling families, some local communities, in partnership with the federal government, non-profits, and state housing authorities, offer foreclosure counseling and prevention services to struggling homeowners. In one Midwestern community, a unique partnership has emerged between a local HUD-certified housing counseling agency and the local Treasurer's Office to provide financial counseling to all homeowners who are three years' delinquent on property taxes and facing foreclosure. Each participant is offered a 12-month extension on repaying their delinquent bill if they agree to enter counseling and receive education from a HUD-certified counseling agency and make timely monthly payments. This poster evaluates the effectiveness of the counseling intervention 265 clients over a two-year period to see if participants who received education and counseling from a HUD certified counselor are better able to repay their delinquent payment and avoid property tax foreclosure. Key demographics and financial ratios have been evaluated. Using these factors, the findings will help predict if a client was successful in repaying their debt to the Treasurer's Office. Implications for future research and practitioner guidelines have been generated to support practitioners to better work with this vulnerable population.