In today’s tip Dennis Johnson of ClearPoint Financial Solutions and Eric Madkins of the Urban League of Metropolitan St. Louis discuss the importance of having emergency savings. They suggest having at least 3-6 months worth of living expenses saved, just in case something happens. Right now it’s more important than ever to be proactive and plan ahead. The more prepared we are, the better we’ll be able to weather this financial crisis.
Written by: Linda Ingram
HOPE NOW, the private sector alliance of mortgage servicers, non-profits, counselors and investors announced this week that it has developed a new program called SMP or “Streamlined Modification Plan”. SMP expands what many lenders are already doing and will begin December 15th. It is the result of working with the US Treasury, HUD, Fannie Mae, Freddie Mac and major loan servicers.
Under this plan, lenders will use an expedited process to modify or restructure loans making payments more affordable for homeowners. Faith Schwartz, executive director of HOPE NOW, says, “SMP will help stabilize the housing market”.
Eligible borrowers must be 90 days late, can be in foreclosure but not bankruptcy and must be living in single family owner occupied property
For the modification to be complete, the homeowner must make 3 payments within 90 days of the new modified payment and be current on day 90.
Escrows for taxes and insurance are mandatory.
Lenders will send letters to qualified borrowers but borrowers should not hesitate to call their lender to see if they qualify.
All the participating servicers and investors encourage borrowers to contact housing counseling agencies. They can receive free counseling by calling Beyond Housing 314-533-0600 x22 or visit www.hud.gov to find a counselor.
November 12, 2008
As we continue to connect people to resources and raise awareness of the impact of the mortgage crisis in St. Louis the scope of the problem has become much broader and deeper. As a result, we at KETC have been discussing how to continue to connect people to resources and raise awareness and broaden our message. We are currently in planning for phase two of our project and expect launch to launch sometime soon.
In the meantime we believe that one way to look at the current crisis is through the lense of financial issues. We invite the community to be a part of this on Tuesday, November 18 at the Missouri History Museum for a screening of the film I.O.U.S.A. Prior to the screening of the film (6 – 7pm) many of our communtiy partners will be available to discuss financial issues and provide information. These organizations include Better Family Life, Beyond Housing, The St. Louis Beacon, The Metro St. Louis Foreclosure Prevention Taskforce, Clearpoint Financial Solutions, The Federal Reserve Bank of St. Louis, and the Urban League of Metropolitan St. Louis.
Watch the trailer for the film below.
July 29, 2008
Living St. Louis Producer Jim Kirchherr visits South St. Louis, one of the first communities in the area to see a dramatic rise in foreclosures. In the Dutchtown neighborhood, many of the properties that are owned by rehabbers and investors have fallen into disrepair.