Homeowners at risk of foreclosure got a big boost in this year’s City budget, which went into effect July 1st. This year, the New York City Council increased funding for at-risk homeowners to $2 million, an increase of $1.25 million from last year’s budget. This new funding will allow the Center to expand programming for seniors facing foreclosure, and fund innovative new initiatives to help homeowners citywide.
Council Steps Up to Support the Community Restoration Fund
The City Council approved $1 million in new funding for the Foreclosure Buyback Initiative in the budget. This is an especially exciting development because it is the first public funding committed for the Community Restoration Fund, which will be used to pilot a mission-driven purchase of distressed mortgage notes in the communities hit hardest by the foreclosure crisis. Nonprofits will be able to intervene with home-saving mortgage modifications and other interventions to preserve this critical stock of affordable housing.
Supporting Our Seniors
The Council also approved $1 million for the Mortgage Foreclosure Prevention program. This is an increase of $250,000 from last year and will complement the existing funding that the Center deploys to housing counseling and legal services organizations offering help with foreclosure prevention assistance. It will be used for targeted services for senior homeowners, who are often on a fixed budget and need assistance to stay in, and maintain, their homes.
Our partners were also a key element in helping us secure additional funding in this year’s City Budget. Thanks to their outreach and advocacy efforts we were able to spread the word and inform council members about the Community Restoration Fund and how much the issue of foreclosures on small homes continues in the city.
We particularly commend Council Members Donovan Richards, Dan Garodnick, Daneek Miller, and Ruben Wills for their particularly strong support for these programs. Together, with the Council’s assistance, we will be able to help thousands more New Yorkers stay in the homes and neighborhoods they love.