New Programs Offer Aid To Those Facing Foreclosure

Inside Long Island Real Estate

News this week from the state house will come as a sign of possible relief to families facing Foreclosure. Attorney General Eric T. Schneiderman announced last week that the one million dollars his office received in a 2006 settlement with a mortgage company accused of illegal home financing practices will now be funneled to provide legal assistance for consumers facing foreclosure on Long Island. This is an admirable and innovative move by the state and couldn't come at a better time for families with Mortgages under-water seeking relief. Just as industry professionals are touting a surge in repossessions and homes seized by lenders hoping to salvage any re-compensation for bad and unpaid loans this year. According to a spokesperson for Schneiderman bids will be sought from nonprofit legal aid organizations, and money could be flowing to them in as little as eight weeks.

When Governor Andrew Cuomo recently announced the creation of a Foreclosure Relief Unit, some industry experts no doubt rolled their eyes as constituents felt a slight sense of relief. Within a few weeks a team will mobilized to go on site to the area of Long Island such as Nassau and Suffolk, which are among the hardest hit counties with the largest amount of foreclosures. According to Newsday RealtyTrac, the California-based real estate data provider, said about 7,800 Long Island homes received some type of foreclosure-related notice last year. RealtyTrac data shows the highest rates of foreclosure on Long Island are in Brentwood, Central Islip, Hempstead, Uniondale and Wyandanch and predicts a 25% increase in foreclosures for the coming year.