Millions of homeowners being counseled on foreclosure

NeighborWorks America announced yesterday that more than 1.1 million homeowners across the United States have received foreclosure counseling through the National Foreclosure Mitigation Counseling (NFMC) Program.

In December 2010, an independent analysis of the NFMC Program showed that NFMC Program clients in foreclosure were 1.7 times more likely to cure a foreclosure and potentially avoid losing a home than homeowners who did not receive foreclosure counseling. In addition, NFMC clients who received loan modifications reduced their monthly mortgage payments on average by $267 more per month than they would have without NFMC counseling. This represents an annual savings of over $3,200 per homeowner.

The organization also said California and Florida were hardest hit by delinquencies and foreclosures, and minority and low-income homeowners and neighborhoods have been disproportionately impacted by the foreclosure crisis.

NeighborWorks America is one of the nation’s leading trainers on community development and affordable housing. In the last five years, NeighborWorks organizations have generated $20 billion in reinvestment in communities.

For more information about the NFMC Program, visit www.nw.org/nfmc.