Maine Counties Contain Foreclosed Houses for Sale

A pilot program to implement Maine’s statewide program to contain repo houses for sale is already in progress in York County, the most populous county in Maine.

The program was patterned after the foreclosure mediation program already being carried out in Connecticut and in other states.

Under the foreclosure mediation program, owners of homes in great danger of getting included in lists of foreclosed homes for sale can go to their county officials and ask for state-supervised mediation.

After York County has progressed in its pilot program and has shown progress in saving homes from lists of foreclosed houses for sale, the other 16 counties in Maine will be required to launch their own mandatory mediation programs by January next year.

According to Will Lund, head of the Maine Professional and Financial Regulation Office of Consumer Credit Regulation, District Court Judge Andre Janelle will head the statewide program to contain foreclosed houses for sale.

Using provisions of the statewide mediation law, Judge Lund and his office recruited several retired judges to help distressed borrowers and work as mediators. He has also launched a statewide hotline for troubled homeowners and has required all mortgage lenders operating in Maine to submit the names and street addresses of borrowers they are planning to sue for foreclosure.

As his office receives information from the lenders, the Consumer Credit Regulation Office sends documents to borrowers about foreclosure prevention services available, including a document that they can fill up to participate in the mandatory mediation program.

According to Lund, his office has been receiving around 150 names of borrowers to be helped under the program every week.

Under the mediation program, borrowers first meet with a foreclosure prevention counselor who will orient them about documentation and information required for the mediation session.

At the mandatory mediation session, borrowers meet with an authorized representative from the lender. According to the mediation law, the lender should send a representative with the authority to modify a loan.

As the pilot program in York County is still on its first days, county officials cannot yet say if the mandatory mediation program will be effective in reducing the rising number of foreclosed homes for sale across the state.

Nonetheless, Consumer Credit head Lund is positive the statewide program to contain distressed properties for sale will make some headway because of the positive response of troubled homeowners to the program.

Related Posts:

• Maine Real Estate Brokers and Agents Face the Effects of the Foreclosure Crisis
• Foreclosed Home Auction Could be Delayed Further in Maryland
• Philadelphia Program Clips Foreclosure Listings
• Florida Repo Homes for Sale to Soar with Foreclosure Bill
• Nearly 200 Foreclosed Homes for Auction in Muncie