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Brooklyn Park Foreclosure Initiatives <br /> PARK <br /> Background <br /> Foreclosures are on the rise in a number of neighborhoods in Brooklyn Park;however this trend is <br /> not unique to our city. Across the state and across the nation foreclosures are rising to epidemic <br /> levels due to a variety of reasons including risky loan products like adjustable rate mortgages <br /> (ARMs)with temporarily low payments and high loan-to-value ratio loans. These trends have also <br /> been coupled with a surge(and fall)in housing appreciation and, in some cases,outright mortgage <br /> fraud. <br /> In the wake of the foreclosure crisis, many stakeholders, including cities, counties, the state, the <br /> philanthropy community,nonprofit organizations,banks,lenders and other private sector entities are <br /> coming together to collectively address the issue. In response to Brooklyn Park foreclosures,staff <br /> have created the following foreclosure strategies in partnership with other organizations and <br /> stakeholders to help mitigate the impact of foreclosures on the city, the neighborhoods and <br /> individual families. <br /> Goal <br /> The goal of these foreclosure initiatives is to stabilize and improve the city's housing stock by <br /> reducing the number of foreclosures,keeping homes healthy and well maintained,and transitioning <br /> foreclosed homes back into home ownership as quickly as possible. <br /> Strategies <br /> 1. Foreclosure Prevention: Prevent foreclosures through increased foreclosure prevention <br /> counseling and a comprehensive outreach and information campaign. <br /> 2. Secure Foreclosed and Vacant Homes: Stabilize the city's housing stock by identifying <br /> vacant and foreclosed homes, properly securing these properties, and using a common <br /> internal communication stream to avoid staff duplication. <br /> 3. Foreclosure Recovery:Rehabilitate properties or provide other related assistance to quickly <br /> convert homes back into owner occupancy. <br /> Outcomes <br /> This initiative will reach as many homeowners as possible who are facing foreclosure or at risk of <br /> foreclosure in the future and connect them to resources in order to keep homes owner-occupied. <br /> Anticipated outcomes include: <br /> 1. Fewer homes enter the foreclosure stream each month. <br /> 2. Foreclosed homes and vacant homes are preserved. <br /> 3. A high number of foreclosed homes transition to owner-occupancy. <br /> 1 February 2008 <br />