| The Massachusetts Division of Banks yesterday awarded $1.5 million in grants to fund first-time homeownership counseling programs and foreclosure prevention education centers throughout the commonwealth.
Twenty-one awards were made to 10 consumer counseling organizations and 11 foreclosure prevention regional centers. This is the 10th consecutive year the DOB has awarded financial education programming to support Massachusetts residents pursuing homeownership opportunities as well as those families working to stay in their homes.
“Investing in our communities is a top priority of the Baker-Polito Administration, and homeownership is a significant contributor to communities’ strength and vitality,” Secretary of Housing & Economic Development Jay Ash said in a statement. “As we strive to develop more affordable housing options and increase our housing supply, the continued funding of these programs will help young people and families on their way to achieve – and maintain – the dream of homeownership over the long-term.”
Regional foreclosure education centers and consumer counseling agencies provide first-time homeownership counseling and foreclosure education and prevention programs. Foreclosure prevention programming assists homeowners who may be experiencing financial hardship caused by either a loss of or reduction in income, a medical issue or an unexpected life event that can result in a mortgage delinquency. Consumer and homeownership counseling programs provide prospective homebuyers with resources to determine if homeownership is right for them, and how to navigate the homebuying process.
The DOB supports these programs by making Chapter 206 grants, which are funded by fees associated with the licensing of mortgage loan originators. These grants have enabled regional foreclosure education centers and consumer counseling agencies to serve more than 4,700 Massachusetts consumers in 2017. More than 85 percent receiving Chapter 206 grant-related foreclosure counseling were able to avoid foreclosure and successfully remain in their homes.
“I am proud to support counseling programs that help consumers navigate the highs and lows of homeownership,” Office of Consumer Affairs and Business Regulation Undersecretary John Chapman said in a statement. “Knowledge is a consumer’s best tool. This funding ensures that these programs continue to educate and empower prospective homebuyers and those at risk of losing their homes, giving them the tools they need to build or rebuild their lives.”
“This year marks our tenth consecutive year funding organizations offering foreclosure and homeownership education,” Commissioner of Banks Terence McGinnis said in a statement. “These grants, along with the hard work of funded nonprofit agencies, have helped thousands of Massachusetts consumers successfully navigate the foreclosure process or purchase their first home. A home is one of the largest purchases a consumer will ever make and it’s important that consumers make educated financial decisions that are right for them.”
The DOB has awarded more than $12 million to organizations that have been able to assist over 41,000 consumers since the grant program’s inception in 2008.
