Energy Efficiency

Mortgage project targets predatory loans

Affordable Housing Partnership launches fair lending campaign

Albany’s Affordable Housing Partnership (AHP) will serve as lead agency for an anti-predatory lending campaign called the HomeSave Program, which will kick off on Thursday, June 5, from 6-8 p.m. at the New Covenant Christian Fellowship Hall, 365 Clinton Ave., Albany.

Applications are available now at the AHP office at 175 Central Ave., Albany, or by calling (518 434-1730, ext. 4. The orientation will be aimed at families and single homeowners interested in home repair loans, a key component of the overall anti-predatory lending campaign, by helping homeowners define needed repairs and find quality contractors at reasonable prices.

AHP will also hold a special orientation geared toward housing and human services agencies on Wednesday, June 4 at the United Methodist Church, 924 Albany Street, Schenectady during a regular meeting of the Schenectady Housing Task Force, according to Louise McNeilly, associate director of the Community Loan Fund, 255 Orange St., Albany. A second home repair orientation is slated for Thursday, June 26 at Cornell Cooperation Extension, 24 Martin Rd., Voorheesville.

The meetings are being held in association with the Charitable Leadership Foundation, of Clifton Park, and the nonprofit Seedco, of New York City.

The multifaceted HomeSave Program said AHP Executive Director Susan Cotner, “is geared toward existing homeowners. Basically, it’s multipurpose. We want people to be aware that there are alternatives to high-cost lenders, and that there are alternatives to getting out from under” the thumb of predatory lenders.

The home repair funds are available to homeowners who otherwise would find themselves having to use a high cost loan. These funds are provided using flexible underwriting criteria, but only after a careful review of the family’s budget, credit and commitment to the property.

“We also plan to partner with local financial institutions that will originate mortgages to replace predatory loans,” explained Cotner. “These lenders will then sell the new loans to Fannie Mae, as part of Fannie Mae’s anti-predatory lending pilot program.”

HomeSave includes a marketing campaign, designed to increase awareness of the danger of high cost lenders, the availability of counseling assistance and of alternate financing programs; and a counseling program to help families with a comprehensive financial review consisting of budgeting, credit repair and recommendations concerning appropriate debt restructuring; and legal assistance to families trapped in a predatory loan to help them obtain better rates and terms, or to cancel transactions completely.

For More Information Contact:

Susan Cotner, Affordable Housing Partnership
175 Central Avenue, Albany, NY 12206
Tel: 518-434-1730
FAX: 518-434-1767
Internet: info@AHPhome.org