Neighborhood Housing Services

Posted January 30, 2008

NeighborWorks America Announces Six Months Results of Foreclosure Prevention Awareness Campaign; Recognizes 2008 Program Supporters

Washington, D.C.– NeighborWorks America today said that since June 25, more than 200,000 homeowners have called the national foreclosure prevention hotline — 888-995-HOPE — managed by the Homeownership Preservation Foundation. The hotline is a critical component of the NeighborWorks America foreclosure prevention public service awareness campaign launched six months ago and distributed by the National Ad Council.

NeighborWorks America also said today that many of the nation’s largest mortgage industry participants have continued their support of its national foreclosure prevention campaign into 2008. The companies are: American General Financial Services/AIG; Bank of America; Barrett; Burke, Wilson, Castle, Daffin and Frappier; Citi; Chase; Countrywide Financial Corporation; EMC Mortgage Corporation; Fannie Mae; Freddie Mac; Genworth Financial; HomEq Servicing; HSBC-North America; IndyMac Bank; Mortgage Bankers Association; National City; Option One; Regions Financial Corporation; SunTrust Mortgage; Washington Mutual, and Wells Fargo.

“We are seeing tremendous success with the national outreach campaign to help families facing foreclosure,” said Ken Wade, NeighborWorks America CEO. “NeighborWorks organizations are working tirelessly to provide face-to-face counseling to thousands of families around the country. At the same time, daily average call volume to the hotline has increased more than 270 percent since the campaign’s launch last summer.”

Colleen Hernandez, president and executive director for the Homeownership Preservation Foundation said, “NeighborWorks America has been an instrumental partner in effectively getting our HOPE Hotline number — 888-995-HOPE — into the hands of more Americans than ever before. Their on-the-ground network of face-to-face counselors is an important counterpart to the overall foreclosure prevention effort that we’ve undertaken. We’re proud to be aligned with this innovative organization.”

“Moreover, we’ve seen broader adoption of the hotline by the financial services industry and government officials through linkage with the HOPE NOW Alliance. How the mortgage industry, non-profit organizations and government at all levels work together in 2008 is critical to the effort to prevent foreclosure,” added Wade.

Research shows that every foreclosure prevented in a neighborhood helps to stabilize surrounding home values. Analysts have shown that each foreclosure reduces the value of surrounding residential real estate by approximately one percent, affecting the ability of other homeowners to retain home value and of governments to maintain their housing tax base.