Massachusetts Governor Deval L. Patrick announced several initiatives this week to help distressed homeowners struggling in the state’s rocky real estate market.
“It is vital that we have an effective an immediate action plan in place to help homeowners facing foreclosure,” said Governor Patrick. “Addressing this problem requires a comprehensive approach that provides for greater education and information for consumers before securing a mortgage; more robust regulatory controls over brokers and lenders; a more responsive legal framework for homeowners facing foreclosure, and clear consequences for those who engage in mortgage fraud.”

In a press release, Governor Patrick proposed the following initiatives:
1. Bolstering the state’s efforts on consumer assistance and education for homeowners who are facing a possible foreclosure. Initiatives will include an enhanced hotline; a new awareness campaign, and referrals to reputable loan counselors.
2. Implementing regulatory changes that increase licensing and education requirements for mortgage lenders and brokers.
3. Drafting legislation to increase protections for consumers and provide penalties for mortgage fraud including: criminalizing mortgage fraud; prohibiting abusive foreclosure schemes, and creating a mandatory pre-foreclosure filing notice.
4. Building on the partnerships between government, non-profit organizations, and the mortgage industry to improve the support for homeowners and monitor the industry.
Click here to read the Governor’s entire plan.