While the economy may be in a recovery, many families are still struggling to maintain homeownership. Unemployment and underemployment are still prevalent issues that families are forced to deal with. As a result, many people are facing foreclosure and feel like they have no alternative. There are government housing programs out there that can assist (like HAMP and HARP) but many consumers are unaware or become frustrated with the process and do not follow through. A new product has arisen as well. Short Sale Leaseback programs allow a distressed homeowner to sell their house as a short sale and then lease their home back from the purchaser. This provides neighborhood stability, gives the holder of the mortgage note a better alternative to losses incurred at foreclosure, and allows the client to remain in their home, school system, community, etc.
In addition to traditional foreclosure prevention counseling, we have seen an increase in rental counseling requests. Homeownership is not for everyone. As a result of the Great Recession, many people lost their homes to foreclosure or short sale and are not in a position to purchase a home. Rental counseling can help people to get their financial house back in order and, if they so desire, get them back on the path to homeownership. Because of the improving economy and real estate market, opportunities to purchase homes at a better value have arisen. Pre-purchase counseling is a component of our housing counseling services that work in conjunction with the economy and is not counter cyclical like many of our traditional lines of service.
These services offer unique benefits to both clients and partners. Our work with clients helps ensure affordability, and the educational component of our work ensures that they are planning appropriately. For partners, our services work to reduce default rates, create better educated consumers, improve communication with clients, and improve public relations.
Our housing partnership opportunities would be useful for large banks, mortgage loan servicing companies, REITs, reverse mortgage lenders, credit unions, community banks, utility companies, and military-focused organizations.
Sign up to learn more about a housing partnership with ClearPoint Financial Solutions.