Feb 12 2009
Keeping People in Their Homes: Policy Recommendations for the Foreclosure Crisis
In late 2008, the Michigan Credit Union Foundation (MCUF) asked Filene Research Institute to develop a report addressing the impact of the current mortgage foreclosure crisis in Michigan.
Specifically, MCUF requested a report that:
- Identified the major factors contributing to the rise of mortgage foreclosures.
- Investigated the economic impact of the current mortgage foreclosure crisis.
- Assessed the effectiveness of current federal and state programs to reduce the number of foreclosures.
- Formulated a series of public and private sector policy recommendations to stem the flow of future foreclosures.
In this special report Professor Bob Manning presents a nuanced view of the foreclosure debate, and offers 10 recommendations to help stem the number of foreclosures. While the paper was written specifically for the State of Michigan, other locales across the United States will find the specific recommendations applicable and useful.
There is no easy answer to the foreclosure debate. However, with policymakers at the state and federal level being urged to “do something” about forceclosures this paper will contribute to your credit union’s understanding of the complex foreclosure debate and help you formulate a range of possible foreclosure prevention remedies.
One of the key lessons to take about from this special report is any public policy or private intiative intended to mitigate the number of foreclosures needs to balance the divergent needs of consumers, lenders, policy makers, and other stakeholders.
COVERAGE OF REPORT
Report Number 182