Housing

Newsweek -  The Consumer Financial Protection Bureau (CFPB) announced on Wednesday that it wants mortgage lenders to work with homeowners struggling to make their payments instead of foreclosing on their properties.  The new proposal, which is yet to be finalized, would emphasize the streamlining of information—including ensuring that borrowers can access communications in languages they can understand, the federal agency said. They added that other proposals involving better ways to secure credit scores of homeowners in distress were being examined. 

"When struggling homeowners can get the help they need without unnecessary obstacles, it is better for borrowers, servicers, and the economy as a whole," CFPB Director Rohit Chopra said in a statement. "The CFPB's proposal would reduce avoidable foreclosures and make the mortgage market more resilient during future crises." Some of the options that CFPB is suggesting lenders can explore are pausing the monthly payments of borrowers or extending the loan terms to make those outlays less costly. The regulator suggested that during the pandemic, the move to postpone mortgage payments helped both borrowers and lenders.

 

Newsweek - Research from ATTOM Data Solutions found that between January and June, 177,431 homes in the United States had foreclosure filings, including default notices, scheduled auctions, or bank repossessions. That was down 4.4 percent from the same time period in 2023 but up 7.8 percent from the same time period two years ago.