State court systems are stepping in to help minimize the damage from the residential mortgage foreclosure crisis. Connecticut, Delaware, Iowa, Maine, Nevada, New Hampshire, New Jersey, and Ohio are among those that have implemented statewide foreclosure mediation programs. A number of other states are currently considering legislation to create foreclosure mediation programs, and many cities and courts have put in place local programs.
All 88 Ohio counties now use foreclosure mediation in handling foreclosure cases on their dockets. Through these programs, a neutral mediator works with homeowners and lenders to resolve the mortgage problem by mutual agreement. Such mediation can occur at different points in the foreclosure process, sometimes before the case even reaches court, or as late as before confirmation of a foreclosure sale. Mediation allows for constructive communication between homeowner and lender to come up with a resolution that is commercially viable for the lender, but allows the homeowner to remain in his or her home. Successful mediations can result in a written agreement between homeowner and lender that regulates the remainder of the mortgage relationship, and the foreclosure case can be dismissed.
It is important to remember that not all mediations are successful. Just because both parties attend mediation does not mean the homeowner will be able to remain in his or her home; sometimes the parties are not able to come to an agreement or are only able to agree on a transition process that allows the homeowner to vacate the house on a reasonable timeline. Many programs depend on voluntary participation by the lender, so check with the court in your area to find out what your rights are as a homeowner.
To find out about foreclosure resources in Connecticut, Delaware, Iowa, Maine, Nevada, New Hampshire, New Jersey, Ohio or your state, go to CourtReference.com and explore the Self-Help and Legal Research resources available for your area or connect directly with courts in your area through the state-by-state directory also available at CourtReference.com.