The HOPE NOW and Clearpoint partner to help Senior Citizens
Proposal and Background Information:
In 2017, HOPE NOW and Clearpoint proposed building an outreach platform uniquely designed to assist senior citizens who are currently in reverse mortgages. As the American public ages and baby boomers retire, there is going to be a rapidly changing housing market and a need to serve older customers. Not only will more senior citizens have debt and mortgage issues, they will have the position with curtailed and fixed income. In typical loss mitigation process, income is a key component of the solution process; this piece of the process will have to be marginalized as they are on fixed income. Access to outside resources will be paramount to achieve sustainability. How will the mortgage industry position itself to serve their unique conditions? HOPE NOW and Clearpoint ventured on a one-year pilot project to assist borrowers with reverse mortgage issues. The goal is to create a platform for borrowers to meet and gain valuable education, benefits checkup and offer mortgage assistance. We served nearlyl 500 families through this exercise.
Outreach Goals:From surveying HOPE NOW servicers, most seniors do not take full advantage of valuable assistance programs which could help them achieve affordability and sustainability for mortgage issues. In many cases, it's a single medical incident or large, unexpected housing cost that triggers a delinquency and default. Quite often seniors could access a local program, but lack awareness or capabilities to enroll. This inactivity leads to a downward spiral, which could end in foreclosure. HOPE NOW will specifically target the Hardest Hit Funds programs as a mortgage assistance tool or servicers could initiate a payment plan. In many cases, families will not be delinquent but are seeking assistance to help afford their increase in cost of living. HOPE NOW and Clearpoint provided a one stop shop that assists on affordability issues and mortgage assistance issues. The events took a holistic market approach. The desired results included sustainability for seniors to age in place and keep their home.
- HOPE NOW Servicers
- Clearpoint Counselors
- Senior Assistance non-profits
- California Hardest Hit Program
Locations:Southern California markets. We focused our initial outreach efforts in the Los Angeles market.
Event Logistics:Presentations were ongoing from Clearpoint counselors on key issues, including:
- Aging in Place (tips and trusted advice)
- Role of Servicer
- Mortgage Assistance tools (HHF, Repayment Plans, etc.)
- Terms of Reverse Mortgages (refresher)
- Delinquency (What you need to know, POA and successors of interest, etc.)
- Family Support & Concerns (Heirs, POA, successors of interest, etc.)
- Health and Home Support Services (connecting opportunities with need)
- Graceful exit strategies
- Onsite notary
- Unique local programs (IE home repair or meals on wheels)
These events were made possible with generous support from CIT.
Summary Report Click here