While the national housing picture is finally showing some improvement, a new study has uncovered some startling figures about the number of unnecessary foreclosures that took place during the peak of the housing crisis. You can also see housing information about Minnesota in state profiles from NLIHC and MHP. Finally, two new books address what works in community development and workforce housing intiatives, and what can be done to improve these important efforts.
Big Banks, Government Fall Short of Foreclosure Prevention Goals
According to a recent study by the Federal Reserve Bank of Chicago and others, 800,000 American homeowners may have been unnecessarily foreclosed upon during the peak of the housing crisis in 2009 and 2010. These homeowners had to endure disorganized and understaffed banks as they sought assistance from the government’s Home Affordable Modification Program (HAMP). Rather than hire new staff and train them to deal with the large volume of modification requests, many of the country’s largest mortgage service providers ended up processing modifications at half the rate of other better-prepared institutions. Overall, only 1.2 million modifications were processed under HAMP, far short of the 3-4 million goal set by the Obama administration. The study’s authors suggest that the program did not offer enough incentive for the largest providers to shift the focus of their work from initiating new mortgages to modifying existing ones. Further information and analysis about the study can be found from ProPublica and CBS News.
Two Great Resources for Minnesota Housing Data
The National Low Income Housing Coalition recently released its latest State Housing Profiles, which are full of statistics and charts about housing cost burden, affordability, and overall supply. Check out NLIHC's profile here. MHP also has a state profile, which was part of our recent County Profiles release. Both are great resources to educate others on affordable housing issues!
New Book Highlights What Works in Community Development
Investing in What Works for America's Communities, a joint project of the Low Income Investment Fund and the Federal Reserve Bank of San Francisco, is a collection of essays that strives to invigorate the community development world with many new ideas. Below are brief descriptions of just a few of the book's many thought-provoking pieces, and the entire book is free and fully accessible online. Click here for a link to all of the book's articles.
- "Community Development in Rural America: Collaborative, Regional, and Comprehensive," by Cynthia M. Duncan
- Addresses both the challenges and opportunities that community developers face in rural areas. Investment in rural communities is at an all-time low, so it is critical to understand rural needs and what can be done to make development more effective.
- "Fighting Poverty Through Community Development," by Shaun Donovan, Arne Duncan, and Kathleen Sebelius
- This article - co-authored by the heads of the U.S. departments of Housing and Urban Development; Education; and Health and Human Services - stresses the importance of a comprehensive approach to community development. The government ought to lead a coalition of public, private, and non-profit organizations in order to maximize efficiency and effectiveness.
- This article - co-authored by the heads of the U.S. departments of Housing and Urban Development; Education; and Health and Human Services - stresses the importance of a comprehensive approach to community development. The government ought to lead a coalition of public, private, and non-profit organizations in order to maximize efficiency and effectiveness.
- "Inflection Point: New Vision, New Strategy, New Organization," by Nancy O. Andrews and Nicolas Retsinas
- Andrews and Retsinas stress the need to invest in housing and education in order to provide opportunities for everyone and help communities prosper. Evidence-based solutions and networking among private/government/non-profit organizations will be essential in this endeavor.
- Andrews and Retsinas stress the need to invest in housing and education in order to provide opportunities for everyone and help communities prosper. Evidence-based solutions and networking among private/government/non-profit organizations will be essential in this endeavor.
The Best of Workforce Housing
The Urban Land Institute is set to release its newest book, Housing America's Workforce: Case Studies and Lessons from the Experts. The book will showcase 18 of the best examples of workforce housing developments from around the United States. Each of the featured developments includes an interview with the developer, offering first-hand insights into the challenges they faced and the nuanced solutions they implemented with their partners. The case studies emphasize four major types of lessons learned: partnership strategies, financing and regulatory innovation, design solutions, and community catalyst.
