Written by Caroline Shook CEO
My grandmother used to remind me that “an ounce of prevention is worth a pound of cure.”
That cliché but wise saying is never more true than it is when working with those at risk of becoming homeless. It is far more costly to help a family once they become homeless, than it is to prevent their homelessness altogether. In terms of financial, human, and social costs, intervening in a crisis to prevent someone’s homelessness is good for all of us.
“They were eight mortgage payments behind when their daughter contacted Housing Opportunities, Inc. for assistance,” said Kris, one of Housing Opportunities’ Loss Mitigation Counselors. “Her parents, Al and Emily, tried working with their mortgage company, and were denied a loan modification.” Kris continued, saying that after reviewing the couples’ financial information, Al and Emily appeared to qualify for a particular mortgage modification program. After submitting the paperwork to the “Making Homes Affordable” program, the couple was approved for a trial loan modification, but were denied a permanent loan modification four months later — and no reason was given.
To add to the family’s grief, Al had since passed away. Emily was distraught and lonely. Kris didn’t give up. She continued contacting Emily’s mortgage company, and finally reached a loss mitigation supervisor, who admitted that there was no reason why the family would have been denied a permanent loan modification.
Emily’s mortgage was then modified to an interest rate and payments that she could easily manage.
However, this story has a bittersweet ending. Recently, Emily was diagnosed with terminal cancer, and is expected to live six months. However, both Emily and her daughter are very grateful to Kris, Housing Opportunities and its partners, because she was able to keep her home where she can spend her last days surrounded by her loved ones.
For all the work that Housing Opportunities does to provide housing and other services for the homeless, a significant and growing work for HOI are its programs for preventing homelessness. Stories like that of Al and Emily are becoming more and more common.
An AP story from January 13, 2011 stated that about 5 million borrowers are at least two months behind in their mortgage payments. A record 1 million homes were lost in 2010, and an industry expert is predicting that 1.2 million homes will be repossessed in 2011.
In Porter County, a recent study revealed that on a single day there were 154 families and individuals who were homeless. There were 148 children in the families counted. From these numbers, 68% had been homeless for 30 days or less, and for 84%, this was their first time being homeless. The numbers shown represent the homeless adults and children staying in shelters. The numbers do not reflect those living in their cars, local parks, or those who are living one or two nights at a time in the homes of family and friends.
Preventing homelessness and caring for the homeless is important work. To some, it can mean the difference between families broken and restored, or the difference between life and death. Every day, people like you make the difference between a family spending another bone-chilling night in their car and having a warm, safe place to call home. Thank you!
In order to meet the growing need to prevent homelessness by working to keep families in their homes, HOI has had to hire two additional loss mitigation specialists, like Kris. To meet the needs of those who are already homeless, HOI officially became the new owners of Spring Valley on February 15th. Today, there are 14 homeless families and individuals living at Spring Valley, working with case managers to end their homelessness. More will soon follow. In Porter and LaPorte Counties, HOI now has 122 apartments and houses for the homeless, and those at-risk of homelessness. As you know, this expanded effort comes with additional cost. Housing Opportunities needs your help.
Please help us to help others like Al and Emily, by making a tax-deductible gift to Housing Opportunities. For your convenience, you can visit HOI online to make a contribution using your credit/debit card at www.housing-opportunities.com. You can also choose to have your gifts automatically charged to, or deducted from your account monthly.
Thank you for caring. Thank you for your time and consideration of our needs and the needs of others.
PS. I forgot to also ask you to help us by being the eyes and ears in your community. If you know of a family or individual who is homeless or losing their home to foreclosure, please have them contact Housing Opportunities. Thanks again!