Philly Offers Mediation Foreclosure Program

A pilot program that will be rolled out soon in Philadelphia as part of Mayor Michael Nutter’s plan to curtail foreclosures will mandate that home owners and lenders engage in mediation.

According to County Judge Annette Rizzo, “It will give people an opportunity to be heard, and give them the opportunity to stay in their homes or gracefully exit.”

Residents will learn of the $2 million program through a public service announcement. The city already imposed a moratorium on sheriff’s sales in April and May to address the foreclosure crisis, which is expected to involve 8,500 homes citywide this year.

Source: Associated Press (06/05/08..)