The first step in mitigating Boston foreclosure seems to be in not letting foreclosed property be neglected. Abandoned homes become such a blight to the affected neighborhood, attracting vandals and vagrants and instigates a rash of looting that it’s unfair to the remaining homeowners in the area. Of course, these increasing Boston foreclosure homes also become the responsibility of the lenders to whom they eventually revert to. The Boston city government passed an ordinance last February, that mortgage lenders must register and pay a $100 fee whenever a foreclosure order is foisted upon a residential property. However, many mortgage lenders have either chosen to ignore this ordinance or were negligent with their duties and as such, in light of the $4.2 Million that Boston will be receiving for its Foreclosed Property Reclamation Fund, the Boston local government is proposing that these negligent mortgage lenders be held accountable for their infraction by not receiving their bail-out money until they’ve complied with said ordinance.
In fact, the Boston foreclosure market seems to be taking a turn for the better because of first-time home buyers that are taking advantage of the lowered prices on foreclosure homes. It didn’t matter too much that some of the homes around the area where vacant. What attracted them to the homes was naturally, the price, but also because these houses didn’t need too much repair and renovation to make them livable. The city is also helping them get additional funds for downpayment and repairs. The city also prefers that actual residents be the ones buying these Boston foreclosure homes because they will be devoting more of themselves into these homes than just investment bargain hunters. This will help revive the neighborhood and make it active again.
Plans are also in the works to revive some Boston foreclosure homes into more affordable housing projects. Bilt-Rite Construction was recently tapped to turn some units in Dorchester’s Hendry Street into better housing units.