REO and Vacant Property Strategies for Neighborhood Stabilization
The Federal Reserve System sponsored a national summit on September 1 and 2 (webcast in Chicago on September 2) to discuss methods and resources for encouraging neighborhood stabilization in the aftermath of the U.S. home mortgage foreclosure crisis. The forum showcased findings from Federal Reserve research and policy efforts, including the release of the publication REO and Vacant Properties: Strategies for Neighborhood Stabilization.
People living in communities with vacant properties face declining property values, loss of public services due to reduced tax revenue, and increased levels of crime. The summit will examine practical and tested strategies that nonprofit organizations, local and regional governments, federal officials, and lenders can use to mitigate the impact of vacant and real estate owned (REO) property--property held on the books of banks, typically after failure to sell at foreclosure auction.
"A foreclosure not only hurts the person who loses their home, it hurts their neighbors and their communities," said Federal Reserve Governor Elizabeth A. Duke. "As delinquencies and foreclosures continue to increase, we must think creatively and focus our research, outreach, and community development efforts on ways to help these communities recover."
Review the Panel discussions on stabilizing neighborhoods impacted by high foreclosure.