WASHINGTON, D.C. - U.S. Sen. Sherrod Brown (D-OH) today called on President Obama to expand his recently-announced foreclosure assistance program to Ohio. Brown pointed to Ohio's record number of foreclosure filings in 2009 and the staggering statistic that nearly 16 percent of Ohio mortgage holders are in or near foreclosure.
"I agree with President Obama that we should help those states hit hardest by unemployment and the foreclosure crisis," Brown said. "But if Ohio doesn't meet the criteria in the President's plan, the criteria are wrong. Decline in home prices should not be a deciding factor, as that seems to tilt relief to the states with the most speculation. I'm far more concerned about middle-class homeowners than people who gambled on unsustainable growth in real estate prices."
Last week, President Obama announced that he would use $1.5 billion in leftover funds from the TARP program to help states with high unemployment in which the average home price for all homeowners has fallen more than 20 percent from peak. The plan will provide funding to State House Agencies to help struggling homeowners.
According to the most recent figures from the Mortgage Bankers Association, 15.7 percent of all mortgage holders in Ohio are either in foreclosure or thirty days past due. There were a record 89,053 foreclosure filings in the state last year, representing an increase of 3.8 percent over 2008. A county-by-county breakdown of foreclosure rates can be found below.
Ohio continues to rank forty-eighth among the fifty states and the District of Columbia in the number of homeowners who have been able to modify their mortgages for lower payments through Home Affordable Modification Program (HAMP). Only 14.8% of seriously delinquent loans have been modified through HAMP in Ohio, and only 8 percent of trial modifications have been converted into permanent modifications. Earlier this month, Brown wrote to the Obama Administration urging improvements to the HAMP program so that it helps more Ohio families avoid foreclosure by allowing them to refinance their mortgages and achieve lower monthly payments.
"Ohio foreclosures have almost tripled in the last decade," Brown wrote in a letter today to President Obama. "Rather than reflecting the rapid boom and bust created by the housing bubble, foreclosures have increased steadily for fourteen consecutive years. I urge you to expand your program's criteria or expeditiously create an alternative proposal to include states that have suffered prolonged losses due to persistent foreclosure increases. Ohio's decade-long fight to keep working Americans in their homes should be a reason for inclusion, not exclusion, from any federal foreclosure prevention program."
A full copy of Brown's letter can be found below, along with county-by-county foreclosure rates.
February 23, 2010
President Barack Obama
The White House
1600 Pennsylvania Avenue
Washington, DC 20500
Dear President Obama:
I write to you today regarding an issue of national importance and one of particular concern to my constituents in Ohio: the ongoing foreclosure crisis.
On Friday, your administration announced a new plan to address two of the most pressing issues related to mortgage foreclosures: rapidly declining home values and long-term levels of high unemployment. I commend your administration for recognizing these critical issues and for providing some of the hardest hit states with funding to address them. However, I am deeply concerned that the proposal would disregard states like Ohio that have borne the brunt of the crisis.
My state experienced a record 89,053 foreclosures last year, an increase of 3.8% over 2008. According to the most recent figures from the Mortgage Bankers Association, nearly one in six mortgage holders in Ohio are either in foreclosure or thirty days past due. Ohio continues to rank forty-eighth among the fifty states and the District of Columbia in Home Affordable Modification Program (HAMP) effectiveness: only 14.8% loans that are delinquent by 90 days or more have been modified. Making matters worse, only 12% of trial HAMP modifications have been converted into permanent modifications.
Ohio foreclosures have almost tripled in the last decade. Rather than reflecting the rapid boom and bust created by the housing bubble, foreclosures have increased steadily for fourteen consecutive years. I urge you to expand your program's criteria or expeditiously create an alternative proposal to include states that have suffered prolonged losses due to persistent foreclosure increases. Ohio's decade-long fight to keep working Americans in their homes should be a reason for inclusion, not exclusion, from any federal foreclosure prevention program.
The Ohio Housing Finance Agency (OHFA) has done an excellent job of addressing the various aspects of the foreclosure crisis by instituting mortgage rescue programs and working with local mortgage counselors. Additional federal funding would help creative state agencies like OHFA implement new local programs. More homeowners would be able to remain in their homes while continuing to make good on their obligations.
Thank you for considering my concerns, and I look forward to working with you to further help struggling homeowners.
Sincerely,
Sherrod Brown
United States Senator
Ohio Foreclosure Rates, 2008-09
County |
2008 |
2009 |
Percent Increase |
Adams |
155 |
163 |
5.2% |
Allen |
996 |
690 |
-30.7% |
Ashland |
282 |
348 |
23.4% |
Ashtabula |
782 |
802 |
2.6% |
Athens |
169 |
192 |
13.6% |
Auglaize |
227 |
262 |
15.4% |
Belmont |
220 |
228 |
3.6% |
Brown |
371 |
385 |
3.8% |
Butler |
2,987 |
3,162 |
5.9% |
Carroll |
122 |
168 |
37.7% |
Champaign |
256 |
318 |
24.2% |
Clark |
1,124 |
1,104 |
-1.8% |
Clermont |
1,285 |
1,342 |
4.4% |
Clinton |
291 |
397 |
36.4% |
Columbiana |
636 |
702 |
10.4% |
Coshocton |
180 |
187 |
3.9% |
Crawford |
337 |
312 |
-7.4% |
Cuyahoga |
13,858 |
14,171 |
2.3% |
Darke |
310 |
311 |
0.3% |
Defiance |
183 |
198 |
8.2% |
Delaware |
909 |
1,003 |
10.3% |
Erie |
562 |
539 |
-4.1% |
Fairfield |
964 |
1,019 |
5.7% |
Fayette |
216 |
235 |
8.8% |
Franklin |
9,305 |
9,499 |
2.1% |
Fulton |
216 |
273 |
26.4% |
Gallia |
95 |
82 |
-13.7% |
Geauga |
435 |
508 |
16.8% |
Greene |
773 |
851 |
10.1% |
Guernsey |
210 |
221 |
5.2% |
Hamilton |
6,673 |
6,714 |
0.6% |
Hancock |
436 |
534 |
22.5% |
Hardin |
210 |
185 |
-11.9% |
Harrison |
81 |
70 |
-13.6% |
Henry |
146 |
183 |
25.3% |
Highland |
351 |
381 |
8.5% |
Hocking |
178 |
166 |
-6.7% |
Holmes |
109 |
103 |
-5.5% |
Huron |
396 |
423 |
6.8% |
Jackson |
198 |
220 |
11.1% |
Jefferson |
297 |
308 |
3.7% |
Knox |
405 |
453 |
11.9% |
Lake |
1,517 |
1,695 |
11.7% |
Lawrence |
260 |
260 |
0.0% |
Licking |
1,204 |
1,178 |
-2.2% |
Logan |
323 |
340 |
5.3% |
Lorain |
2,442 |
2,696 |
10.4% |
Lucas |
4,359 |
4,491 |
3.0% |
Madison |
198 |
273 |
37.9% |
Mahoning |
1,836 |
1,755 |
-4.4% |
Marion |
531 |
584 |
10.0% |
Medina |
961 |
1,155 |
20.2% |
Meigs |
75 |
74 |
-1.3% |
Mercer |
142 |
154 |
8.5% |
Miami |
590 |
741 |
25.6% |
Monroe |
38 |
33 |
-13.2% |
Montgomery |
5,194 |
4,703 |
-9.5% |
Morgan |
37 |
85 |
129.7% |
Morrow |
261 |
242 |
-7.3% |
Muskingum |
563 |
450 |
-20.1% |
Noble |
38 |
32 |
-15.8% |
Ottawa |
273 |
262 |
-4.0% |
Paulding |
126 |
151 |
19.8% |
Perry |
217 |
234 |
7.8% |
Pickaway |
318 |
339 |
6.6% |
Pike |
129 |
104 |
-19.4% |
Portage |
874 |
935 |
7.0% |
Preble |
374 |
370 |
-1.1% |
Putnam |
104 |
100 |
-3.8% |
Richland |
862 |
903 |
4.8% |
Ross |
416 |
518 |
24.5% |
Sandusky |
321 |
408 |
27.1% |
Scioto |
304 |
324 |
6.6% |
Seneca |
316 |
331 |
4.7% |
Shelby |
250 |
303 |
21.2% |
Stark |
3,017 |
2,700 |
-10.5% |
Summit |
4,113 |
4,633 |
12.6% |
Trumbull |
1,481 |
1,605 |
8.4% |
Tuscarawas |
389 |
453 |
16.5% |
Union |
320 |
338 |
5.6% |
Van Wert |
201 |
207 |
3.0% |
Vinton |
43 |
65 |
51.2% |
Warren |
1,306 |
1,498 |
14.7% |
Washington |
173 |
201 |
16.2% |
Wayne |
462 |
588 |
27.3% |
Williams |
199 |
273 |
37.2% |
Wood |
582 |
750 |
28.9% |
Wyandot |
98 |
107 |
9.2% |
Statewide |
85,773 |
89,053 |
3.8% |