Hispanic Enterprise - June/July 2008 - (Page 61)

- SPECIAL PROMOTIONAL SECTION - WATCH THIS SPACE FOR ARTICLES ON A WIDE ARRAY OF TOPICS AND ISSUES FROM NCLR. organizations and Afﬁliates address the rising rate of foreclosures among Latinos and other minorities. Key elements of the campaign include: • NCLR’s Homeownership Network— NCLR received close to $2 million in funding to provide foreclosure prevention counseling for families facing the potential loss of their homes. The funding was released to the NCLR Homeownership Network, which consists of 50 community-based housing counseling agencies in 23 states. • Home Rescue Fair—NCLR will pilot a Home Rescue Fair program that combines pro bono legal advice, housing counseling, and loan negotiations to help families struggling with their mortgage payments identify resources and assistance. • Tool Kit—NCLR is developing a new tool kit to help communitybased organizations respond to the foreclosure crisis. This valuable resource, which will be free and publicly available, will detail how local organizations and partners can host Home Rescue Fairs and provide resources for their communities. “Helping families avoid foreclosure and the loss of wealth is critical for all communities,” says Lot Díaz, NCLR Vice President of Community Development. “NCLR’s Home Rescue Campaign provides essential tools for local nonproﬁts to assist low—and moderate—income families in saving their homes.” SAVING ONE HOME AT A TIME Homeowner Rosa Ramirez faced a crisis. Her adjustable mortgage rate had climbed from 6.7 percent to 9.7 percent, increasing her monthly payment to an amount she could no longer afford. Desiring to reﬁnance her loan at a lower interest rate, she was convinced by a lender to take out a negative amortization loan. Although she did not fully understand the terms, Rosa agreed to the loan because the lower payments allowed her to keep her home. Fortunately, she discussed her decision with Mercedes Fuentes, a housing counselor at Del Norte NDC (one of NCLR’s Homeownership Network grantees). Mercedes quickly revealed that Rosa’s loan had gone from bad to worse. The negative amortization would actually increase Rosa’s overall balance because her monthly payments would no longer cover the full amount of the interest. By law, she had three days to cancel the reﬁnancing agreement, so Mercedes contacted the lender on Rosa’s behalf and canceled the transaction. After several negotiations and resubmissions, the original lender favorably modiﬁed his offer to 6.7 percent interest—and at a ﬁxed rate. “This program was there when I needed a hand most, and I’m so very thankful,” Rosa says. “I feel secure because I have stability and peace of mind once again.” Reﬂecting on her situation, Rosa encourages other borrowers to never give up. “Search for counseling agencies and explore all available options before making any decision. There is always hope!” Visit www.nclr.org for updates on NCLR’s resources, success stories, and calls for advocacy. • Home equity accounts for 88 percent of the average Latino homeowner’s net worth. • Hispanic homeownership reached an all-time high of 49 percent in 2006, but current foreclosure rates threaten to erode these gains. • NCLR is concerned that the height of the crisis for Latinos will not come until 2009-2010, when Option ARMs and interest-only loans are scheduled to reset. The National Council of La Raza (NCLR)—the largest national Hispanic civil rights and advocacy organization in the United States—works to improve opportunities for Hispanic Americans. For more information or to become an NCLR member, visit us at www.nclr.org. http://www.nclr.org http://www.nclr.org.g http://www.nclr.org.g

Table of Contents Feed for the Digital Edition of Hispanic Enterprise - June/July 2008

Hispanic Enterprise - June/July 2008 Contents Briefcase: BIZBUZZ: Business Briefs Briefcase: Dynamic Trends Briefcase: Q&A Briefcase: Trendsetters BizLife: BizTech BizLife: Travel Feature: Target: Hispanics Cover Story: A Legend in His Own Time Feature: Top 25 Franchises Success & Motivation: The Talent Scout Education: Success by Degrees Finance & Investing: A Tough Sell Social Events: Emerge Dallas Politics & Government: The Accidental Americans Managing: Deconstructing Networking

Hispanic Enterprise - June/July 2008

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