More On Philadelphia's Mortgage Foreclosure Diversion Pilot Program

In Philadelphia, Pennsylvania, a recent column in the Philadelphia Inquirer contains this excerpt on the city Court of Common Pleas' Mortgage Foreclosure Diversion Pilot Program:

• But amid the crisis, Philadelphia - unlike Wall Street - has made one very smart investment. With help from the new Mortgage Foreclosure Diversion Pilot Program, created by the Court of Common Pleas in partnership with the Nutter administration, City Council, the Philadelphia Sheriff's Office and the Association of Community Organizations for Reform Now (ACORN), homeowners can finally have a chance at a little peace of mind.

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• The program, which officials say is the first of its kind in the nation, works to reduce the number of homes threatened with sheriff's sales by connecting a judge with homeowners and lenders to attempt an affordable restructuring of their loans.

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• By any measure, the program has enjoyed success. Since its March launch, his team of community organizers - yes, community organizers - has reached out to 700 homeowners, literally going door-to-door seeking out those who might be in danger of losing their homes. Of the 140 cases that went through negotiations, 81 have settled, 53 have pending agreements, and six are still being negotiated.

For the story, see A step against foreclosures.