Responding to Community Housing Needs


Foreclosure Prevention

In response to the current mortgage crisis, NCALL is providing default and foreclosure prevention counseling and two of NCALL's housing counselors are dedicated to preventing foreclosure. This free service is provided statewide in Delaware.

There were 1,500 foreclosure filings during the first quarter of 2009; triple what was seen in 2007 throughout Delaware. With foreclosure filings increasing at a substantial rate in Delaware, households are facing difficulties sustaining their homes. Unfortunately, foreclosure can destroy families, neighborhoods, and communities. Whether it is due to current economic times, not receiving pre-purchase homeownership education, opting for undesirable mortgage products, or experiencing hardships beyond their control, NCALL wants to be of assistance.

Requests for NCALL's Default and Foreclosure Prevention Counseling have been growing at a very high rate since mid-2007. In FY 2010, the counselors are assisting an average of 38 new clients per month. Preventing foreclosure and maintaining homeownership opportunities benefits families, neighborhoods, and communities.


Foreclosure Prevention 2010 Statistics
Inquiries: 753
Workshop Attendees: 649
Households Counseled: 453
Positive Resolutions to Date: 106/td>
Mortgages Saved: $19,859,283

NCALL assists the families by ascertaining the reason for delinquency or default and the family's financial situation. The possibility of a loan modification or other workout solution with the mortgage lender is examined as well as what other options the family has, such as refinancing, applying for a Delaware Mortgage Assistance Program (DEMAP) loan, selling their house, etc. There is simply not just one solution.

NCALL also encourages families to attend NCALL's five week, financial literacy course, Growing Your Money. This course helps families learn how to manage and improve their finances. It includes training on banking, checking and savings, credit scores, and debt reduction, taxes, insurances, loans, and predatory lending.

Karen Speakman, NCALL's Deputy Director has advice for any family who is becoming delinquent in their mortgage payments,


"Do not wait to ask for help. The sooner this crisis is faced and dealt with, the better. Don't bury your head in the sand and think this problem will go away – it won't. Too often families wait too long and come to NCALL when facing a sheriff's sale of their house. Then it is too late for us to help them.”

So don't wait to call NCALL – we are available to assist you.

HUD's Making Home Affordable website contains additional information regarding default and foreclosure prevention.


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Foreclosure Prevention Counseling

NCALL's Counseling Process

  1. Attend the Home Preservation Workshop.
    2. Call NCALL at (302) 678-9400 to register for a seat.

  2. Meet with an Intake Counselor.
    3. For this session, please see the Client Checklist below. To insure that we are able to make the one-on-one intake counseling session effective and efficient, please be on time and bring a copy of all the listed items below.

    Client Checklist
    Personal Information
    1. Tax Information (W-2s and 1040) 2 to 3 years
    2. Verification of Income (Pay stubs, SSI, Disability, Child Support, etc.)
    3. Budget
    4. Bank Statements
    5. Fee of $15.00 single/ $29.25 joint for Tri-Merge Credit Report, includes credit scores
    6. Hardship Letter
    7. Additional credit information (verification, payoff letters, and alternative docs)
    Mortgage Information
    1. Loan Application
    2. Mortgage
    3. Note & Riders
    4. Good Faith Estimate of Closing Costs
    5. Truth In Lending Disclosure
    6. HUD-1 Settlement Statement
    7. Letter of Commitment
    8. Late Notices
    9. Legal Documents (attorney letters, foreclosure documents, sheriff sale notices, etc.)
    10. Correspondence with Lender(s)
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