The foreclosure epidemic is rampant in every urban community aross the nation.  Here in Minnesota District 58B is faced with the reality of boarded up houses on almost every block. Families, friends, and neighbors are dealing with great uncertainty as we experience the collapse of homeownership and the demise of the American Dream.  This process is a serious and ongoing threat to our collective economic well being in the District.  

For instance, homeowners left on a block with one to several foreclosed homes continue to maintain properties that have depreciated in value due to foreclosures. As a result, they may now owe more to the mortgage lenders for their home than its current worth. This foreclosure crisis undermines the economic stability of our district, making it difficult to convince families to make an investment in their future and in our community through homeownership.

To date, 2007 foreclosures have outpaced 2006 in Hennepin County by 62%, recording over 4,000 homes lost. With the Jordan and Hawthorne neighborhoods being two of the hardest hit neighborhoods, it is likely that the number of foreclosures will double from 2006 and reach approximately 1,500. As a result, we are faced with the harsh reality of blighted properties, crime, decreased property values, reduced city tax revenue, and homelessness in our community. As State Representative for District 58B, I plan to do the following:

1. In the short-term, I would convene key stakeholders from the public and private sector, governmental agencies, and members of the community to develop an immediate response to the foreclosure crisis by working with advocacy groups, lenders, and service providers to increase funding for community outreach and counseling addressing sub-prime mortgages and ARMS.
2. I would work with local, state and federal governmental agencies and representatives to locate resources that can be used to provide emergency assistance to those families deeply entangled in the foreclosure crisis.