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Ellen Belcher is the Dayton Daily News opinion pages editor. She writes about state government, education, the environment, higher education and all things Dayton.
Martin Gottlieb is an editorial writer and columnist for the Dayton Daily News opinion pages. He focuses on the political process itself and does such national issues as war, the economy, taxes and Social Security, as well as a hodge-podge of local and state issues.Home > Blogs > A Matter of Opinion > Archives > 2009 > September > 01
Tuesday, September 1, 2009
Editorial: Judges slow to help save homes
Montgomery County’s judges must become players in efforts to stop home foreclosures.
The foreclosure crisis has hit Dayton and this region harder than most parts of Ohio. Notably Cleveland and Columbus have been more aggressive about trying to help and protect homeowners who could still make their payments if they could negotiate a sensibly reworked mortgage.
One tool other counties are increasingly using is court-ordered mediation. That effort is not happening here, and it should be.
Montgomery County has been too cautious and too slow. While the common pleas court system is proud of its progressive reputation, in this case, its inaction is causing families and neighborhoods to suffer. Right now, more than half of the cases on the docket in Montgomery County Common Pleas Court are foreclosures. A stunning 5,000 families just this year will enter the process that could lead to losing their homes. Many of them can’t be saved — but some can be.
Fair housing and consumer advocates are pressing the judges to use Ohio Supreme Court guidelines that favor mediation and are asking them to order lenders to negotiate with homeowners.
In Franklin County, the court has taken steps such as creating a form that allows homeowners to ask for mediation, and then it quickly responds with orders to lenders to talk. The result has been a relatively small — but growing — number of homes being saved.
For homeowners facing trouble, foreclosure is a terrifying and intimidating process. Some owners have made too many bad choices or can’t afford even a reworked mortgage. Some give up and don’t even try to fight for their home. Others want to find a way out, but don’t know how.
Montgomery County has tried the soft approach — sending letters, for instance, outlining options along with foreclosure notices. That isn’t working.
More aggressive outreach is needed to identify bad loans held by good homeowners — such as those with track records of paying on time and incomes to support a sensible mortgage payment. In those cases, court-ordered mediation is worth a shot.
County Recorder Willis Blackshear has a program that targets just that sort of homeowner before foreclosure, and he raised outside funds for a full-time employee to directly contact people who aren’t totally in over their heads financially. The early success rate of the program is promising. Nonprofit groups like the Miami Valley Fair Housing Center perform similar functions. These efforts should be more closely coordinated with the court.
One possible way to address the problem is to replicate “drug courts,” creating a “foreclosure court” of a similar design.
In drug court, defendants with drug problems are screened, and those deemed likely to avoid trouble get special attention. A judge with expertise in drug cases sets aside designated times to hear those cases. Experts and service providers stay on the defendants and ensure they’re getting help.
A foreclosure court, perhaps led by a judge and a mediator, could work much the same way.
New talks are underway between court personnel and advocates for homeowners. Other ideas must be considered and tried.
Given the scope of the foreclosure crisis and the devastation that’s continuing to occur, the judges must catch up — fast.
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