VICTORY for Struggling Homeowners
On June 30th 2016, Department of Housing and Urban Development Secretary Julián Castro announced significant changes to the Distressed Asset Stabilization Program (DASP) — a program which sold pools of distressed mortgages to Wall Street speculators. The changes came after a multi-year campaign by the Center for Popular Democracy and many statewide partners including the Alliance of Californians for Community Empowerment and New York Communities for Change. Dozens of members of Local Progress, our network of progressive local elected officials, passed resolutions, wrote letters, held rallies, and met with federal housing administrators to support this campaign. Their relentless efforts, alongside many allies, resulted in a big win for communities of color! The changes include making principal reduction a priority in the loan modification process, tripling the amount of non-profit sales and far greater transparency in the entire process. HUD will also work with local governments and nonprofits for targeted loan sales. These protections will help more families stay in their homes, and will prevent Wall Street from buying large chunks of our neighborhoods at discounted prices. Thank you for standing with us!