Banks Duck City On Foreclosed Homes
New Haven, Connecticut
As the number of abandoned houses spirals in town (800 at last count), officials have had trouble tracking down people responsible for upkeep. That’s because many of the homes are in the hands of distant lenders, many of whom hold subprime or other unpaid mortgages that have changed institutional hands multiple times.
Under a new law, the city set a Tuesday deadline for lenders holding or foreclosing on city properties to register a local contact.
The city has vowed next week to go after the balance, or fine them big time.
According to Cathy Schroeter, deputy director for administration of LCI, of the 250 bank-owned homes in New Haven, 58 thus far now had registered a local contact as of Tuesday. The city released a spreadsheet on Friday listing the now-registered properties, which have grown to 60.
Click here to see the spreadsheet.
A total of 10 lenders own the 60 registered properties. EMC Mortgage Co. owns the most, 22. Next comes Countrywide Home Loans, a leader purveyor of the subprime mortgages that helped cause last fall’s Wall Street collapse. Countrywide owns 18 on the list.