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Homes and Community Renewal

The Community Restoration Fund

Read Governor Cuomo's Press Release Here

The SONYMA Community Restoration Fund (CRF) is part of New York State Office of Homes and Community Renewal’s response to the foreclosure crisis: a groundbreaking program that acquires pools of defaulted mortgages and provides homeowners with an opportunity to start fresh with a more affordable payment. This program focuses on keeping families in their homes and ensuring that abandoned homes are quickly sold to owner occupant buyers whenever possible. The CRF reinforces numerous other state and local efforts aimed at reducing foreclosure rates and stabilizing neighborhoods. In this way, the fund helps areas avoid blight and its associated strains on municipal budgets while keeping neighborhoods active and growing. 

Key to the program’s success is SONYMA’s partnership with local nonprofit foreclosure prevention experts across the state to help families through the restructure process and assist with essential repairs.

 

How the CRF Works

SONYMA joined forces with New Jersey Community Capital (NJCC), a nonprofit community development financial institution, to purchase approximately 400 troubled mortgage notes to revitalize distressed communities and boost housing markets across New York State.  Every borrower whose note was one of the nearly 400 in the loan sale will be contacted by a local nonprofit foreclosure prevention expert. To verify that you have been legitimately contacted, click here for a list of the nonprofit experts assisting in this effort.

To keep the original owners affordably in their homes, the CRF program works in ways that public and private servicers cannot, including engaging a network of locally based nonprofit housing counselling organizations that provide one-on-one counselling with the owner, and possibly facilitating completion of necessary health and safety repairs.

In cases where a mortgage modification is not possible and the homeowner cannot financially support a reduced mortgage or no longer wants to own their home, the CRF, through its nonprofit partners, can offer resources and support to help the owner get a fresh start, while ensuring that the property is not abandoned, is quickly repaired and resold as affordable housing to a qualified buyer. 

The program is designed to be flexible and self-sustaining by reinvesting resources recovered when the new mortgages are repaid, or when properties are sold. 

 

 

 

 

“The Community Restoration Fund speaks to the Governor’s commitment to finding innovative ways to help low-income homeowners keep their homes and keeping their communities stable. These owners have been struggling for too long with little prospect of meaningful relief. Where the ideal outcome is not possible, our nonprofit partners will work with the owners to ensure that they have the support they need in finding housing that is affordable and that the homes that they owned are resold quickly to income-eligible families.”

RuthAnne Visnauskas, Commissioner/ CEO

If you are facing foreclosure and your mortgage was not one of those purchased by the CRF, there is still help available!  The links below can provide you with information on other sources of foreclosure support as well as contacts that can potentially assist you.

HomeSmartNY Foreclosure Counseling
– Foreclosure Prevention Counseling

Homeowner Protection Program Counselors
– HomeOwners Protection Program

Help for Homeowners Facing Foreclosure
– Department of Financial Services

New York State Mortgage Assistance Program
– Mortgage Assistance Program

SONYMA Borrowers:  Call (800) 382-4663

Long Island

Long Island Map


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