New D.C. Foreclosure Rules Take Effect Tomorrow | WAMU 88.5 - American University Radio

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New D.C. Foreclosure Rules Take Effect Tomorrow

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Starting tomorrow, the new foreclosure rules passed by the D.C. Council in December will require a homeowner to be offered mediation before a lender forecloses on them.

That communication will be overseen by a third party as they try to find an alternative to foreclosure.

Some critics remain skeptical about whether the new policy will really prevent more foreclosures, but one option that could result from the negotiations -- one that has been attractive to homeowners -- is the possibility of reducing monthly payments.

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