Foreclosure mediation programs in Ohio.
The court system in the state of Ohio created their foreclosure mediation program in December of 2007. All counties, cities, and towns across the state now offer voluntary, optional mediation services as one way to stop a foreclosure filing, and to help find a solution to a mortgage problem that benefits both the lender and homeowner.
The Supreme Court of Ohio Dispute Resolution Section is the organization that has taking the lead in establishing this process across Ohio. In addition, they have created a multi-state group for companies and individuals who may be interested in building these type of assistance programs for homeowners in their own geographic area, cities, and counties.
How does the Ohio foreclosure mediation work.
Each county and court system in Ohio may have their own criteria and program terms, but there are some similarities in them across the state. The model that was put into place was designed to be customized and modified by the local court system and county government to meet their specific needs. As a result of this, the Ohio foreclosure mediation programs and processes will vary from county and one case to another. However, that being said, an overview of the process is as follows:
- Foreclosure mediation will allow the various parties that are involved in the process, including the lenders, banks, and homeowners, to meet with a neutral third party (the mediator) to try to determine if a mutually acceptable agreement can be arrived at. Any type of agreement that is negotiated will need to in some way benefit both parties, and be both sustainable and commercially reasonable. The facts show that many mortgage and foreclosure issues can be resolved through negotiation and good communication between the borrower and the lender. Communication is the key. Lenders, banks, and mortgage servicers have been willing to discuss flexible solutions to the housing crisis, and recently they have been even more open to doing this in an effort to limit their own expenses, and as a result of federal government pressure and aid programs.
- As we all know, litigation can be expensive, take time, and be stressful to all involved. This is true for both lenders and homeowners. So the mediation process provides all parties a more informal environment in which to have discussions that may lead to a solution. Without a mediator to help guide the discussions and process, these discussions might be tense or difficult. Mediation has been shown to save money for lenders and homeowners, and also save both parties time. Even if the home can’t be saved, then it is still better than going through the court system.
- The Ohio Foreclosure Mediation program has been shown to be able to allow parties to create agreements that include compromises that benefit all parties. They can include conditions and terms that may be restricted by legal remedies. Some of the solutions can include loan modifications, principal reductions, deed in lieu of foreclosure, and more. You can dial 614.387.9420 to learn more on how mediation can assist you.
It is important to remember that one of the keys for the mediation process to be successful, productive and cost-effective for everyone involved is that all parties must actively participate in the process. They need to be open to coming up with a solution, they need to share information prior to the mediation hearing and throughout the hearing. This needs to be done in order to avoid additional, and costly lawsuits or additional mediation sessions, and to also ensure a solution is arrived at that works for everyone involved.