A recent revision to Oregon’s mediation requirements has set off an avalanche of requests for face-to-face meetings between lenders and borrowers with delinquent mortgages. This recent amendment to the Oregon Legislature’s Foreclosure Avoidance Mediation Program requires all lenders to meet with distressed homeowners before foreclosing on delinquent mortgages. This change has recently resulted in 500 new requests for mediation.
Over the last two years and for a variety of reasons, more and more lenders had been opting for judicial foreclosure in Oregon. Until recently, lenders who commenced judicial foreclosures were able to avoid mediation, but that exemption has now been removed. Here’s hoping that the initial spike in mediation requests will continue and that getting lenders and borrowers together at the same table will help ward off foreclosures and keep Oregonians in their homes.