Holders of mortgages on their homes have had a rough 10 years, especially in Ohio. Thousands of families have seen their homes foreclosed since the beginning of the Great Recession, which also damaged the financial infrastructure of the region and many of its cities.
For more than a decade, Ohio courts have attempted to address a large number of foreclosure cases through mediation. This process makes it easier for debtors and creditors to communicate and come to an agreement that avoids the seizure of a home.
How does foreclosure mediation work?
A mediator works with lenders and borrowers, often represented by legal counsel, to form a mutual agreement on how to proceed with a loan in danger of foreclosure. The mediator cannot give advice to either party or make a determination like a judge.
Why is foreclosure mediation better than other options?
Sometimes, there are options for alternatives and flexibility, especially if a bank or lender is not interested in owning or selling a home in danger of foreclosure. Mediation is often a more relaxed and less expensive form of working out if any options are available.
How can an Ohioan begin the process of foreclosure mediation?
Mediation is only a possibility in certain situations, in counties which support the process and with would-be litigants both willing to accept mediation. The Dispute Resolution section of Ohio's Supreme Court Web site has more information
Is a lawyer required for this process?
Legal representation is an option in mediation, and both parties must agree on it. An attorney is often recommended to debtors looking to avoid foreclosure.
Source: The Supreme Court of Ohio, "Foreclosure Mediation in Ohio: What You Need to Know," accessed May 11, 2018