1,400 Philly homes avoid foreclosures

July 1, 2009 7:56:31 AM PDT
A pilot program designed to help cash-strapped Philadelphia homeowners avoid foreclosure has helped 1,400 people keep their homes. Local court officials who oversee the program say another 700 people have been able to postpone the sheriff's sale of their homes.

The figures were announced Tuesday on the one-year anniversary of the program, which was created in response to the national housing crisis.

It requires mediation between lenders and troubled homeowners - often represented by volunteer lawyers - before foreclosure can occur.

Court officials say about 5,000 people have entered the program, which is becoming a model for other cities.

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