Two letters in support of BlueHub SUN's foreclosure relief work were recently published in the Boston Globe. Both letters, written by knowledgeable experts, add significant context to the purpose and need of the program, particularly emphasizing the benefits of the shared appreciation mortgage component.
Molly Goodman, a former housing counselor and nonprofit executive, eloquently outlines the critical role SUN plays in her letter to the editor. She describes the program as “a program of last resort for distressed borrowers.” She elaborates on the tangible benefits to homeowners, highlighting that the program offers substantial principal balance forgiveness, averaging nearly $100,000 on previous mortgages. Additionally, homeowners participating in the program experience significant financial relief, with average monthly savings of $600. Goodman further notes the program's historical impact, stating, “Hundreds of families were able to stay in their homes [during the 2008 recession] because of the SUN program.”
Complementing Goodman’s perspective, Martin Evans, an academic from the University of Toronto, provides an analytical viewpoint on the broader implications of shared appreciation mortgages. In his letter, Evans posits that if such mortgages had been more widely adopted during the 2008 financial crisis, “more homeowners would have been able to stay in their properties, which would have contributed to stabilizing the housing market.” He underscores the potential for shared appreciation mortgages to mitigate foreclosure rates and enhance market stability during economic downturns.
Together, these letters underscore the pivotal role of BlueHub SUN in providing foreclosure relief and the broader potential benefits of shared appreciation mortgages in maintaining housing market stability. The insights from both Goodman and Evans highlight the importance of innovative financial solutions in addressing housing crises and supporting distressed homeowners.