Short Hills, NJ (PRWEB) March 02, 2012
The New Jersey-based real estate investment group, Heritage Capital Resources, has committed to providing $800 million for the National Association of Real Estate Brokers, (NAREB®) community-based, Homeowner’s Assurance Program (HAP), a 25-city foreclosure mitigation effort initiative designed to help reverse the devastating effects of the United States real estate crisis on communities across America, through the preservation of homeownership.
As a fund comprised of real estate professionals having dealt with non-performing and sub-performing assets since 1989, Heritage Capital Resources understands the dimensions of the current real estate climate and the root causes of problems that keep buyers from acquiring homes. According to Richard Stewart, Chairman and CEO of Heritage Capital Resources, “Heritage and our partners have responded to a complex need. It doesn’t help to put foreclosed homes back on the market if they’re in disrepair, buyers cannot get a mortgage loan due to weak credit scores, and realtors aren’t willing to show the homes. In HAP, we address the need for well-priced homes that are fixed up to be ready to occupy, and empower buyers willing to prove their credit-worthiness.”
The Homeowner’s Assurance Program closes the gap between capital and community action, and represents an innovative, industry-led private capital model that can directly address the mortgage crisis. NAREB offers an extensive network of industry professionals including: Realtists®, brokers, sales agents, appraisers, mortgage brokers, loan officers as well as practical experts in pre- and post-counseling, loss mitigation, foreclosure, property management, construction, and development. NAREB’s infrastructure and reach will serve as the “boots on the ground” for HAP to manage, market and dispose of non-performing loans and REO assets acquired under the HAP program. As a result of HAP partner activities, first time homebuyers and other homebuyers currently unable to purchase a home will be able to overcome credit hurdles and find appropriately-priced right in their communities.
Heritage is one of the first investors providing the capital for the official launch and rollout of the program, scheduled for the second quarter of this year. Heritage’s investment is helping to create several paths to homeownership under the HAP program. Families who are not mortgage-ready will be given an opportunity to clean up their credit and purchase a home under a lease-to-own program. Richard Stewart said that “In HAP, our solution addresses the need for renovated properties that have been fixed up to be ready to reoccupy, and, more importantly, the need to position homebuyers who are close to achieving mortgage status in a HAP lease-to-own program. They’re eager to improve their credit-worthiness and through HAP’s Lease Ownership Program they make a commitment today for achieve future homeownership. This is a win-win for everyone involved.”
For Mr. Stewart, an investment in assets made available to HAP also accomplishes the mission of Heritage Capital Resources to link Heritage’s private capital with profitable enterprises (like HAP) to simultaneously benefit investors and the public sector. “It’s not just good public policy to bring renewed assets to markets that otherwise aren’t creating value in our economy; but it also makes for a good investment, if we can turn properties around cost-effectively and assist buyers in handling the responsibility of making payments and rebuilding credit. We reactivate properties and we empower the occupants to become home buyers. That creates a great solution for everyone,” explained Mr. Stewart.
HAP's deployment of capital from Heritage to purchase, renovate, and sell REO properties will generate jobs and income for real estate-related small businesses in the targeted markets. A beta test is already taking place in the Atlanta MSA and the official rollout of the first five subsequent markets will expand the Atlanta commitment and add Los Angeles, Houston, Miami, and Baltimore.
Mr. Stewart and Heritage helped craft innovative aspects of the HAP program. He recognized the significance of partnering with the nation’s oldest and largest African American real estate trade group, and the expertise of the HAP managers, 24 Asset Management. “Ultimately, the HAP program is solving a problem that truly requires a team effort,” said Mr. Stewart.
“Heritage, with our HAP partners, brings together capital markets, the federal government, credit counseling consultants, and a lease-to-own structure that provides an innovative path to home ownership for Americans who currently don’t have that option. HAP provides all the building blocks for home ownership,” said Mr. Stewart.
For more information, visit http://www.NAREB.com.
The National Association of Real Estate Brokers (NAREB) was formed in 1947 by African American real estate professionals out of a need to secure the right to equal opportunities, regardless of race, creed or color. NAREB has a vast network of industry professionals including: Realtists®, brokers, sales agents, appraisers, mortgage brokers and loan officers as well as practical experts in pre and post counseling, loss mitigation, foreclosure, property management, construction, and development. For more than 60 years, NAREB has participated in meaningful legal challenges and has supported legislative initiatives that ensure the availability of fair and affordable for all Americans.
About Heritage Capital Resources
Heritage Capital Resources, (http://www.HeritageCapRes.com) links private capital with profitable enterprises in models that simultaneously benefit investors and the public sector. For more information, please contact: community(at)heritagecapres(dot)com.
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