Dear Friends,

Foreclosure rates are high in Arizona and across the country – many Arizonans have family or friends in fear of losing their homes. A feeling of powerlessness is common among these homeowners, who may feel there’s nothing they can do if they start to fall behind on their mortgages.

Help us get the word out: This isn’t the case. If you or someone you know is in this situation, please take a minute to learn about steps that can be taken.

First and most importantly, people falling behind should call their mortgage lender to talk to them about possible options. Many borrowers are afraid to call their mortgage lenders when they start falling behind. They shouldn’t be. Calling one’s mortgage lender is probably the most important step a borrower in trouble can take to help avoid losing a home to foreclosure.

I have spoken to all of the major lenders in Arizona, and most of the time, they would rather re-negotiate a mortgage to find a fixed rate that allows a borrower to pay what he or she owes, rather than force a borrower into foreclosure. This way, the mortgage lender continues to be paid, and the homeowner stays in his or her home. We have seen a high success rate when borrowers take the initiative and call their lenders – so it’s important that those falling behind take this critical step.

There is some other help available to borrowers falling behind. There are credit counselors at the HOPE NOW program who are available through the hotline at 1-888-995-4673. These credit counselors can talk to homeowners about their situation and their options.

Of course, people who take these routes will still have to pay their mortgages. But they may be able to find help in keeping their mortgage rates affordable, and therefore keeping their homes.

You can always call my office 602-542-1318 for any of this information, or if you have questions or thoughts. Information on HOPE NOW is available at www.hopenow.com. Also, you can visit my Web site at www.azgovernor.gov for information and news in state government.