Finding Solutions in the REO Crisis
In response, the Milken Institute held a Financial Innovations Lab in February 2009 to explore mechanisms and strategies for addressing the issue. In particular, the Lab considered the challenge of foreclosed properties: Is there a way to finance the acquisition and disposition of these assets, while simultaneously providing affordable housing for low-income and middle-class families?
During this intensive workshop, various proposals were debated by a diverse group of experts from banks, foundations, community development organizations, research institutions, and federal, state and local governments. This report summarizes their ideas and approaches for rehabilitating abandoned and foreclosed properties, converting them to affordable housing that will stabilize communities.