Project Mass

BOSTON (WBZ) ― We all know this is a tough time in real estate, but when you hear the numbers, you know it's a crisis.

Two years ago just in the city of Boston, 264 houses were foreclosed. Last year, that number jumped to more than 700. And it's a similar situation across the state.

We might tend to think "well, that's someone else's problem," but each one of those abandoned properties is really like a pebble, thrown into a pond, and the effect just keeps rippling out.

When Brenda Strouble walks out of her tidy home in Readville, she is greeted by a house that was foreclosed and abandoned. "Well, it's a pretty big eyesore if you look at it, it's an eyesore, but what do you do with an eyesore?"

Boston City Councilor Robert Consalvo has had enough. He says big out-of-town banks are walking away from hundreds of properties and leaving the city with a mess to clean up. "We are having a direct cost of anywhere from $1,700 to come out and clean and pay for the dumpster, pay for the trash removal, and secure the property, and every time that police has to respond, or that the fire department has to respond, that's taxing public dollars as well."

All of that has a direct impact on the quality of life, and it's hard to find someone to hold accountable. "I joke that you have to be a CSI detective to try and find out, through all the layers of investors and banks and how the whole mortgage industry works, who really owns it," said Consalvo.

That's why he has proposed an ordinance that would require the owners of foreclosed properties to register with the city, and pay a fee to help cover costs. They would also have to post contact information on the property as well. "The issue is unfortunately going to get worse before it gets better so we need laws in place that are going to hold these huge corporations responsible."

The number of foreclosures shot up 70 percent last year -- that's a lot of homeowners looking for help. "We expected maybe 100 at the most, and we had between 350 to 400 people show up for the mortgage prevention workshop, and you are right Paula, they were from every corner of Massachusetts," said Congressman Stephen Lynch.

Lynch is seeing the impact across his district. He says Congress is working on some solutions, but in the meantime: "Congressman Frank Capuano and myself have gone out to mortgage companies and banks and said, 'look we understand that these are existing contracts, but we expect you to show some mercy on these families that are stuck and try to use the moral position.'"

Brenda prays for any relief because the view in her backyard now looks a lot like the front. "It's a mess, it's a pretty bad mess."

There has been some action on the state level. Late last year, Gov. Patrick signed a law which requires a 90-day notice of intent to foreclose, so that homeowners have a little more time to get some help.

City Councilor Consalvo's ordinance will be voted on next week by the Boston city council and is expected to pass unanimously. The mayor will then sign it.

WBZ spoke with the councilor again on Tuesday and he says they've actually beefed up the penalty so these companies will be expected to pay the $300 fine every week the homes sit empty.

And in a rare move, the money from the banks and institutions will go straight to inspectional services to pay for the up keep.

Consalvo has received calls from municipal leaders across the state looking to set up a similar program in their community.











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