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Home Mortgage

Senate Democrats Seek Investigation of REO Maintenance Disparities

June 23, 2015
Reading Time: 1 min read

Fifteen Democratic senators today asked the federal financial regulators to look into allegations that financial institutions and the housing GSEs do less to maintain foreclosed homes in minority-dominated neighborhoods than in predominantly white communities.

Citing a report from a housing advocacy group, the senators said that REO properties in minority areas were more than twice as likely to have trash and debris on the premises or to have unsecured or broken doors. “We urge you to take appropriate actions to remedy these problems and ensure they do not happen again in the future,” the senators said.

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