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Hennepin County home values hampered by recession


This past March, several grassroots and social justice organizations, including Minnesotans for a Fair Economy, Neighborhoods Organizing for Change and Northside Community Reinvestment Coalition, came together to release a report that aimed to assess the impact of foreclosures on residents of the North Star State.


This past March, several grassroots and social justice organizations, including Minnesotans for a Fair Economy, Neighborhoods Organizing for Change and Northside Community Reinvestment Coalition, came together to release a report that aimed to assess the impact of foreclosures on residents of the North Star State.

Entitled “The Wall Street Wrecking Ball: What Foreclosures Are Costing Minnesotans and What We Can Do About It,” the study found that the financial damage caused by the most recent recession cost the state billions of dollars in declining home values and lost property tax revenue.

The Star Tribune highlighted Hennepin County as a prime example of this loss. The study indicated residents of this area saw home values drop by $8.75 billion as a result of the more than 50,000 foreclosures that were completed from 2008 to 2012. The cost to local municipalities in the form of decreased revenue was estimated at nearly $525 million.

“Worth noting is that the loss in valuation of homes in proximity to foreclosed properties exceeds that of the foreclosed homes themselves by nearly two to one,” the Tribune said in its report.

Finally, the organizations' research found that foreclosure levels in 2013 remain three times higher than they were before the market crash in 2008, meaning many Minnesotans may still be hurting financially due to recent economic developments.

Hennepin County, Anoka County and Dakota County residents who are struggling to make their monthly mortgage payments and who are concerned that they may lose their home in a foreclosure can benefit by exploring financial options that could help them keep their home.

At Atlas Law Firm, we specialize in all aspects of the foreclosure, loan modification and bankruptcy processes. As a result, our Twin Cities bankruptcy lawyers and foreclosure attorneys can advise you on the legal ways you could keep your home.

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