In Miami, Florida there will be a mediation program that will begin on May 1, 2009 for homeowners who are at risk of losing their homes. This new program was started by the 11th judicial circuit court of Florida and will place it into effect the first of next month. They hope that it will help streamline the process by allowing a structured forum for lenders and borrowers to resolve their issues by coming to an agreement without a long litigation process.

The non-profit agency Collins center for public policy will help counsel and be the mediators between the lender and the borrower. It will be required by the court for the lender to meet with the borrower and have the mediator present to work out a payment plan. The lender will be required to pay upfront $750 to begin the program and the borrower will pay the fees back in the agreement they sign to. The courts hope that they will be able to create a long lasting effect rather than something that will just aid the homeowner for now.

Miami is one of the hardest hit areas of foreclosure and if this plan is designed to create a way for homeowners to stay in their homes. Since many homeowners still avoid calling their lender and working out a plan, the courts have gotten involved to try to make things better by sitting the borrower and the lender down together to come up with an agreement.