Cities in Action: Housing Crisis at the Forefront: Foreclosure Registry Informs Policy & Action

Overview

City Name: Louisville. Kentucky

NLC Partner: Accela

Problem: Lack of foreclosure data makes it difficult for local governments to target resources effectively. When a creditor pursues a property foreclosure, the local housing office is usually unaware. This blind spot can be a strain on resources, as the code enforcement team wastes time trying to identify and contact responsible parties while also expending valuable resources (in Louisville, a budget of $5 million is dedicated to vacant and abandoned property upkeep). It can also generate negative attention, as no housing office ever wants to be “surprised” by real estate transactions that may undermine housing inventory.

Solution: A registry helps local governments track and plan for the needs of foreclosed properties. As the largest city in Kentucky with a growing population and record new investment, the Louisville-Jefferson County Metro Government decided to take an active role in the foreclosure process. The City partnered with government solutions provider, Accela, to create an online Foreclosure Registry to capture and maintain data, such as current property owner, maintenance company, inspection history, property condition, occupancy status, and information about the property’s foreclosure status. An automated annual renewal process keeps the record up to date throughout and following the foreclosure process. 

Outcome: With foreclosure data, cities become more active, data-driven participants in their community’s development. The Foreclosure Registry allows the Louisville Metro to more accurately understand the extent of foreclosure in its jurisdiction and help ensure properties do not contribute to blight until they are returned to productive occupancy and active status on the local tax roll. Automated data routing, notifications, and reporting keep multiple departments up-to-date and in contact with new owners or creditors throughout the foreclosure process, helping to ensure the property is properly maintained.