CDA loan manager Oscar Camacho told Variety that they expect about $6 million properties to be offloaded by the agency in five years.
Of this number, the agency is planning on selling about $882,000 in properties in fiscal year 2012.
Camacho disclosed to Variety, “We have been ultra conservative with our appraisal.”
Initially, CDA was eyeing about $1.75 million; however, they had to revise this to $882,0000 taking into account the market conditions, among other factors.
Currently, Camacho said there are 56 “judgment debts” or accounts undergoing the foreclosure proceedings.
These debts comprise $8.84 million and the judgment interest rate for these debts is 9 percent.
Of the total $13.853 million in loans under the Development Corporation Division of CDA, $7.78 million consists of accounts in the debt relief program and $8.84 million in judgment debts.
Camacho and executive director Manuel Sablan are pushing forward with encouraging borrowers to come in and work with them with the debt relief program.
Through the program, the borrowers will be able to have the loans underwritten at an interest rate of 2 percent at extended terms.
CDA is looking at moving $8 million to $10 million loans in the debt relief program in the next two years.
Borrowers interested in the debt relief program are encourage to call CDA at 234-6245.
