Mayor Duggan outlines plan to help Detroit residents in tax trouble

Duggan believes Detroit neighborhoods are improving

DETROIT – Detroit Mayor Mike Duggan has taken a lot of heat during his first term about the living conditions in the neighborhoods.

On Tuesday night, he pointed to a program he believes proves help is on the way.

Many Detroit homeowners, and even renters, don't know there are two different kinds of foreclosure. If homeowners don't pay the mortgage, the bank will take their home. If they don't pay the taxes, the county will foreclose.

That's the program Duggan said needs to change, and he can point to exactly how it's improving.

Over the past two years, Duggan said tax foreclosures are down 88 percent.

"We can't stabilize neighborhoods if we keep moving people out, and two years ago when you had 6,000 homeowners leave their houses, it's really tough," Duggan said. "Now we're down to 780. That's progress."

Dozens of volunteers fanned out across the city and knocked on doors, asking residents if they were in tax trouble and offering help.

One Detroit resident who answered yes was renter Denise Tenks, whose landlord went into foreclosure.

"I still paid my rent as I was advised to do, but she immediately tried to put me out, even though I was paying my rent on time," Tenks said.

Working with the interest-reduction program, she wound up improving her situation.

"So they told me to put my money into escrow and asked if I was interested in owning a home, which is really exciting, and I said, 'Of course,' and then that way I wouldn't have to deal with all the drama," Tenks said.

Duggan also said anyone currently in danger of tax foreclosure can contact the county treasurer's office to get in touch with people providing help.


About the Authors:

Rod Meloni is an Emmy Award-winning Business Editor on Local 4 News and a Certified Financial Planner™ Professional.

Derick is the Lead Digital Editor for ClickOnDetroit and has been with Local 4 News since April 2013. Derick specializes in breaking news, crime and local sports.