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31 » VISIT US ONLINE @ DSNEWS.COM FIVE MINUTES WITH Get to Know Industry Executives Beyond the Boardroom Colleen Hernandez is the President and CEO of the Homeowner- ship Preservation Foundation (HPF), a national nonprofit whose mission is to guide consumers on the path to financial stability and sustainable homeownership. HPF oversees the HOPE hotline, serving as a trusted resource for more than 7 million calls in the past six years. She talked with DS News about challenges for first-time homebuyers, as well as where she thinks the mortgage industry will head in the future. What are some important things to understand about a person facing foreclosure? In working closely with servicers, we now understand much better some key lessons related to serving distressed borrowers. First, it is vital that they know who to trust in an environment riddled with scams. It is equally important that the consumers overcome the inevitable shame they feel when facing foreclosure. Part of the value of the HPF hotline is that it's there for consumers, and it's free to them whenever they have the courage to call, day and night, weekends, holidays, and in 170 languages. What consumers welcome is precisely what HPF provides: a trained professional financial expert who can help them with credit card debt, stu- dent loan debt and lifestyle choices which over time adds up to a healthier financial future. Homeowners should reach out our Hope Hotline at 888-995-HOPE. What challenges do first-time homebuyers face in a tougher, more-regu- lated mortgage lending atmosphere? Millions of potential homebuyers are be- ing pushed to the sidelines because of the very tight credit standards that are being applied today. We believe that housing counseling can help many of these potential homebuyers meet those standards and mitigate weaknesses in their credit profiles. Millennials are uniquely challenged in this environment by four factors: (1) they are saddled with extraordinary levels of student loan debt; (2) many have 'scar tissue' from having witnessed the trauma of foreclosure among parents and relatives; (3) many have lost years in gaining traction in their professional careers due to the recession; (4) jobs that millennials are pursuing are considerably more mobile than in the past; thus the prospect of homeownership may feel more like an albatross than an opportunity. You've recently announced your retirement as CEO of the Homeowner- ship Preservation Foundation. What's next? I have a 25-year commitment of helping consumers find the financial path for themselves. That commitment will take a different form now as I leave the leadership position at HPF. There are a number of challenges that intrigue me: the plight of the underemployed, consumers saddled with student loans and entering into that arena without tools or knowledge. On a personal level, my husband and I have four kids and 12 grandkids. He and I both have travel and adventure dreams, and health and fitness goals. Family will be a big part of what's next for us. Where do you see the mortgage industry going in the near future? Long- term? Near term, it's pretty clear that the current structure of the housing system will be in place for some time. Given the lack of movement on GSE reform, Mel Watt's leadership at FHFA is all the more important. I was glad to see in his new strategic plan the increased emphasis and the 40 percent weight on maintaining safe and sound foreclosure prevention activities as well as credit availability for a strong fi- nance market. We are equally encouraged by regulators and banks receptivity to our efforts to integrate counseling more fully into the standard mortgage process. As you reflect, what is one pearl of wisdom you wish you knew earlier in your career?I have been working since 1971 mainly in the "helping" professions— teaching, developing affordable housing, offering financial counseling. What I have come to realize is that when people get results in their work, they feel hopeful. Help- ing people develop effective measures, produce solid results, and then connect to the goodness of those results is one of the most important things the leader can do. If we measure our progress against the ultimate goal, we get easily overwhelmed and discouraged. It's better to measure against where we started—the baseline— then measure the progress we've made from there. PRESIDENT AND CEO OF THE HOMEOWNERSHIP PRESERVATION FOUNDATION (HPF) Colleen Hernandez