URBAN INSTITUTE brought to you by Where Do Families Go After Foreclosure? Thursday, January 26, 2012 Today’s Speakers: Jennifer Comey, The Urban Institute Ingrid Gould Ellen, New York University Matthew Kachura, University of Baltimore Emily Salomon, Center for Housing Policy

URBAN INSTITUTE Submit your questions at the HousingPolicy.org Forum! forum.housingpolicy.org/group/foreclosureprevention The HousingPolicy.org Forum is a place to pose questions, share ideas, and learn from the experience and expertise of colleagues around the country. Membership is free and open to anyone who has an interest in housing policy. Questions from this webinar will be answered in the foreclosure prevention discussion group.

URBAN INSTITUTE The Foreclosure Crisis in Three Cities: Children, Schools, and Neighborhoods Center for Housing Policy Foreclosure-Response.org webinar January 26, 2012

URBAN INSTITUTE National Neighborhood Indicators Partnership Project Team Baltimore Neighborhood Indicators Alliance - Jacob France Institute, University of Baltimore Furman Center for Real Estate and Urban Policy and Institute for Education and Social Policy at New York University NeighborhoodInfo DC at the Urban Institute Funded by Open Society Foundations, follow-up by Annie E. Casey Foundation

URBAN INSTITUTE Mobility’s Potential Negative Impact on Children Moving residences Grade retention, hinder school completion, and a lack of interpersonal skills Reactive moves are more detrimental than strategic moves Switching schools Decreased academic performance, especially for young children Social, behavioral, and interpersonal problems Schools with large student mobility tend to perform worse as well

URBAN INSTITUTE Research Questions Description and trends of students affected by foreclosure Determine whether foreclosure impacts: Residential mobility and school switching Difference in quality between origin and destination neighborhoods and schools Individual students’ test scores (Baltimore only)

URBAN INSTITUTE Data Sources Student-level data ( through ) Demographics, residence, academic outcomes School-level data ( through ) Demographics, location, average school test scores Foreclosure data ( ) Neighborhood-level data (2000, recent)

URBAN INSTITUTE Definition for Students Affected by Foreclosure Foreclosure process –Notice/lis pendens, modification, sale, lender takes ownership Study identified children living in households that receive foreclosure notice or lis pendens –Very beginning of the foreclosure process Length of time to complete foreclosure process varies by site 8

URBAN INSTITUTE 9 Rising Share of Foreclosure Filings in All Three Cities

URBAN INSTITUTE 10 Rising Share of Students Affected by Foreclosure in All Three Cities

URBAN INSTITUTE Exit Rates from the Public School System Baltimore Washington, D.C.New York City to to Grades 1-7 All students9%16%7% Students in foreclosed homes15%20%3% Grade 8 All Students10%20%8% Students in foreclosed homes15%25%3% Grades 9-11 All students16%22%NA Students in foreclosed homes18%25%NA

URBAN INSTITUTE Children and the Foreclosure Crisis: School Mobility Ingrid Gould Ellen

African-American Students Disproportionately Affected by Foreclosures in NYC

Concentration of NYC Students Affected by Foreclosure, 2006–07

URBAN INSTITUTE School Switching: Descriptive Statistics

URBAN INSTITUTE Difference in Mean Test Scores of Origin and Destination Schools In NYC, students who moved to new schools after a foreclosure tended to move to lower-performing schools. In DC, foreclosed students moved to schools that were similar to their origin school. In Baltimore, foreclosed students went to slightly higher performing schools than where they started.

URBAN INSTITUTE Difference in Mean Test Scores Controlling for Student Characteristics Multivariate findings Baltimore and New York: the change in school quality was no more dramatic than that for other non-foreclosed students. DC: Some evidence that the decline in school quality experienced by children in DC moving post foreclosure was more dramatic than that experienced by other moves.

URBAN INSTITUTE Children and the Foreclosure Crisis: Residential Mobility Matthew Kachura

URBAN INSTITUTE Share of Renter Students in Foreclosure Households Is Increasing

URBAN INSTITUTE Residential Mobility: Descriptive Statistics Move Homes within City As a Percent of Those Staying in the System Grade PS /08 – 2008/09 Students in ForeclosureAll Students Baltimore 21%14% Washington, D.C. 29%17%

URBAN INSTITUTE Number of Children Changing Residences

URBAN INSTITUTE Neighborhood Characteristics In District of Columbia Students affected by foreclosure started in neighborhoods that were more distressed than those of all students. A move associated with foreclosure (vs. other reasons) did not significantly effect the quality difference between the old and new neighborhoods. In Baltimore Opposite findings about origin area– students in foreclosed homes live in less distressed neighborhoods than all students. Destination neighborhoods for students in foreclosure were similar on 4 measures, but had higher juvenile arrest rates.

URBAN INSTITUTE Children and the Foreclosure Crisis Policy Implications

URBAN INSTITUTE Summary of Findings Foreclosure harms public school children by increasing chance of school and housing instability. Neighborhood changes similar to those of other movers. Those students who switch schools (for any reason) end up in lower-performing schools in New York City. Foreclosure should be viewed in context of all residential & school instability – small piece of the whole picture.

URBAN INSTITUTE Local Action Review school policy and practice for requiring children who move out-of-boundary mid-year to change schools. Improve identification of children who become homeless and qualify for McKinney-Vento benefits and protections. Partner with housing counselors to do financial education outreach. Inform families who have to move about school policies, support services, and the potential negative effects of school instability on their children’s education.

URBAN INSTITUTE New York University Ingrid Gould Ellen BNIA-Jacob France Institute Matthew Kachura Urban Institute Jennifer Comey Kathy Pettit Presenters Individual research reports at: effects-foreclosure-children-and-schools

URBAN INSTITUTE Submit your questions at the HousingPolicy.org Forum! forum.housingpolicy.org/group/foreclosureprevention The HousingPolicy.org Forum is a place to pose questions, share ideas, and learn from the experience and expertise of colleagues around the country. Membership is free and open to anyone who has an interest in housing policy. Questions from this webinar will be answered in the foreclosure prevention discussion group.

URBAN INSTITUTE Join the Forum in five easy steps: 1.Visit and click on the Sign Up link in the upper right corner of the page. 2. Fill out the sign-up form on the next screen. 3. Check your and verify your account by clicking on the link in an automatically- generated message. 4. Create your profile by filling out a short questionnaire with information on your professional background and interests. 5. Stand by for approval of your profile. We review all profiles to avoid spammers, and you will be notified by when your application has been approved. 6. Join a discussion group by clicking on the “Join” link at the top of the group’s page. New to the forum?