Foreclosure freeze, then and now

In San Antonio on Tuesday, Obama said that Clinton’s foreclosure freeze was potentially “disastrous,” rewarding “people who made this problem worse” by benefiting banks that profit from high mortgage rates.

A “blanket freeze,” Obama added, might “drive rates through the roof for those trying to buy or refinance. Experts say the value of homes will fall even more, and even more families could face foreclosure.”

link

And just yesterday…NYTimes:

He also proposed a 90-day moratorium on most home foreclosures; it would require financial institutions that take government help to agree not to act against homeowners who are trying to make payments, even if not the full amounts.

The change in opinion, is naturally, because we need change. And hope.  This latest Mickey Mouse idea, endorsed by none other than Mickey Mouse.

About gary

  • Renee

    Sour economy creates a surge in homeless families and a landmark initiative in Massachusetts

       

    As of midweek there were 588 families in 29 hotels across the state.

       To help move families out of motels, the state has begun identifying vacant public housing units. It’s also working with families to help increase their income and offer employment and training support, according to DTA spokeswoman Jennifer Kritz.

      The state is also starting to track foreclosures as a cause for homelessness. That typically occurs when a multifamily home or apartment building is foreclosed on and the tenants are evicted, sometimes losing their security deposit in the process, making it harder to come up with the rent for a new apartment.

       Frost said the state should focus on creating more housing vouchers to get homeless families into permanent homes quickly.

       “If people are permanently housed, kids get education and parents can keep their jobs,” she said. “Without vouchers you’re going to continue to see this storm.”

    I realize there may be little sympathy for people who created mortgages deep down inside they couldn’t afford, but what about renters?

    Recent years there was a push for people who may normally rent, to buy with these risky loans here in many lower-income neighborhoods also. While it was great to see home-ownership, banks allowed loans for upwards of 300k (thus pushing the whole housing market) when in reality the homes were worth 150k.

    At this time rents went up also, well over 1000 dollars, for a bare-bones apartment in these lower income neighborhoods. The renting market crashed, and now landlords can find rents to cover their huge mortgages.

    The poorest of the poor are being screwed.  

  • alright with a law giving…say…60 or 90 days for people to find another place to rent…but only in this situation with people that were actuall paying rent.

    I’m also OK with the one, with the help of the police, kicking non-paying renters out of your house in 30 days.

    I was one day late with my rent…once…and my very good landlord had eviction proceedings filed immediately, only to stop it the next day. “Hey, I was outta town in California until late last night.” is not an excuse.

    Just as it should be…he was running a good business…not a department of welfare.