Obama announces his housing rescue plan -- Part 2 on clarkhoward.com

Pres. Obama's new housing initiative has brought intense reaction from many Americans who are not happy that those who didn't meet their mortgage obligations will be bailed out. Here are a few more tidbits to enhance Clark's original discussion of the plan:

• Beginning March 4, people who are current in their loan but upside down in their home may be eligible for a refinance.

There are a few stipulations to know about. First, the new mortgage can't total more than 105% of a property's current value.

Second, your loan must be underwritten or insured by Fannie Mae or Freddie Mac -- and that info is not easy to come by unless your lender specifically tells you.

Finally, you can't have a jumbo loan. Jumbo loans are typically above $417,000 throughout much of the country -- with some notable exceptions such as California where the limits are higher.

• When it comes to loan modification, this is a method of marking down a loan so that the payment is affordable -- usually 31% of your monthly income. However, it's instructive to look back at the results of the HOPE NOW loan modifications. What we learned from HOPE NOW is that there's a tendency for people to return to default even after concessions are made on their loans.

On the one hand, it's easy to feel compassion for families that are facing a home loss. But from an economic perspective, the reality is that somebody gets an unfair shake if concessions are made to non-payers at the expense of those who do pay.

One other fact that hasn't been widely reported, but Clark sees as a very positive sign: Housing starts have hit their lowest level since right after WWII. This is actually great news for recovery in the housing market. After all, we have way too much inventory and not enough people to buy the houses.

In the end, all the programs and proposals amount to nothing if you don't look at the fundamentals of supply and demand. You can't outlaw economics.

What others are saying

modification for upside-down but current
What do we do; July 2008 we paid for service of modification, we were current on our mortgage payments, Sept.08 we were told to stop payments do to negotiations with indymac, there would be no incurred charges or interest, late fees during this time. never heard from negotiater( but I constantly called and emailed)until Jan.09. This was 1st attempt to communicate from co.There were 3 very short conversations to inform us that lender was not cooperating, and we were now in default..I, after crying, went on line and interviewed many, paid this advocacy company at the end of feb. 09 had to borrow $ due to previous co. will have nothing to do with us or refund money. Since march 2007 I have done all the proper and right things, giving a great deal of time for processes and the unexpected. The lender has only delayed, made excuses, come up with papers and reasons for non communication, ignored calls, wouldn't return our calls, and even with negotiators, would not acknowledge us. Now our home is to be sold july 27,2009 and we have not been notified once.(1st sale date, June 29,2009) This was acts beyond our means of control, and I don't know what was said and/or done by these people in regards to lender. We are out of money, no resources or place to go.Other circumstances that are pertinent; husband was placed on mandatory leave of absence from 8\08- 11/08 without pay, was returned to work for 1 week then hospitalized, contracted staff infection,was within 1 last attempt of antibiotic of losing his hand, thank god for miracles he's ok, returned to work Jan.2, 2009 took hrly cut in wage from 12 hr days to 6-7 hrs. We are 53 yrs old the 5th out of 6 left from 10\22\07 wilfires,still have yet to recover from that nightmare,received no help, this is our 1st home and need help to help ourselves. This is so wrong in every way,that we have no protection for rights we are entitled and no one in authority to care about enforcing regulations, accountability and help me to help myself, give accept ion and time to investigate the truth.I do not know where to turn, the thought losing all scares me.There is no right to live life as stated in our human rights. Any ideas would be highly appreciated, thank-you for your time. Claire Richardson
By Claire E Richardson @ 07/02/09 01:09:45 AMreport abuse
Value of the home!!!!
I want to comment on Jose's Blog....Are you kidding me that it is the banks fault. All of these people that did these stated income only loans new they were lying on there paperwork about the income that they made, but signed on the dotted line saying "I can pay this monthly mortgage". So how is that the banks fault. They all new there payment would go up in so many years. When you sign at title it's all broken down in black and white. Buying a home at the price that any of these people did was just like playing the stock market. Are you going to ask for your money lost on the stock market back? Why are these people getting help to save there homes that "THEY LIED" about. Who do you think in the end will be paying for this? The tax payer of course. I have no sympathy for these people what so ever....Then with the new bailout plan they will get a 1000.00 dollars a year for each year of on time payments made....R U KIdding me? That is ridiculous. I have a 740 credit score, no late pays and put a down payment on my house. Who is going to pay my mortgage because I was responsible????
By Tammy @ 06/11/09 12:37:26 AMreport abuse
Loan Modification
I need help. This loan modification company is asking me for $1,500.00 to due a loan modification is this legitimate?
By Ree Ree @ 05/26/09 05:34:42 PMreport abuse
Obama's Loan Modification????
I lost my job in January. I applied for the Loan Modification in March. I've never missed a payment, have equity in my home, have great credit, I'm just trying to modify the loan to something affordable while trying to find work. I sent in all the paperwork in March. Everytime I call to check on it, they "haven't received it yet". So, today, May 18, they finally acknowledge receipt, but, now I have to wait 160 days for the review process!!!!!????
What the?????? What kind of a help program is this? Are they waiting for me to go into miss payments, go into foreclosure??? This is ridiculous!!!!
(And, no, I can't refinance, no job!)
By Joan @ 05/18/09 01:11:12 PMreport abuse
VALUE OF THE HOME
I DONT THINK IS FAIR THAT PEOPLE ARE PAYING A MORTGAGE AND THE HOME IS WORTH LESS THAN WHAT THEY OWE , I BLAME THIS ON THE RICH MORTGAGE COMPANIES AND BANKS WHO GAVE LOANS WITHOUT CHECKING CREDIT OR INCOMES , AND NOW THE GOVERMENT HAS TO GIVE THEM MONEY TO BE AFLOAT , WHAT ABOUT THE PEOPLE, I THINK IS BS ???
By JOSE @ 05/05/09 07:00:04 PMreport abuse
I want Obama to fail . . .
in his agenda to convert our country to socialism.
I want him to succeed as a leader, but not if he is leading us to perdition.
I hope that is crystal clear to everyone. Just like what Rush said.
By FloridaErn @ 03/05/09 03:30:19 PMreport abuse
Bailouts and bail outs
While the socialists in Washington are 'saving' companies left and right with our tax money - with taxes from generations of American taxpayers to come, even yet unborn - high-paying top management and union leaders are bailing out with their ill-gained profits and golden parachutes.
In Washington we have the foxes guarding the hen house. When we stop voting in socialists - regardless of party label - then we will see this country start to turn around and return to the basic values that made America great.
When you vote for collectivists, what else can you expect? You can expect more socialism, even Marxism, that's what. Hey, you all put them in office, now we all suffer the consequences. I only hope that those who voted for them suffer the most.
By FloridaErn @ 03/05/09 03:27:53 PMreport abuse
In Answer to Dave - 65 - Home paid off - No money for taxes
I am a reverse mortgage specialist. It sounds like a reverse mortgage would be perfect for you. It could give you income for college tuition, monthly income and income for taxes and insurance. I have seen a senior conversion mortgage help so many that were between a rock and a hard place. If you would like to know more please contact me at 770-717-8566 or pltimothy@comcast.net. I would be glad to help you.
By Patsy Timothy @ 03/05/09 01:10:21 PMreport abuse
Bailout vs. cramdowns
This bailout will NOT work for 9 million people/homeowners unless banks take the hit. This bailout is tokenism and won't solve or correct the issue.
I used to work in the mortgage industry in the '90s and we checked credit scores, employment, verified income, kept ARM's to those that were temporarily to be housed due to a job transfer and we even DENIED people. We had the guts, courage and balls to tell people NO!!!! We didn't put people in vulnerable positions nor did we use manipulative sales tactics and throw caution to the wind. We QUALIFIED people.
Borrowers did not have guns to their heads in this current crisis either. They signed at the dotted line and didn't have a lawyer with them to look over the terms and wanted to keep up with the Joneses to their detriment.
Working now at a bankruptcy law firm, I've seen the necessity of cramdowns with car loans, commercial real estate and 2nd mortgages. This will be the ONLY way to keep close to this number of people in their primary residences. Overinflated, superficial house prices, poor quality new construction and banks "creating" new "exotic" yet now toxic loan products egged this on and enticed many. Cramdowns will do what the mortgage industry claimed to promise to do a few years ago which was get people at stable payments they can actually afford BENEATH their means, not just within their means. SO WHAT if interest rates go up and borrowing becomes harder! People HAVE TO RELEARN TO SAVE MONEY, STAY OUT OF OVERLEVERAGED, COMPOUND INTERESTED DEBT AND LIVE BENEATH their means. Lenders didn't create 40 or 50 year loans with lower payments for this ridiculously hyperinflated housing market so the banks are going to reap what they sow if they don't capitulate and cooperate. Citigroup started to take the first step in accepting the real necessity of cramming down mortgages by bankruptcy judges and apparently have cowarded out. We cannot reward irresponsibility and at the same time we cannot have another 10-20 million people roaming the streets like nomads across America as ghosttowns develop from foreclosures.

Cram 'em down on primary residences for those filing chapter 13 bankruptcies into the actualized, realized market values and into payments they can live beneath their means with and allow them no more unsecured credit for the next ten years. This is why bankruptcy is legal relief for those with zero other options due to job losses and hopeless indebtedness, and yes, even risky, stupid decisions be it by a borrower or a lender, broker, agent or bank.
Cramdowns by bankruptcy judges are the only way to come even close to successfully remedying this colossal disaster.
Albert Einstein said compound interest was the greatest invention by man. The banks and lenders until recently proved him right. Now, I reflect on a t-shirt I saw one time that said "WINNING IS DYING WITH YOUR CREDIT CARDS MAXED OUT!" Sadly, that has proven to be true also!
By David @ 02/26/09 04:48:32 AMreport abuse
obama
i think hes going so suceed in every thing
By carmen galindo @ 02/25/09 03:46:46 PMreport abuse
petition to file
Clark said that if someone make less than that their payments there is a potition to file to get it down to 30% where might I find this petition
By Sam @ 02/25/09 12:49:41 PMreport abuse
My mortgage is paid off
My family and I skimped and suffered, to pay off our 30 year loan in 15 years. Now it is paid off, I am 65 and can not retire because I banked on my house being worth full value.

In the meantime, we can not afford to pay our annual property taxes and homeowner's insurance. To add injury to insult, both my wife and I have been unemployed for two years, and using our 401-K money to pay expenses-including college expenses for my 20 year old son.
Plus, I we don't qualify for unemployment or any help from anyone.
By Dave @ 02/23/09 06:19:20 PMreport abuse
WHAT GOOD HAS PMI DONE ANY BORROWERS
Many in trouble now may have started out paying PMI. Is that not insurance to protect the borrower?? if if its to protect the Lender, should not all these homes then be considered paid off allowing the families to remain in them???

I know many have paid this fee monthly, but do not hear anyone talking about its ramifications in the current situation... or is this another bloated cow to make money for less than honorable institutions???
By Rich Herrmann @ 02/23/09 01:05:36 PMreport abuse
new houses built by illegeal workers
Hey, guy from Georgia. You are right about not wanting to learn spanish. You need to have a good grasp of the english language before you can do that.
By susan @ 02/23/09 12:55:35 PMreport abuse
new houses built by illegal workers
one good thing...new construction is down so much the amount of ileagal immigrants flooding into Ga. has actually decreased and some of them that have been working in new construction are actually leaving, due to lack of work....I gave up my Painting contracting business last year because i refuse to learn spanish and hire a bunch of ileagals to compete, and the workworce is 80% ileagals. the American painters are lazy and unreliable and I wish they would go around and fine owners of these framing, roofing, sheetrock, painting, carpet crews that are made of ilegal workers taking away american jobs, paying no taxes, and sending the money home. Too many people look the other way and don't mind the poor foriegn worker trying to make a better life, while some fat lazy american pimps out their substandard work and makes most of the money. No wonder American craftsmanship is dead....I say stop building new houses until the old ones are sold and send ICE agents to deport ilegal workers and fine contractors who use them.
By Dave @ 02/22/09 07:54:08 PMreport abuse
Mortgage crisis caused by homeowners.
Clark is right, the mortgage crisis is mostly caused by irresponsible homeowners buying a house that was to big and they did not follow the simple rules like putting 20% cash down payment. No bailout for banks and no bailout for homeowners. The government will just make things worse by trying to do something.
By S. Sig @ 02/21/09 04:01:18 PMreport abuse
new home construction
I would like to see a bit of understanding regarding new home starts. We are a small building company building 6 - 10 custom homes a year to pay our bills. It was not us who flooded the market with cheaply built cookie cutter homes. But because of the mega building companies we are loosing our life savings to stay afloat. If the big guys had stayed out of our area we small reputable builders in Ohio would be doing fine. So don't cut on all builders. We too are trying to keep food on our tables and our homes. Let me add, I do enjoy listening to you and your advise and your heads up on the scams out there.
By lynn tipple @ 02/21/09 01:30:16 PMreport abuse
Housing
Clark, I saw you on CNN and I think you need to read the plan. I understand the plan refinancing a loan as follows: (1) lender brings down interest rate to 38% of income, (2) the plan will match dollar-for-dollar reduction in interest rate to 31% of income. However, it doesn't appear that you, or anyone on television, is adding this small "note" that immediately follows these two items in the plan: "Note: Lenders can also bring down monthly payments to these affordability targets through reducing the amount of mortgage principal. The initiative will provide a partial share of the costs of this principal reduction..."
By TPeru @ 02/21/09 09:24:15 AMreport abuse
Money
I agree with your comments. I feel thatwe need to take a look at what we need vs what we want. O feel this is a good time to slow down come back to basic values. The rich man said he had need of nothing.
By JL Edwards @ 02/21/09 05:19:14 AMreport abuse
as usual
Clark has no clue once again
what is he a puppet to his ad revenue?

maybe he cannot even read......

his facts are all wrong once again

his staff must not inform him well

anyway ignore his idiocy
and read the damn bill yourself

clearly he cannot be bothered to do his
own homework

what a shame, his cash has ruined his mind
By optimystk @ 02/20/09 08:21:47 PMreport abuse
I Want MY Money Back!!!!
That's IT. It use to be the USA was the place to be. But quess what? Not anymore. I see civil unrest here in the next 4 years. Hope you have 1 million homeowners policy for a gun, right Illinois? God Help us all!!!
By Bill @ 02/20/09 07:34:42 PMreport abuse
partisan politics
As long as we have two parties more insistent on degrading each other than working together, we will face difficult times. There should be no scale that qualifies how "American" you are based on how lean politically. Get over the petty biases we all have and work together, that's our task at hand. Bush and Obama are not nearly as different as some would seem to believe, regardless of who you agree with more. They are both only one man; and it's up to us, as citizens of the greatest country Earth has yet seen, to change what we can for the better.
By d jones @ 02/20/09 07:16:55 PMreport abuse
mortgage rate fix
This is a simple fix but no one will go for it because banks and lenders can't make any money on this deal. Makes everyone happy(except current lenders) and those that can't afford this---then sell the house or default.

Here it is---Congress to pass a bill to mandate a fixed 4% rate for all current mortgage loans. No need to refinance just draw up the paper work---use your
current loan monthly bill to show exiting loan terms. This will save the
consumer on refinance charges and you do not have to start a new loan for 30 years---this also saves you on monthly payments.

Let the banks and lenders make money on new loans NOT existing loans. They created this mess.

Here it is---Take
By Tim @ 02/20/09 07:15:55 PMreport abuse
Confused
I am not a fan of any party, but just a plain joe trying to work for a living and doing the best I can. What I can't seem to understand is why are we bailing out anybody? The US economy has developed alternatives for people and companies who find themselves in the difficult position of not being to afford whatever they have be it a home or business. These avenues were designed to give these folks an "OUT" so to speak from their difficulties and start anew. They are called foreclosure and bankruptcy. What is the problem with starting over? Isn't that the american way?
By Tom Q. @ 02/20/09 05:02:15 PMreport abuse
Mortgage Crisis Solution
Regarding your comment about people ultimately ending in foreclosure even aftr help......this would not happen if there was a selling tool.

Everyone is still missing the boat on mortgage help for distressed homeowners facing financial difficulty.

Even though there is talk about reducing interest rates, extending loan terms, and forgiving partial principal, there has to be a selling tool attached to the mortgage restructure program and nobody is thinking about that aspect of the program. Banks believe a large percentage of people who will receive the restructure mortgage help will ultimately end up in foreclosure. These people would not face foreclosure if they had a way to sell their homes and that is why I say with the restructured mortgage offer there has to be a selling tool.

My belief is that the selling tool should be that the new mortgage restructure is assumable to a new buyer. This also means that banks will have to FORGIVE PRINCIPAL to get properties and value back in balance. Going back in time to the 70's when the real estate market was in trouble assumable mortgages and creative financing came to the market and helped save the day. No matter what the market is like buyers will come from all over to purchase a home with an assumable mortgage and IDEAL TERMS. Even though the banks may feel they do not want to extend the favorable restructure terms to a new buyer it would be better to allow the mortgage to be assumed than to again face taking the property back. FORECLOSURES WOULD STOP. The real estate market would come alive, people would be able to sell their homes and property values would begin to rise. This message is falling on deaf ears in the Congress and the Banking Industry. In Lee County, Florida we have 10% unemployment and staggering devaluation of appraised home value....we need legitimate mortgage restructure help not just talk.

Excess dollars spent by the corporate world on remodeling bathrooms and giving bonuses to executives for failed companies......those dollars could be used by Bank of America and other banks to reduce principal on a lot of mortgages to keep American families in there homes.

This new plan does not have a selling tool and unfortunately will not work.
By Jeannette Wiater @ 02/20/09 04:41:25 PMreport abuse
Mortgage defaults
If 91% of mortgage holders are current, according to the facts, the "we" you guys are referring to is only 9%. Please leave me and the 91% of us that pay our mortgages on time, bought homes we could afford and work @ whatever jobs to preserve the life style we choose out of your "we"...PLEASE!
By jrfish @ 02/20/09 04:28:56 PMreport abuse
Finger Pointng
Read the Finger Pointing post for a good laugh.

"...all you partisan morons need to shut up and be Americans first." My, my! how open minded of you-- and so non-partisan. A bad argument like this is usually laced with name calling, but fun to read nonetheless.

Not until the United States is fully Socialist will I, or others, "shut up."

Stop the bailouts,let the markets heal naturally (and quickly), realize we can't tax our way to prosperity, focus Government's assistance on U.S. citizens only and entrepreneurs.

As for Obama, at least he is not going to foolishly spend our money in Afghanistan like "King George" did. Newsflash... oh, oh-- guess what-- HE IS.

Ponder this:

Carter is to Reagan, as Obama is to ?.

Less than 4 years to go, I can't wait!!!!!!!!!!
By Paul M. @ 02/20/09 03:08:12 PMreport abuse
Partisan Stupidity?
I think it's obvious who really has the partisan bias...or just an "I hate Bush attitude". The past 8 years we have seen much fiscal irresponsibility. We spent money we didn't have (that's right WE...most people in the U.S.). People want fiscal responsibility. I am not a fan of welfare or redistribution of wealth...but now is a time, when those who normally can make ends meet, need a little help to get them through a tough time.

I don't dislike Obama's plan because I want him to fail. I want to see the U.S. recover and I want Obama to succeed because he is our President, and whether everyone likes it or not he is our leader.

We need a plan that helps those who are hurting but trying and keeps our Banking and Credit infrastructure together to help investment to continue. It's bad...but where are the bread a soup lines from the Great Depression.

I like Clark's positive attitude. Even when he doesn't like what the government is doing he has a positive attitude...why? He believes in the People of the United States...not the government.
By Jordan @ 02/20/09 01:14:35 PMreport abuse
political finger pointing
people who claim voting democratic is irresponsible should stop pointing fingers and put them back in their noses, where they belong on a brain dead moron. the government just rewarded irresponsible bankers and wall street ceo's with more bailout money than they are now for homeowners, they also did a costly stimulus package twice, that had no effect. they created a trillion dollar war with no exit strategy and no reward (what ever happened to the spoils of war? our oil should be free, instead of our money going to rebuild and police Iraq) King George (crowned by a hanging chad and his brother in Fla) put us in a 8 trillion dollar hole and you partisan people jump up and down when a new democratic president can't fix everything in his first 100 days. Your so stubbornly republican that you won't even give his plan a chance, branding it a failure before it's even implemented...Just remember you gave King George a blank check with no questions asked to fund the afganistan war (how's that going?) another blank check for Iraq (what WMD's?), you gave up our civil liberties in the name of fear with the patriot act, you gave him a third blank check to fund stimulus and bailout programs that have had time to work, but didn't. Bush's plans were full of pork spending ( a long list of it) but you forget that and zealously point out anything in the new plan that isnt a tax cut, and call it pork. all republicans were good for was keeping the rich , rich. Now is time to clean up the mess, and out of shame, all you partisan morons need to shut up and be Americans first. Give the new president and his plan a chance, and pray some of it works. You act like 800 billion is personally coming out of your pocket to keep a large number of Americans from becoming homeless...while the 8 trillion king George spent was replaced with magically freshly minted money. (the truth of the matter is he sold off America to Chinese and mid eastern backers with the too big to fail mantra that is being proven wrong) just look at the value of the dollar and wonder what it will be worth when the foriegn backer lose faith....sorry for the rant but I cant stand partisan stupidity in a time of crises.
By Dave @ 02/20/09 12:42:27 PMreport abuse
housing rescue plan
As a Realtor and mortgage person I must say that I believe that the only way to get us out of the terrible housing market is to get people JOBS. If they can't pay (or won't pay) their payments or they can't QUALIFY for a new mortgage houses are going to just sit on the market.

Bail outs that add jobs are good, bail outs to save politicans jobs are bad.
By Bob Picheny @ 02/20/09 11:58:15 AMreport abuse
Refinance
I'm current in my house payments but would like to refinance to a lower rate than the 6.5% I got a year and a half ago. I have excellent credit and looked into it, but what they aren't saying with the new lower rates is that the closing costs will kill you. I don't want to pay almost $7,000 to close a new loan this soon after moving in to my new home. So even though rates are much lower, I can't get them. So much for good credit and paying bills on time.
By V. Lee @ 02/20/09 11:55:54 AMreport abuse
Spike Lee's comment
Uh, didn't you listen to the news when George Bush was President? Most of the time they just called him "Bush". Rarely did they call him President Bush. I'll give BO the respect he deserves they way the media gave President Bush respect.
By PJ @ 02/20/09 11:32:34 AMreport abuse
Title of President
I always respect Clark Howard's opinions. It seems that many people are not addressing President Barack Obama correctly. I'm not sure if this is some type of silent protest, however, I believe it would be more appropriate to include President Obama's title the same way we addressed President Bush.
By Spike Lee @ 02/20/09 10:48:10 AMreport abuse
What about future gains?
Suppose one of these "upside-downers" sells the house in 10 years after the market has improved and the seller makes money. Do I get a cut since my tax dollars allowed the seller to stay in the house? Of course not. What a disgrace.
By Jake131 @ 02/20/09 09:23:20 AMreport abuse
Wake Up
Read and educate your self - How can Corporate America have it's CEOs walk away with Millions and then be sold. Why aren't we making Corporate America walk the same lines we have to - I can't get a loan unless my credit is where it needs to be. So Why are we bailing them out. How is it they are not held to walk the line. Major companies close - people lose their jobs and then the blame is put on the person who lost there job and can not make ends meet. Look at the bigger picture open your eyes and stop thinking small.
By Normal Person @ 02/20/09 09:17:21 AMreport abuse
housing starts
Clark said:"After all, we have way too much inventory and not enough people to buy the houses."

More accurately, we do not have enough people who can afford these houses. Which means they are still too expensive. The unemployment situation is much worse than the numbers show. The government should buy up these properties at the lowest price possible and rent them out. This will increase the stock of affordable housing, and provide future revenue from the rentals. The people losing their homes to foreclosure can stay as renters or move on.
Or we can just let it all go, endure the depression that will result, and start over in a more responsible manner.
By blackbird13 @ 02/20/09 08:57:04 AMreport abuse
Chicago Tea Party
Check out CNBC's Rick Santelli and the traders on the floor of the CBOE express outrage over the notion they may have to pay their neighbor's mortgage, particularly if they bought far more house than they could actually afford. We should all be outraged at this redistribution of wealth. I Am!
By Jorge @ 02/20/09 01:15:31 AMreport abuse
Poison Pill
How about this, If you go into the program to get relief on your home mortgage and there is a write down on the value of the home and the payment. How about if the home is valued at x amount of dollars and its adjusted downward to x amount of dollars and payments are lowered for this person, when the good times come back and they can sell for a profit they should get only the x amount of dollars that they agreed to on the rescue and the rest goes back to the taxpayers. As for default with the new terms, the funds can still be collected from income tax refunds or withheld from their paychecks like they do with people who do not pay child support. That way they will know they are really on the hook, if they relied on the taxpayer to bail them out, might even work for the banks also plus interest to boot, and other companies that want to feed at the government trough.
By Grandpa Gene @ 02/20/09 01:08:01 AMreport abuse
bailout
Why is it that responsible people always have the rug pulled out from under them so that a red carpet can be rolled out for irresponsible people? Could it be that irresponsible people vote Democratic and responsible people vote Republican?
By Buzz G @ 02/19/09 08:27:25 PMreport abuse
Why so complicated
I understand that the some may need to get affordable payment relief. It's as simple as extending the loan and/or reducing the interest. No moral hazard, they must simply stay until the market adjusts. Even if one's financial picture improves one can send extra payments. This could be offered to anyone.
By Brian @ 02/19/09 05:39:02 PMreport abuse
Who benefits in future when the house is sold?
If these upside-down mortgages get reset, who gets to keep the gains if and when the value of the home recovers? We the taxpayer or the homeowner?
By Down-right upset @ 02/19/09 04:10:47 PMreport abuse

modification for upside-down but current

What do we do; July 2008 we paid for service of modification, we were current on our mortgage payments, Sept.08 we were told to stop payments do to negotiations with indymac, there would be no incurred charges or interest, late fees during this time. never heard from negotiater( but I constantly called and emailed)until Jan.09. This was 1st attempt to communicate from co.There were 3 very short conversations to inform us that lender was not cooperating, and we were now in default..I, after crying, went on line and interviewed many, paid this advocacy company at the end of feb. 09 had to borrow $ due to previous co. will have nothing to do with us or refund money. Since march 2007 I have done all the proper and right things, giving a great deal of time for processes and the unexpected. The lender has only delayed, made excuses, come up with papers and reasons for non communication, ignored calls, wouldn't return our calls, and even with negotiators, would not acknowledge us. Now our home is to be sold july 27,2009 and we have not been notified once.(1st sale date, June 29,2009) This was acts beyond our means of control, and I don't know what was said and/or done by these people in regards to lender. We are out of money, no resources or place to go.Other circumstances that are pertinent; husband was placed on mandatory leave of absence from 8\08- 11/08 without pay, was returned to work for 1 week then hospitalized, contracted staff infection,was within 1 last attempt of antibiotic of losing his hand, thank god for miracles he's ok, returned to work Jan.2, 2009 took hrly cut in wage from 12 hr days to 6-7 hrs. We are 53 yrs old the 5th out of 6 left from 10\22\07 wilfires,still have yet to recover from that nightmare,received no help, this is our 1st home and need help to help ourselves. This is so wrong in every way,that we have no protection for rights we are entitled and no one in authority to care about enforcing regulations, accountability and help me to help myself, give accept ion and time to investigate the truth.I do not know where to turn, the thought losing all scares me.There is no right to live life as stated in our human rights. Any ideas would be highly appreciated, thank-you for your time. Claire Richardson

By Claire E Richardson @ 07/02/09 01:09:45 AMreport abuse

Value of the home!!!!

I want to comment on Jose's Blog....Are you kidding me that it is the banks fault. All of these people that did these stated income only loans new they were lying on there paperwork about the income that they made, but signed on the dotted line saying "I can pay this monthly mortgage". So how is that the banks fault. They all new there payment would go up in so many years. When you sign at title it's all broken down in black and white. Buying a home at the price that any of these people did was just like playing the stock market. Are you going to ask for your money lost on the stock market back? Why are these people getting help to save there homes that "THEY LIED" about. Who do you think in the end will be paying for this? The tax payer of course. I have no sympathy for these people what so ever....Then with the new bailout plan they will get a 1000.00 dollars a year for each year of on time payments made....R U KIdding me? That is ridiculous. I have a 740 credit score, no late pays and put a down payment on my house. Who is going to pay my mortgage because I was responsible????

By Tammy @ 06/11/09 12:37:26 AMreport abuse

Loan Modification

I need help. This loan modification company is asking me for $1,500.00 to due a loan modification is this legitimate?

By Ree Ree @ 05/26/09 05:34:42 PMreport abuse

Obama's Loan Modification????

I lost my job in January. I applied for the Loan Modification in March. I've never missed a payment, have equity in my home, have great credit, I'm just trying to modify the loan to something affordable while trying to find work. I sent in all the paperwork in March. Everytime I call to check on it, they "haven't received it yet". So, today, May 18, they finally acknowledge receipt, but, now I have to wait 160 days for the review process!!!!!????
What the?????? What kind of a help program is this? Are they waiting for me to go into miss payments, go into foreclosure??? This is ridiculous!!!!
(And, no, I can't refinance, no job!)

By Joan @ 05/18/09 01:11:12 PMreport abuse

VALUE OF THE HOME

I DONT THINK IS FAIR THAT PEOPLE ARE PAYING A MORTGAGE AND THE HOME IS WORTH LESS THAN WHAT THEY OWE , I BLAME THIS ON THE RICH MORTGAGE COMPANIES AND BANKS WHO GAVE LOANS WITHOUT CHECKING CREDIT OR INCOMES , AND NOW THE GOVERMENT HAS TO GIVE THEM MONEY TO BE AFLOAT , WHAT ABOUT THE PEOPLE, I THINK IS BS ???

By JOSE @ 05/05/09 07:00:04 PMreport abuse

I want Obama to fail . . .

in his agenda to convert our country to socialism.
I want him to succeed as a leader, but not if he is leading us to perdition.
I hope that is crystal clear to everyone. Just like what Rush said.

By FloridaErn @ 03/05/09 03:30:19 PMreport abuse

Bailouts and bail outs

While the socialists in Washington are 'saving' companies left and right with our tax money - with taxes from generations of American taxpayers to come, even yet unborn - high-paying top management and union leaders are bailing out with their ill-gained profits and golden parachutes.
In Washington we have the foxes guarding the hen house. When we stop voting in socialists - regardless of party label - then we will see this country start to turn around and return to the basic values that made America great.
When you vote for collectivists, what else can you expect? You can expect more socialism, even Marxism, that's what. Hey, you all put them in office, now we all suffer the consequences. I only hope that those who voted for them suffer the most.

By FloridaErn @ 03/05/09 03:27:53 PMreport abuse

In Answer to Dave - 65 - Home paid off - No money for taxes

I am a reverse mortgage specialist. It sounds like a reverse mortgage would be perfect for you. It could give you income for college tuition, monthly income and income for taxes and insurance. I have seen a senior conversion mortgage help so many that were between a rock and a hard place. If you would like to know more please contact me at 770-717-8566 or pltimothy@comcast.net. I would be glad to help you.

By Patsy Timothy @ 03/05/09 01:10:21 PMreport abuse

Bailout vs. cramdowns

This bailout will NOT work for 9 million people/homeowners unless banks take the hit. This bailout is tokenism and won't solve or correct the issue.
I used to work in the mortgage industry in the '90s and we checked credit scores, employment, verified income, kept ARM's to those that were temporarily to be housed due to a job transfer and we even DENIED people. We had the guts, courage and balls to tell people NO!!!! We didn't put people in vulnerable positions nor did we use manipulative sales tactics and throw caution to the wind. We QUALIFIED people.
Borrowers did not have guns to their heads in this current crisis either. They signed at the dotted line and didn't have a lawyer with them to look over the terms and wanted to keep up with the Joneses to their detriment.
Working now at a bankruptcy law firm, I've seen the necessity of cramdowns with car loans, commercial real estate and 2nd mortgages. This will be the ONLY way to keep close to this number of people in their primary residences. Overinflated, superficial house prices, poor quality new construction and banks "creating" new "exotic" yet now toxic loan products egged this on and enticed many. Cramdowns will do what the mortgage industry claimed to promise to do a few years ago which was get people at stable payments they can actually afford BENEATH their means, not just within their means. SO WHAT if interest rates go up and borrowing becomes harder! People HAVE TO RELEARN TO SAVE MONEY, STAY OUT OF OVERLEVERAGED, COMPOUND INTERESTED DEBT AND LIVE BENEATH their means. Lenders didn't create 40 or 50 year loans with lower payments for this ridiculously hyperinflated housing market so the banks are going to reap what they sow if they don't capitulate and cooperate. Citigroup started to take the first step in accepting the real necessity of cramming down mortgages by bankruptcy judges and apparently have cowarded out. We cannot reward irresponsibility and at the same time we cannot have another 10-20 million people roaming the streets like nomads across America as ghosttowns develop from foreclosures.

Cram 'em down on primary residences for those filing chapter 13 bankruptcies into the actualized, realized market values and into payments they can live beneath their means with and allow them no more unsecured credit for the next ten years. This is why bankruptcy is legal relief for those with zero other options due to job losses and hopeless indebtedness, and yes, even risky, stupid decisions be it by a borrower or a lender, broker, agent or bank.
Cramdowns by bankruptcy judges are the only way to come even close to successfully remedying this colossal disaster.
Albert Einstein said compound interest was the greatest invention by man. The banks and lenders until recently proved him right. Now, I reflect on a t-shirt I saw one time that said "WINNING IS DYING WITH YOUR CREDIT CARDS MAXED OUT!" Sadly, that has proven to be true also!

By David @ 02/26/09 04:48:32 AMreport abuse

obama

i think hes going so suceed in every thing

By carmen galindo @ 02/25/09 03:46:46 PMreport abuse

petition to file

Clark said that if someone make less than that their payments there is a potition to file to get it down to 30% where might I find this petition

By Sam @ 02/25/09 12:49:41 PMreport abuse

My mortgage is paid off

My family and I skimped and suffered, to pay off our 30 year loan in 15 years. Now it is paid off, I am 65 and can not retire because I banked on my house being worth full value.

In the meantime, we can not afford to pay our annual property taxes and homeowner's insurance. To add injury to insult, both my wife and I have been unemployed for two years, and using our 401-K money to pay expenses-including college expenses for my 20 year old son.
Plus, I we don't qualify for unemployment or any help from anyone.

By Dave @ 02/23/09 06:19:20 PMreport abuse

WHAT GOOD HAS PMI DONE ANY BORROWERS

Many in trouble now may have started out paying PMI. Is that not insurance to protect the borrower?? if if its to protect the Lender, should not all these homes then be considered paid off allowing the families to remain in them???

I know many have paid this fee monthly, but do not hear anyone talking about its ramifications in the current situation... or is this another bloated cow to make money for less than honorable institutions???

By Rich Herrmann @ 02/23/09 01:05:36 PMreport abuse

new houses built by illegeal workers

Hey, guy from Georgia. You are right about not wanting to learn spanish. You need to have a good grasp of the english language before you can do that.

By susan @ 02/23/09 12:55:35 PMreport abuse

new houses built by illegal workers

one good thing...new construction is down so much the amount of ileagal immigrants flooding into Ga. has actually decreased and some of them that have been working in new construction are actually leaving, due to lack of work....I gave up my Painting contracting business last year because i refuse to learn spanish and hire a bunch of ileagals to compete, and the workworce is 80% ileagals. the American painters are lazy and unreliable and I wish they would go around and fine owners of these framing, roofing, sheetrock, painting, carpet crews that are made of ilegal workers taking away american jobs, paying no taxes, and sending the money home. Too many people look the other way and don't mind the poor foriegn worker trying to make a better life, while some fat lazy american pimps out their substandard work and makes most of the money. No wonder American craftsmanship is dead....I say stop building new houses until the old ones are sold and send ICE agents to deport ilegal workers and fine contractors who use them.

By Dave @ 02/22/09 07:54:08 PMreport abuse

Mortgage crisis caused by homeowners.

Clark is right, the mortgage crisis is mostly caused by irresponsible homeowners buying a house that was to big and they did not follow the simple rules like putting 20% cash down payment. No bailout for banks and no bailout for homeowners. The government will just make things worse by trying to do something.

By S. Sig @ 02/21/09 04:01:18 PMreport abuse

new home construction

I would like to see a bit of understanding regarding new home starts. We are a small building company building 6 - 10 custom homes a year to pay our bills. It was not us who flooded the market with cheaply built cookie cutter homes. But because of the mega building companies we are loosing our life savings to stay afloat. If the big guys had stayed out of our area we small reputable builders in Ohio would be doing fine. So don't cut on all builders. We too are trying to keep food on our tables and our homes. Let me add, I do enjoy listening to you and your advise and your heads up on the scams out there.

By lynn tipple @ 02/21/09 01:30:16 PMreport abuse

Housing

Clark, I saw you on CNN and I think you need to read the plan. I understand the plan refinancing a loan as follows: (1) lender brings down interest rate to 38% of income, (2) the plan will match dollar-for-dollar reduction in interest rate to 31% of income. However, it doesn't appear that you, or anyone on television, is adding this small "note" that immediately follows these two items in the plan: "Note: Lenders can also bring down monthly payments to these affordability targets through reducing the amount of mortgage principal. The initiative will provide a partial share of the costs of this principal reduction..."

By TPeru @ 02/21/09 09:24:15 AMreport abuse

Money

I agree with your comments. I feel thatwe need to take a look at what we need vs what we want. O feel this is a good time to slow down come back to basic values. The rich man said he had need of nothing.

By JL Edwards @ 02/21/09 05:19:14 AMreport abuse

as usual

Clark has no clue once again
what is he a puppet to his ad revenue?

maybe he cannot even read......

his facts are all wrong once again

his staff must not inform him well

anyway ignore his idiocy
and read the damn bill yourself

clearly he cannot be bothered to do his
own homework

what a shame, his cash has ruined his mind

By optimystk @ 02/20/09 08:21:47 PMreport abuse

I Want MY Money Back!!!!

That's IT. It use to be the USA was the place to be. But quess what? Not anymore. I see civil unrest here in the next 4 years. Hope you have 1 million homeowners policy for a gun, right Illinois? God Help us all!!!

By Bill @ 02/20/09 07:34:42 PMreport abuse

partisan politics

As long as we have two parties more insistent on degrading each other than working together, we will face difficult times. There should be no scale that qualifies how "American" you are based on how lean politically. Get over the petty biases we all have and work together, that's our task at hand. Bush and Obama are not nearly as different as some would seem to believe, regardless of who you agree with more. They are both only one man; and it's up to us, as citizens of the greatest country Earth has yet seen, to change what we can for the better.

By d jones @ 02/20/09 07:16:55 PMreport abuse

mortgage rate fix

This is a simple fix but no one will go for it because banks and lenders can't make any money on this deal. Makes everyone happy(except current lenders) and those that can't afford this---then sell the house or default.

Here it is---Congress to pass a bill to mandate a fixed 4% rate for all current mortgage loans. No need to refinance just draw up the paper work---use your
current loan monthly bill to show exiting loan terms. This will save the
consumer on refinance charges and you do not have to start a new loan for 30 years---this also saves you on monthly payments.

Let the banks and lenders make money on new loans NOT existing loans. They created this mess.

Here it is---Take

By Tim @ 02/20/09 07:15:55 PMreport abuse

Confused

I am not a fan of any party, but just a plain joe trying to work for a living and doing the best I can. What I can't seem to understand is why are we bailing out anybody? The US economy has developed alternatives for people and companies who find themselves in the difficult position of not being to afford whatever they have be it a home or business. These avenues were designed to give these folks an "OUT" so to speak from their difficulties and start anew. They are called foreclosure and bankruptcy. What is the problem with starting over? Isn't that the american way?

By Tom Q. @ 02/20/09 05:02:15 PMreport abuse

Mortgage Crisis Solution

Regarding your comment about people ultimately ending in foreclosure even aftr help......this would not happen if there was a selling tool.

Everyone is still missing the boat on mortgage help for distressed homeowners facing financial difficulty.

Even though there is talk about reducing interest rates, extending loan terms, and forgiving partial principal, there has to be a selling tool attached to the mortgage restructure program and nobody is thinking about that aspect of the program. Banks believe a large percentage of people who will receive the restructure mortgage help will ultimately end up in foreclosure. These people would not face foreclosure if they had a way to sell their homes and that is why I say with the restructured mortgage offer there has to be a selling tool.

My belief is that the selling tool should be that the new mortgage restructure is assumable to a new buyer. This also means that banks will have to FORGIVE PRINCIPAL to get properties and value back in balance. Going back in time to the 70's when the real estate market was in trouble assumable mortgages and creative financing came to the market and helped save the day. No matter what the market is like buyers will come from all over to purchase a home with an assumable mortgage and IDEAL TERMS. Even though the banks may feel they do not want to extend the favorable restructure terms to a new buyer it would be better to allow the mortgage to be assumed than to again face taking the property back. FORECLOSURES WOULD STOP. The real estate market would come alive, people would be able to sell their homes and property values would begin to rise. This message is falling on deaf ears in the Congress and the Banking Industry. In Lee County, Florida we have 10% unemployment and staggering devaluation of appraised home value....we need legitimate mortgage restructure help not just talk.

Excess dollars spent by the corporate world on remodeling bathrooms and giving bonuses to executives for failed companies......those dollars could be used by Bank of America and other banks to reduce principal on a lot of mortgages to keep American families in there homes.

This new plan does not have a selling tool and unfortunately will not work.

By Jeannette Wiater @ 02/20/09 04:41:25 PMreport abuse

Mortgage defaults

If 91% of mortgage holders are current, according to the facts, the "we" you guys are referring to is only 9%. Please leave me and the 91% of us that pay our mortgages on time, bought homes we could afford and work @ whatever jobs to preserve the life style we choose out of your "we"...PLEASE!

By jrfish @ 02/20/09 04:28:56 PMreport abuse

Finger Pointng

Read the Finger Pointing post for a good laugh.

"...all you partisan morons need to shut up and be Americans first." My, my! how open minded of you-- and so non-partisan. A bad argument like this is usually laced with name calling, but fun to read nonetheless.

Not until the United States is fully Socialist will I, or others, "shut up."

Stop the bailouts,let the markets heal naturally (and quickly), realize we can't tax our way to prosperity, focus Government's assistance on U.S. citizens only and entrepreneurs.

As for Obama, at least he is not going to foolishly spend our money in Afghanistan like "King George" did. Newsflash... oh, oh-- guess what-- HE IS.

Ponder this:

Carter is to Reagan, as Obama is to ?.

Less than 4 years to go, I can't wait!!!!!!!!!!

By Paul M. @ 02/20/09 03:08:12 PMreport abuse

Partisan Stupidity?

I think it's obvious who really has the partisan bias...or just an "I hate Bush attitude". The past 8 years we have seen much fiscal irresponsibility. We spent money we didn't have (that's right WE...most people in the U.S.). People want fiscal responsibility. I am not a fan of welfare or redistribution of wealth...but now is a time, when those who normally can make ends meet, need a little help to get them through a tough time.

I don't dislike Obama's plan because I want him to fail. I want to see the U.S. recover and I want Obama to succeed because he is our President, and whether everyone likes it or not he is our leader.

We need a plan that helps those who are hurting but trying and keeps our Banking and Credit infrastructure together to help investment to continue. It's bad...but where are the bread a soup lines from the Great Depression.

I like Clark's positive attitude. Even when he doesn't like what the government is doing he has a positive attitude...why? He believes in the People of the United States...not the government.

By Jordan @ 02/20/09 01:14:35 PMreport abuse

political finger pointing

people who claim voting democratic is irresponsible should stop pointing fingers and put them back in their noses, where they belong on a brain dead moron. the government just rewarded irresponsible bankers and wall street ceo's with more bailout money than they are now for homeowners, they also did a costly stimulus package twice, that had no effect. they created a trillion dollar war with no exit strategy and no reward (what ever happened to the spoils of war? our oil should be free, instead of our money going to rebuild and police Iraq) King George (crowned by a hanging chad and his brother in Fla) put us in a 8 trillion dollar hole and you partisan people jump up and down when a new democratic president can't fix everything in his first 100 days. Your so stubbornly republican that you won't even give his plan a chance, branding it a failure before it's even implemented...Just remember you gave King George a blank check with no questions asked to fund the afganistan war (how's that going?) another blank check for Iraq (what WMD's?), you gave up our civil liberties in the name of fear with the patriot act, you gave him a third blank check to fund stimulus and bailout programs that have had time to work, but didn't. Bush's plans were full of pork spending ( a long list of it) but you forget that and zealously point out anything in the new plan that isnt a tax cut, and call it pork. all republicans were good for was keeping the rich , rich. Now is time to clean up the mess, and out of shame, all you partisan morons need to shut up and be Americans first. Give the new president and his plan a chance, and pray some of it works. You act like 800 billion is personally coming out of your pocket to keep a large number of Americans from becoming homeless...while the 8 trillion king George spent was replaced with magically freshly minted money. (the truth of the matter is he sold off America to Chinese and mid eastern backers with the too big to fail mantra that is being proven wrong) just look at the value of the dollar and wonder what it will be worth when the foriegn backer lose faith....sorry for the rant but I cant stand partisan stupidity in a time of crises.

By Dave @ 02/20/09 12:42:27 PMreport abuse

housing rescue plan

As a Realtor and mortgage person I must say that I believe that the only way to get us out of the terrible housing market is to get people JOBS. If they can't pay (or won't pay) their payments or they can't QUALIFY for a new mortgage houses are going to just sit on the market.

Bail outs that add jobs are good, bail outs to save politicans jobs are bad.

By Bob Picheny @ 02/20/09 11:58:15 AMreport abuse

Refinance

I'm current in my house payments but would like to refinance to a lower rate than the 6.5% I got a year and a half ago. I have excellent credit and looked into it, but what they aren't saying with the new lower rates is that the closing costs will kill you. I don't want to pay almost $7,000 to close a new loan this soon after moving in to my new home. So even though rates are much lower, I can't get them. So much for good credit and paying bills on time.

By V. Lee @ 02/20/09 11:55:54 AMreport abuse

Spike Lee's comment

Uh, didn't you listen to the news when George Bush was President? Most of the time they just called him "Bush". Rarely did they call him President Bush. I'll give BO the respect he deserves they way the media gave President Bush respect.

By PJ @ 02/20/09 11:32:34 AMreport abuse

Title of President

I always respect Clark Howard's opinions. It seems that many people are not addressing President Barack Obama correctly. I'm not sure if this is some type of silent protest, however, I believe it would be more appropriate to include President Obama's title the same way we addressed President Bush.

By Spike Lee @ 02/20/09 10:48:10 AMreport abuse

What about future gains?

Suppose one of these "upside-downers" sells the house in 10 years after the market has improved and the seller makes money. Do I get a cut since my tax dollars allowed the seller to stay in the house? Of course not. What a disgrace.

By Jake131 @ 02/20/09 09:23:20 AMreport abuse

Wake Up

Read and educate your self - How can Corporate America have it's CEOs walk away with Millions and then be sold. Why aren't we making Corporate America walk the same lines we have to - I can't get a loan unless my credit is where it needs to be. So Why are we bailing them out. How is it they are not held to walk the line. Major companies close - people lose their jobs and then the blame is put on the person who lost there job and can not make ends meet. Look at the bigger picture open your eyes and stop thinking small.

By Normal Person @ 02/20/09 09:17:21 AMreport abuse

housing starts

Clark said:"After all, we have way too much inventory and not enough people to buy the houses."

More accurately, we do not have enough people who can afford these houses. Which means they are still too expensive. The unemployment situation is much worse than the numbers show. The government should buy up these properties at the lowest price possible and rent them out. This will increase the stock of affordable housing, and provide future revenue from the rentals. The people losing their homes to foreclosure can stay as renters or move on.
Or we can just let it all go, endure the depression that will result, and start over in a more responsible manner.

By blackbird13 @ 02/20/09 08:57:04 AMreport abuse

Chicago Tea Party

Check out CNBC's Rick Santelli and the traders on the floor of the CBOE express outrage over the notion they may have to pay their neighbor's mortgage, particularly if they bought far more house than they could actually afford. We should all be outraged at this redistribution of wealth. I Am!

By Jorge @ 02/20/09 01:15:31 AMreport abuse

Poison Pill

How about this, If you go into the program to get relief on your home mortgage and there is a write down on the value of the home and the payment. How about if the home is valued at x amount of dollars and its adjusted downward to x amount of dollars and payments are lowered for this person, when the good times come back and they can sell for a profit they should get only the x amount of dollars that they agreed to on the rescue and the rest goes back to the taxpayers. As for default with the new terms, the funds can still be collected from income tax refunds or withheld from their paychecks like they do with people who do not pay child support. That way they will know they are really on the hook, if they relied on the taxpayer to bail them out, might even work for the banks also plus interest to boot, and other companies that want to feed at the government trough.

By Grandpa Gene @ 02/20/09 01:08:01 AMreport abuse

bailout

Why is it that responsible people always have the rug pulled out from under them so that a red carpet can be rolled out for irresponsible people? Could it be that irresponsible people vote Democratic and responsible people vote Republican?

By Buzz G @ 02/19/09 08:27:25 PMreport abuse

Why so complicated

I understand that the some may need to get affordable payment relief. It's as simple as extending the loan and/or reducing the interest. No moral hazard, they must simply stay until the market adjusts. Even if one's financial picture improves one can send extra payments. This could be offered to anyone.

By Brian @ 02/19/09 05:39:02 PMreport abuse

Who benefits in future when the house is sold?

If these upside-down mortgages get reset, who gets to keep the gains if and when the value of the home recovers? We the taxpayer or the homeowner?

By Down-right upset @ 02/19/09 04:10:47 PMreport abuse

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Feb 19, 2009 -- Obama announces his housing rescue plan -- Part 2

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