Posted on 02/18/2009 9:22:44 AM PST by sickoflibs
PHOENIX - President Barack Obama’s plan to tackle the foreclosure crisis will spend $75 billion in an effort to prevent up to 9 million Americans from losing their homes.
In tandem, the Treasury Department said it would double the size of its lifeline to Fannie Mae and Freddie Mac. The government, which seized the mortgage finance companies last fall, said Wednesday it would absorb up to $200 billion in losses at each company.
The plan, which Obama is releasing later Wednesday, is more ambitious than initially expected — and more expensive. It aims to aid borrowers who owe more on their mortgages than their homes are currently worth, and borrowers who are on the verge of foreclosure.
“All of us are paying a price for this home mortgage crisis,” Obama says in a prepared text of remarks scheduled shortly after 12 noon EST Wednesday at a Phoenix area high school.
Headlining the plan was a $75 billion Homeowner Stability Initiative, under which would provide incentives to lenders to cut monthly mortgage payments to sustainable levels. It defines this at no more than 31 percent of a homeowners income.
Another key component: a new program aimed at helping homeowners said to be “under water” — with dwellings whose value have sunk below the principal still owing on their mortgages. Such mortgages have traditionally been almost impossible to refinance. But the White House said its program will help 4 to 5 million families do just that.
Of the nearly 52 million U.S. homeowners with a mortgage, about 13.8 million, or nearly 27 percent, owe more on their mortgage than their house is now worth, according to Moody’s Economy.com
(Excerpt) Read more at msnbc.msn.com ...
Maybe it would also give responsible people an opportunity to own a home at an affordable price.
Reparations in (barely) disguise.
And for those who could see a bubble forming and didn’t buy during the frenzy: Guess what? You’re a certified IDIOT.
The government will use your money to prop up prices and you STILL can’t afford to buy a house!
Exactly. There are responsible people out here who didn't buy something they couldn't afford.
Yes, I am a certified IDIOT.
On average the lender would chip in about 1% (which most are willing to do now) and YOU {via future taxes fronted by Chinese $$$ now} get to pay the mortgage company about $8,000 to cover the remaining 2-3% to arrive @ the 31% of income ratio.
A Freeper on another thread wrote this:
“If you are making your payments, doing the right thing, you didn’t over buy a house that you knew you couldn’t afford, and you are not a Govt approved minority, and think YOU are going to get mortgage relief - - dream on. For everyone else who falls into the Obama Plan, it is “FREE STUFF!””
Sums it all up pretty good.
Yes. It doesn’t pay to be honest or responsible.
That is the irony of all ironies. While Sean Hannity was mocking her and making her sound delusional it was actually he who was delusional in thinking that the Messiah would eventually come to his senses. Unlike your colleagues Rush and Mark you refuse to assert that Obama is a Marxist and you refuse to dissociate yourself from McCain.
McCain’s dereliction of duty to not throw everything but the kitchen sink at Obama and call him out on his associations could be considered by historians the worst political strategy ever adopted by a Presidential candidate.
Yes, I thank McCain for giving us Sarah Palin. But throwing us a meaty bone can never make up for the damage that Obama will do to the American people.
So at what point can I stop paying my mortgage?
Should I get a second one and add a much needed addition to my home before i fail to pay it off??
Any advice?
I might as well cash in since I haven’t so far.
“If you are making your payments, doing the right thing, you didn’t over buy a house that you knew you couldn’t afford ...”
You are a SCHMUCK!
Why??
Yeah, that was my point, about how the Dems portray things, as opposed to reality.
This is a lesson to the Republicans who EVER think the MSM and Dems will let them be “compassionate”.
Live by your principles, and no matter how you’re portrayed, you will be in the right.
Of course, Republicans also need to learn to communicate their ideas.
Because you’ll get to pay for everyone else to have a nicer home adn more toys than you!
If you’re fine with that, then I guess you’re not a SCHMUCK.
Thanks-
Did you see what Eric Holder said today????
Another race baiter...in the lucrative month of February.
OHH thats right he isn’t shite who has to embrace what is right...and he ain’t a “mellow yellow”....
BLACK History month...yeah right...black history in the making.
The messiah turning worthless mortgages into redeemable assets (like water into wine)...
Bail out = re-distribution
IF you are “white” you have to do what is right...as for all other shades of color you don’t have to do what is right...just sit back and demand more with your grubby hand...
But I don't go to school any more either. :(
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