Wednesday, February 18, 2009

Obama's Mortgage Bailout Plan Topic On Paltalk




President Obama traveled to Arizona today, where there is an extreme housing crisis, to outline his $75 billion mortgage bailout plan. Designed to get Americans out from under upside down mortgages and to get the real estate market, whose downturn stalled the rest of the economy, back on track. The administration hopes to help up to 9 million mortgage holders with the plan.

In remarks prepared for today's announcement, Obama lamented that the American Dream is being "tested by a home mortgage crisis that not only threatens the stability of our economy but also the stability of families and neighborhoods."

Homeowners who are faced with an inability to pay their mortgages, the president says, are stuck, because they can't sell their homes and downsize to one more affordable.

"You can't afford to leave and you can't afford to stay," he said, stating the obvious.

Obama chose Arizona to announce his plan because there are some 150,000 foreclosures in the Grand Canyon state.

One of the most innovative aspects of the plan is an incentive to mortgage servicers - the middlemen and women between the borrower and the financial institution. They would be given a bounty of $1,000 for each mortgage modification. If the borrower makes all of his or her payments, the servicers would get an additional $1,000 for the first three years of the mortgage.

That alone is enough to make many unemployed or underemployed Americans start thinking about getting into the mortgage servicing business.

The plan also calls for a change to the bankruptcy laws. Giving bankruptcy judges the option to modify mortgages.

And it offers money to help those who are falling behind in their payments to catch up.

We'll discuss the president's plan at 5 PM New York time today on News Talk Online on Paltalk.com. To join in the conversation CLICK HERE.

Paltalk is the largest multimedia interactive program on the Internet with more than 4 million unique users.

News Talk Online is also syndicated by CRN Digital Talk Radio to an additional 12 million households.

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Photo credit: http://www.flickr.com/photos/respres/2539334956/

5 comments:

Anonymous said...

Okay, so we are going to 'devalue' homes, to make mortgages afordable, why not cut to the chase, do what FDR did, and just devalue the dollar? It is only worth about 10 cents anyway. Bebe_zilla

Anonymous said...

Helping people with mortgages is a good idea but.......how much more in bailouts/stimulus's can we as taxpayers afford? If the government would have given the taxpaying citizens (you know, the ones who have to pay it back) the last stimulus,divide it up among them, then he wouldnt need a bailout for mortgages. I would have also helped the auto industry. Instead its used to basically line the governments pockets for the most part.....ah well its our "free" country
TJonna

Anonymous said...

This plan is like leaving the fox in the henhouse. It was the government that got mortgaGES PUSHED ON PEOPLE WHO COULD NOT AFFORD THEM AND nOW HERE COMES GOVERNMENT WITH ANOTHER OFFER. wAKE UP aMERICA WE ARE STILL STUNNED THAT THE STIMULUS BILL WAS PUSHED THRU WITH OUT READING IT, BECAUSE oBAMA STATED WE WOULD OTHERWISE BE IN CHAOS IF NOT DONE

beachdude said...

A mortgage modification is a process whereby a home owner’s mortgage is modified and both the lender and homeowner are bound by the new terms of the new mortgage.

The most common loan modifications are listed below:

lowering the mortgage interest rate
reducing the mortgage principal balance
fixing adjustable interest rates within the mortgage
increasing the loan term throughout the mortgage
forgiveness of payment defaults and fees
or any combination of the above

Check out this Public site at http://MortgageModificationInfo.org

worthyk said...

Wow, this has become like an episode of "The Fear Factor" on steriods. American propaganda. Welfare for the rich! I have always considered myself a Republican since we seem to have to choose to even vote,or at least, to make it count. Today, I am seriously thinking of moving to Spain or France. Nationalized Healthcare,etc. Sounds good to me since I have been unemployed for over a yr. and have still managed to make my mortgage pymts. I thought we should bail out ave. American's. Feeling pretty much like a slave to the political system/gov. and I am a caucasian.