Special offer

Are any TARP receipient lenders modifying loans for borrowers? Answer: not many.

By
Real Estate Agent with Sand Dollar Realty Group, Inc. BK627826

The Associated Press released an article yesterday stating exactly that.  According to a report from the federal government some of the biggest banks are doing the worst job of helping homeowners in distress.  Even after taking billions in TARP funds.  So much for "trickle down" economics. 

mortgage modiciations  

Washington politicians created a $50 billion program specifically to help troubled homeowners, but it seems like the banks are just greasing their own pockets while doing little to nothing for struggling American homeowners.

Among the worst offenders are the biggest lenders.  According to the report, Bank of America modified just 4%, Wachovia just 2%, American Home Mortgage and PNC/National City scored a big 0%. 

I'm almost thinking it is high time the American taxpayers simply pulled the rug out from under these big banks and either force them to help homeowners or force them into bankruptcy by demanding immediate repayment of all TARP funds within 30 days.

Something has to give.  President (then Senator Obama) along with Senator McCain happily voted for TARP and former President Bush happily signed it into law.  President Obama continues to talk big about all the people that are being "helped" but talk is very cheap.  Time for Obama to get out of campaign mode and actually make something happen. 

The article states that "The White House maintains it is on track to meet its goal of helping up to 4 million homeowners by 2012."  Newsflash to President Obama, foreclosures only take 6-months to a year to be finalized depending on the state law.  2012 is 3 years away - maybe he mentions 2012 because he simply wants to get re-elected so to heck with homeowners. 

But it isn't just the President or the Democrats.  I don't see anybody in Washington doing much good for the economy right now. It is amazing how out of touch all these politicians are with the real world.  It's high time Washington just leaves it alone and lets it work itself out.

---------------------------------------------------------------------------------------------------------------------

(Copyright © 2009. Sand Dollar Realty Group, Inc. All rights reserved.)  

Rob Arnold - Your full service and investor friendly Realtor ® in Orlando and Central Florida.

407-389-7318 / 1-877-389-7318 www.SDRhouses.com   We Buy Houses Florida

We sell foreclosure, short sale, and bank owned REO house home throughout Central Florida, metro Orlando, and the Space Coast. We sell and list Central Florida real estate and Orlando real estate. Free list of foreclosure and short sale houses available.  Our firm also provides flat fee MLS listings, For Sale By Owner, and menu-based services in most parts of Florida.

Comments (7)

Christianne O'Malley
Dickson Realty - Reno, NV
Exceptional Service - Delivering Results in Reno!

I am SO with you. Nothing has been done - I know of NO home loan modifications successfully completed - it's all just a big scam. I don't know where the money went and am furious that my sons will be the ones to pay it back. I see people who could be helped ignored by their banks and I just can't get my brain around why.  To not help is one thing, but to lie and say "we'll help" and then don't seems just plain cruel to me.

Aug 06, 2009 03:36 AM
John Mulkey
TheHousingGuru.com - Waleska, GA
Housing Guru

Rob - TARP wasn't intended to help homeowners. It was a fraud using taxpayer money to bail out the big banks.  Homeowners and housing in general have been left in the cold.

Aug 06, 2009 03:44 AM
Jim Palmer
Chipola Realty - Chipley Office (850) 638-2777 - Sunny Hills, FL
Washington County, Florida

Read some thing the other day about how the guvmint was going to publish these results in an effort to "shame" them into action..  LOL...Let us know how that scare tactic works out for you.. I can see the banks quaking in their penthouses.

Aug 06, 2009 04:15 AM
Terry Haugen STAGE it RIGHT! 321-956-2495
Stage it Right! - Melbourne, FL

Rob, what do we expect?  They were given that money with no accountability.

Aug 06, 2009 06:45 AM
Mike Saunders
Retired - Athens, GA

Rob - so far there have only been three month trial modifications. And yes, there is too much being done in Washington, spending too much money with too few positive results.

Aug 06, 2009 07:16 AM
John Secor
EXIT Real Estate Results - Winter Springs, FL

Rob - the loan mods are a farce anyway you slice them.  You can't throw this all at the feet of BO, its congress that hasn't gotten it right.  Those people can't agree on the time of day or the amount of liquid in a pint of milk. 

Aug 06, 2009 01:37 PM
Rob Arnold
Sand Dollar Realty Group, Inc. - Altamonte Springs, FL
Metro Orlando Full Service - Investor Friendly & F

John - No doubt.  Obama is just finishing the job that George Bush started.  I say in 2010 fire every single member in Congress.  I'm am so thrilled that Florida Senator Martinez is gone - good riddance. Now let's fire Nelson, Grayson, Kosmas, and Corrine Brown.  

Aug 07, 2009 02:44 PM