Will FHA-SECURE be enough.

This afternoon President Bush made his announcement on The Hope Now Incentive. The Hope Now website is up and running. http://www.hopenow.com/ . This is a voluntary program for homeowners with adjustable rate mortgages taken out between 2005 and July 30^th this year.

Homeowners must be current to qualify for the five year interest price freeze. Many that oppose this measure are upset because it doesn't help those who already have fallen behind because of adjustable rate increases.

The United States is in the worst housing slum in twenty years and foreclosures surged to an all time high from July threw September. Already billions of dollars have been lost by big banks, investors, and hedge funds. There are concerns that the house slump could lead to a recession.

In addition the federal government wants to take regulatory action to clean up the mortgage industry. Bush also said "Later this month, the Federal Reserve intends to announce stronger lending standards that will help protect borrowers," and the President added "Disclosure requirements for lenders will also become more stringent and the Department of Justice will pursue banking and housing industry agents who defrauded American consumers with deceptive lending practices."

A new program by The Federal Housing Commission will also be launched in the near future called, FHA-Secure. This would allow FHA loans to refinance adjustable rate mortgages.

Yes, I know, those who bit off more than they could chew should be held accountable. But, how many consumers were taken advantage of by predatory lending and predatory Realtors? The fact of the matter is, foreclosures are going to destroy the banking industry. Sure, you reap what you sow, but to what expense, A Recession? I'm grateful that there is some intervention even if it's slight, which is what I believe we are seeing here.

The Resident Mark