Early this week Sen. Hilary Clinton announced her stance on the national foreclosure epidemic.  With the elections coming up soon it is only a matter of time before all candidates offer their opinion on what the country should do about the hurricane known as REO.  Sen. Clinton’s opinion is a multi-tiered exit strategy for the overwhelmed bank industry.  A moratorium has been suggested in the form of 90 days on subprime loans that are owner-occupied coupled with a 5-year freeze on all subprime ARM’s (Adjustable Rate Mortgages).It’s difficult to say whether or not this will help the problem that our country faces, however; I think that it should be said that the solution should not stop there.  Homeowners need education.  In a recent UniversalREO panel discussion it was suggested that more people could tell you the type of television they have (down to the type of crystal in the screen) than could tell you what type of mortgage they have.    Also, real estate agents and lenders need more education.  These are the professionals that homeowners and future buyers depend upon.  It can be argued that agents already take classes and pass an exam, but as a licensed broker I can assure you that my real estate college education was far from over after passed the final exam.

Sen. Clinton has started the snowball down the mountain, now let’s see what’s next.