Report Says Homeowner-Aid Efforts Are Falling Short

By
Real Estate Agent with GreatWest Realty DRE# 00827565

 

 


For many real estate professionals the news that came out on Wednesday the 26th wasn't much of a surprise. 

Certainly we had wished that programs initiated by the Obama administration to aid troubled homeowners would be considerably more successful than they have proved to be.  Alas, they have not!

According to a report by Neil Barofsky, special inspector general for the Troubled Asset Relief Program began in 2008, housing programs that received funding, are failing to reach any meaningful measure of success.

The Home Affordable Modification Program continues to be struggling nearly two years after its inception.  Several newer programs are posting only meager results.

The disappointing results are being partly blamed on federally controlled mortgage finance companies Fannie Mae and Freddie Mac, which haven't signed up.  The Obama administration has continued to press Fannie and Freddie to participate, by writing down underwater loans.

There is a detailed report on these developments with broader statistics of these programs available at: "TARP Report Homeowner Aid Efforts are Falling Short?"

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Rainmaker
1,016,842
Gloria Todor
Century 21 Absolute Realty - Springfield, PA
& Doug Durren (484) 431-3686 in SE PA

Myrl, Too bad this is not working for the many who really need it. 

Gloria

Jan 27, 2011 12:19 PM #1
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William Johnson
Retired - La Jolla, CA
Retired Real Estate Professional

Hi Myrl, I don't think this was mostly any surprise to any one. Had they involved the real estate industry when they set up these programs , the bureaucrats might have a least some understanding of how to do it. When you something done right, it is always best to have the bureaucrats do it. Must be true because we keep doing things the same way and each time expect different results.

Jan 27, 2011 02:26 PM #2
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Jennifer Fivelsdal
JFIVE Home Realty LLC | 845-758-6842|162 Deer Run Rd Red Hook NY 12571 - Rhinebeck, NY
Mid Hudson Valley real estate connection

Myrl from the news report I have heard most of the distressed homeowners did not meet the criteria for the modification even though money was available.

Jan 27, 2011 03:07 PM #3
Rainer
355,790
Nina Rogoff
RE/MAX Executive Realty - Medfield, MA
Sells Real Estate!

Well, at least they're looking at these facts. Maybe they'll figure it out.

Jan 27, 2011 06:04 PM #4
Rainmaker
433,582
Kristine Ginsberg
Elite Staging and Redesign, LLC - Short Hills, NJ
NJ Home Stager

Myrl - As usual - big promises, small changes - politics as usual! Thanks for the interesting and informative blog!

Jan 28, 2011 07:00 AM #5
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321,461
Jack Mossman - The Nines Team at Keller Williams in Stockton
The Nines Team At Keller Williams - Stockton, CA
The Nines Team at Keller Williams in Stockton

Myrl ... The surprise would have been that it was working!  Homeowner aid ... didn't even get much of a rush in the State of the Union ... guess I wasn't paying attention ... apparently the crisis and the economy are now "things of yesterday!"

Jan 28, 2011 12:23 PM #6
Rainmaker
628,317
Mary Douglas
United Country Ponderosa Realty, Red Feather Lakes, Colorado - Red Feather Lakes, CO
REALTOR, Red Feather Lakes, Colorado

Hi Myrl, I'm not surprised at the news, but very disappointed in the results so far.

Jan 28, 2011 02:23 PM #7
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Barbara-Jo Roberts Berberi, MA, PSA, TRC - Greater Clearwater Florida Residential Real Estate Professional
Charles Rutenberg Realty - Clearwater, FL
Palm Harbor, Dunedin, Clearwater, Safety Harbor

I am also not at all surprised by this news! I don't know what it is going to take but something has to happen to help people keep their homes!

Jan 29, 2011 12:40 PM #8
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Myrl Jeffcoat

Greater Sacramento Real Estate Agent
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