Hope for Homeowner Program is a Big Flop

Yes, unfortunately you're right! The end may be near.

jim

Yet another failed piece of legislation from Washington that was supposed to deal with the housing crisis.

They need to address the housing depression from two side, both supply and demand, and right now nothing they are doing is working.

I keep suggesting that they need to repeal that Tax Reform Act of 1986 as it pertains to passive loss and income limitations and give every American a tax incentive to invest in real estate.

Jeff, Thanks for the information. What would work in these times? It seems mometum is against progress and once something starts working momentum will pick up. But wehre to start?

i believe the window is still open on this.  The current administration will not mandate participation, but the incoming one may do just that.  Lenders are starting to wrap their mind around the need to work with home owners in distress.  Wee may have experienced a period where Lenders were not sure if they were able to survive and as a result need stabilization... well now we have some stability and support I am holding out on HOPE that the Hope for homeowners Program will begin to make a foot print within our economy.

I am hoping that the government will start to sort through things that aren't working once the new administration is in place.  I know this may be delusional on my part, but the current administration certainly has not shown me that anything they have put their mind to has actually worked!!!

It's a shame that this thing isnt workinig.  I would have made it mandatory for banks to use this program before lending them one dime....

A sinking ship will not float and the bail out was for big business and the rich, really not meant for the consumers, which however pay the most of the bills! Hope that the new President really means what he says!

Just got off of the phone with a home owner who first contacted us back in July and waited for this program... only to finally get tired of the hassles and the big let down. Unfortunately waiting around has cost them quite a bit...

Anybody who thinks that more government programs and more bureacracy is the solution is in for a rude awakening.

I agree with you Jeff!  Big flop!  I have found that those facing foreclosure have obtained the original loan with stated income is a major part that adds to the problem.

Oh, by the way "Go Pack Go!"  Next Season. :)

With all of the bail out $$ the banks received, participation in this program should have been mandatory.  BIG flop.

Very disappointing.  I hope something turns around soon.

big flop is an understatement. In their haste to government screwed the pooch bi time on this one. At this point they should have taken the 700 billion and divided it by every taxpayer and mailed the check with a thank you note. We would all be a lot better off right now.

They ought to change the name to "let's hope some lender's out that want to help homeowner", most just want to help themselves.

Nice to find another Eisenberg - a distant relative possibly

Glad to know.  I am going to remove it from my neighborhood newsletter.

I do not know of any of the government stimulus that has worked...do you?

Jeff,

Whatever Washington has so far presented hasn't done much good. Either the program is voluntary or then to qualify for assistance is so complicated that no one even bothers applying. A shame.

I agree.  And I've seen various comments on the news,for whatever thats worth, that basically say the same thing.  A flop

This is so sad, as a consumer ( I am a stager and, frankly, don't understand all the intricacies of the issues) it seemed so shocking - the way it came up and then was supposedly resolved so quickly.  You couldn't help but feel that it was a peremptory strike, not allowing for considered thought or planning.  They assured us that without this quick action, all would be lost - so where were they 3 months before when they could have afforded a bit of consideration on the matter? 

NPR did a story on it -- well worth listening to just how big of a flop it is -->

http://www.npr.org/templates/story/story.php?storyId=98409330

No surprise that Barney Frank was part of it's creation...

Excuse me everyone....but I am a struggling homeowner who applied to and was selected by lottery in Oregon state to recieve this assistance which is really considerable! It is just now being implemented....So it is not yet a FLOP! In Oregon it is called the

Oregon Homeownership Stabilization Initiative, www.oregonhomeownerhelp.org 

and so Far a sizable list of Banks and loan servicers have joined, and are supposedly participating.

BUT....for me who is unfortunate enough to have Flagstar as my servicer....They are not (yet) participating, counter to Jeff Eisenburgs post.  This is a God send for the 500 people in Oregon who had to show much documentation to qualify...you cannot be upside down on your loan...just must prove financial distress....and there are plenty of us. These fund originate from this program:

http://www.treasury.gov/initiatives/financial-stability/housing-programs/hhf/Pages/default.aspx

So unless you are a homeowner struggling to continue to pay your mortgage...you don't know how wonderful this could be. Yes the FLOP part is that the participation is Voluntary!?!?! It should not be voluntary....the funds are there...they just need to accept them on the borrorwers behalf! Flagstar's policies and tactics of dealing with their borrower's are demeaning, and abusive! Now they are about to inflict more pain by possibly not accepting the funds on behalf of the borrowers who were selected!

That is wrong! I am wroking on this...any insight or help would be appreciated!