Help for Homeowners Facing Foreclosure

November 20, 2008

Everyone seems to agree that flooding the market with empty, foreclosed homes does not help neighborhoods maintain stability – either as a way of living, or regarding the value of homes. Empty homes do nothing for a neighborhood.

Recently some organizations are taking tentative steps to allow homeowners who are defaulting on their mortgage to remain in their homes –at least for the time being.

Fannie and Freddie Mac have announced that they are freezing foreclosure sales until after the new year while they review strategies and the future of their organizations. J.P. Morgan Chase & Co. and Citigroup Inc. recently announced foreclosure-prevention programs that aim to reduce interest rates, extend repayment schedules and, in the case of Citigroup, reduce loan amounts, to help borrowers keep their homes. But the programs have focused primarily on loans wholly owned by those companies because they feel they have more authority to rework those mortgages.

HSBC is also making more options available to more people. For example, it is contacting customers before their adjustable-rate loans reset to higher rates and freezing the current rate or allowing the borrower to pay a rate below what the new rate would be. The bank also is lowering fixed rates for selected borrowers. All this in an effort to stave of foreclosures.

One way of stabilizing markets where supply exceeds demand is to regulate supply. That way the people who can buy homes can buy from sellers who can’t afford to stay in their current home. But, amazingly enough, new home construction is still going on – even in saturated markets. Merrill Lynch economist David Rosenberg suggests, only half-jokingly, that the Treasury should impose a moratorium on home building. "It sounds like lunacy, but we have to destroy the housing capital stock to help put a floor under the market," he said.

As of 11/22/09 the Mike Jameson RePage is ranked at 1,777 with 80 points.
The monthly top RePage owner will receive a cash prize. Help this agent by bookmarking this site and posting it to blogs and other Web pages and encourage others to visit.

Local Information for Union, CT

Other Area Cities: Ellington Stafford Tolland

Enter our Photo Sweepstakes and Win $200 for your Stafford photos!

To see random photos for other cities Click Here.

Submit your photos of Stafford and become eligible to win $200. Click Here for details.

Stafford is a town in Tolland County, Connecticut, United States. The population was 11,307 at the 2000 census. Stafford was settled in 1719. The Colonial Town of Stafford began almost 300 years ago as a rural agricultural community. The easy availability of water power from the tributaries of the Willimantic River led to industrialization, and this abundance of power helped generate local population growth. By the mid-1800s, Stafford was connected by railroad to markets across New England, and before the State Highway projects of the 1920s and 1930s, the town had a trolley connection to Rockville, CT. -- Source: Wikipedia.com

Connecticut 2000 Census Population Profile Map

Census data is not available for this city
Visit US Census