A foreclosure of a home is a tragic thing, but there were many people who engaged in mortgage fraud, there were many people who didn’t really buy a home as much as they bought an investment that they knew they couldn’t afford banking on the appreciation and now they expect their neighbors to bail them out. When you’re struggling to pay your own mortgage, should you be forced to pay your neighbor’s as well?

I think right now, if you have a financial pulse, the people holding the note would like to work with you. They don’t want to pay the foreclosure costs. They don’t want to have to sell in this market. I think that there is this canard that somehow without a government subsidy that loan modifications would not take place. That’s just not true. Things are taking place. There are some people who have been victimized. We need to figure out a way to incent and help them.

One of the most important things we could do is repeal the huge automatic tax increase Democrats but in their budget, that would help a lot of people afford their mortgages. I still think there are a lot of legitimate issues on working with the servicers, I think there are certain legal impediments, but to have a mass tax-payer subsidy, my guess is that is not the way to go.

This entry was posted on Friday, November 21st, 2008 at 9:15 am and is filed under Uncategorized .