State Governments Putting a Stop to Foreclosures
The US economy is on a tailspin. Unemployment is at its peak. As people lose jobs, even those with excellent credit scores are faltering on mortgage payments. Hence, foreclosures are at their peak.
The Federal Government had come up with a program by which loans of homeowners are being modified, first on an experimental basis, and then permanently. The program started off on a slow pitch. Now it has picked up pace. Yet the government has not been able to modify loans of 4 million people as agreed upon earlier.
Governors of various states are asking that lenders put a stop to foreclosures. That is because lenders have not followed the rules properly. Without verifying documents, they have approved documents. Even home sales have been stalled across the nation. Hence, buyers are left in the lurch. They do not know from where to buy properties. There is a scramble for living space across the US.
The government has also stopped foreclosure evictions. While this has helped many people, at the same time, it has stalled efforts to restore derelict properties. This has continued to affect certain neighborhoods in South Florida.
The nation’s 3 big lenders have decided to halt foreclosure. That is causing a tumultuous condition in the real estate industry. Experts say that people who were unaffected by the crash in the real estate market are now in a tight condition. Many of them want to buy homes but are not able to do so because of the government regulation. Even vacant homes can’t be cleaned as a consequence of this.
Take for instance, Norman Lachance. He has not been able to shift to a home despite having made the initial down payment. Lachance said, “I gave up my apartment because I was supposed to be in my home Oct. 1. I bought insurance, paid for an inspection, had the electricity turned on”. However, he was disappointed when he came to know that the property in Fort Lauderdale is on the do-not-call list.
Lachance says that he is very unhappy. Naturally, he paid $75,000 in cash, when he came to know that the closing has been canceled. He cannot even ask for his money as he will lose the hold over home. Lachance says that he does not know how long he would have to wait. The spokesperson of Fannie Mae Amy Bonitatibus said that she is not aware of Lachance’s case.
[...] and people are losing their homes. It is important now, more than ever, for people to know how to stop foreclosure in [...]