Foreclosures: Stopping the Crisis

An alternative would be for lenders to add a true customer service department which is not based on pay or get out, but is counseling based to keep Americans in the American Dream of home ownership. This would not only keep their customers for future business with new home loans, but would be noticed by neighbors and the community who are appreciative their home values are not decreasing. The lenders would counsel them through the sale by assisting them with getting the most they can for their home. By getting local community organizations involved to help with home repairs and curb appeal. Once the home is market ready and a dollar amount has been reached for these repairs the home owner will have to volunteer time and/or resources to assist another person going through the same situation. This would not only help the homeowner but will keep homes in the area selling at a fair market value and not bring down the values in their neighborhood. The assistance provided by the lenders and assistance from the community will help build their self confidence and make them feel like they are not alone.

There is by no means a simple solution to solving the home foreclosure epidemic but there are many changes that can be made to help Americans across the globe. The first, I believe starts

There are many interesting proposals to help homeowners who are in the process of foreclosure. Just recently, before the election, Senator John McCain proposed to the Treasury to spend $300 billion to purchase troubled mortgages at face value and then the “Federal Housing Administration would issue a new, federally guaranteed 30-year fixed-rate loan, based on the property's present value, at a "manageable" interest rate” (McKinnon, 2008). Under McCain's plan, the government would pay for the loans and take the whole loss rather than putting the responsibility on the lenders. His plan carries large benefits for the homeowners, but it will decrease

Foreclosure in America has been a rising and prominent problem recently, and has destroyed many Americans hopes and dreams. Over 2.3 million homes were foreclosed in 2008, and an estimated four million homes will be foreclosed by the end of this year. Despite the efforts of many banks and lending companies, over half of homes will foreclose that have received their help. I believe that we have only started in the right direction in solving the foreclosure crisis. Giving money and lowering mortgage rates will help, but I believe we should find out why Americans are in this situation in the first place. We are being too stereotypical when we think the only reason someone is foreclosing is because of irresponsible payments or buying a home

There are several issues that need to be addressed, to help solve this foreclosure crisis. The first issue is how the banks were clearly misled by the government, in a sense, that they approved clients for home loans they could not afford. They then took advantage of the late payments, and increased interest rates. We have seen firsthand what happens when people take advantage of the uneducated, ultimately everyone fails. We as a society need to stop dwelling on failure, stop preventing bankruptcy, and rather reward success through government guarantees. The United States government has already pumped billions of dollars into the US banks, but the money is not being used the way it was

For the last several years, the one issue that has been bringing the United States into a state of trouble that it has not been seen since the great depression has been the monstrous Foreclosure problem. Thousands of people have lost their houses. Thousands of people have faced the dangers of debt and chaos. Thousands of people lives have been ruined because of the mistakes that Americans have done in this nation. In order to solve the problem, one must take a look at how it started and how this depression began. Around eight-nine years ago, the market in housing caused many people to chase after it. This caused a mistake of creating a domino affect that has hurt banks from lending out the high amount of money to people and finding out

In unison with freezing foreclosures, new jobs need to be created. The President needs to work with Congress, and leading experts to set up a work program in which tax-dollars trimmed out of the budget are allocated to the Refurbishing of American Infrastructure. Our roads and bridges should be repaired, our water and sanitation systems should be made state of the art, and significant incentives should be given to private companies to build Nuclear power plants and windmill arrays across the nation. All these things are fully feasible, and would provide jobs for thousands of unemployed Americans.

The foreclosure crisis in America can only be resolved by every American citizen working together to build a stronger America by changing the way we make decisions for expenditures in our lives. We must stop overextending ourselves beyond our economic means. The foreclosure crisis of America has been caused by Americans borrowing money to purchase a home that they cannot afford. Lending agencies have allowed Americans to borrow more money to buy a home than they can afford. Each lending agency seemingly used logical reasoning that if they did not lend the funds to the homeowners, another agency would. The foreclosure crisis was caused by homeowners, businesses, banks, and even the government. The economic recovery depends on not

The best solution to the mortgage crisis America is facing today is both easy . . . and difficult to execute. The solution is two-pronged: change the American philosophy on consumerism and debt while also making concrete changes in the way the lending industry works. Both demand taking a long-term view in order to be successful.

In the state that the economy is today, this problem is increasing on a daily basis. In my opinion, banks could do a lot more to help ensure that people can stay in their homes. Even if something unfortunate happens, like job loss or having to take an extended amount of time from work, people should have some sort of safety net. My suggestion is that banks provide mortgage insurance with every mortgage. This would be a certain percentage of the mortgage being put aside in a “savings” for those uncertain times. For example, let’s say that a person pays $750 dollars a month for their mortgage. The bank would take, about $150 dollars of that and put in an escrow account. This account is set up for emergency situations that pertain to the mortgage only. If a person gets laid off, they could use the money from this account to pay their mortgage until they get called back to work or find another job. Or, if a person only has part of their payment for the month, they can use some of the money from this account to help compensate for the portion that they miss. This account will also allow people to deposit extra money if they can. If a person gets a large tax check and they want to take a portion of it and put it in this account, they bank will hold on to it for them. This money will be there to help more people keep their homes. If a person never has to use this money, and they decide that they want to

Banks now offer programs to help homeowners/homebuyers, but many times, these loans are often hard to obtain. The current programs have more stringent requirements that are unreasonable for distressed homeowners. In my opinion, the only way to rectify the foreclosure issue is to make a substantial change in how potential homebuyers and homeowners obtain loans.

I have what I believe to be a viable solution to the foreclosure crisis. I am almost certain that, if implemented, it would work. We need social services reform. I hesitate to say this, because it may come off as sounding too radical, but desperate times call for desperate measures. Simply put, if something fails, we must look at the overall picture and see what may be wrong—we need to troubleshoot the system. To me, and hopefully to most Americans with any interest in the future of our nation, it is obvious that all is not well. Looking at our society and our government from a somewhat macro- standpoint, what I see is many areas of inefficient and misguided allocation of social service funding. In the recent past, in better times, during

Foreclosure is a topic that is very near and dear to my heart. I must admit that it happened to me and the experience was life shattering. Like many first-time home buyers, I was ecstatic to have a home to raise my children in and to hobble up the stairs in once I reached a more mature age. However, I that dream fell apart after I lost my job as a manager and my husband left me. I was now stuck with a mortgage that I could not afford and I was paralyzed with fear. After failed attempts of finding a renter that would live full-time in my coastal town, I lost everything. I was overcome with shame. I moved as far away as I could from my beautiful home and resigned myself to a life of grief as my credit score plummeted into a seemingly bottomless pit.

Through analysis by several informed sources, this problem can be explained using tangible examples as well as theoretical implications. Research has also been done on what is standing in the way of allowing mortgage loan modification and how to best resolve them. Foreclosure has infected the American people with fear for the past three years, and it has severely affected both our economy and our communities. It is time a solution was solidly agreed upon, and mortgage loan modification has the merit to achieve results.

The United States economy has been in trouble for the past couple of years. The foreclosure crisis is a condition that began due to the inability of homeowners to pay their mortgages. Foreclosure is a legal proceeding whereby a lender obtains a legal termination of a debtor’s right to redemption. The foreclosure rates have been increasing for a considerable period and certain steps have been put into place to solve the problem. While the government, financial institutions and the general public are highly aware of the crisis, the steps taken to combat the problem are still not sufficient as the foreclosure rates are still increasing.