Posted on 03/04/2009 10:48:17 PM PST by Chet 99
Wednesday, March 4, 2009, 5:51pm EST
Castor, Martinez support Obama homeowner plan
Tampa Bay Business Journal - by Michael Hinman Staff writer
President Obama implemented his Homeowner Affordability and Stability Plan Wednesday, expected to allow some homeowners to refinance mortgages through a more streamlined process.
Congresswoman Kathy Castor, D-Tampa, said the plan will help nearly 10 million families restructure or refinance mortgages as a way to avoid foreclosure, allowing them to take advantage of new lower interest rates.
“Families need to know they have to call their lender right away,” Castor said. “Up until now, it has been very difficult to get lenders first to answer the phone, and then to begin a refinance plan. Usually, homeowners have to be three months behind in payments before they’ll even consider it.”
The Obama plan will allow between 4 million and 5 million homeowners who took out conforming loans owned or guaranteed by Fannie Mae or Freddie Mac to refinance their homes at a lower interest rate, even if they don’t have 20 percent equity in their homes — a typical benchmark needed for refinancing.
The plan also will create a $75 billion homeowner stability initiative to encourage lenders to bring down interest rates for households that spend a large portion of monthly income on mortgage payments, give $1,000 incentives to lenders for loan modifications and help reduce monthly balance reduction payments to homeowners by paying up to $1,000 annually for the next five years.
First-time homeowners already have a chance to receive up to $8,000 in tax credits for purchasing a home under Obama’s stimulus plan, and this new program will only strengthen a homeowner’s position, Castor said.
“This is a pretty strong one-two punch with the homeowner tax credit and the homeowner affordability and stability plan,” she said. “It’s exactly what we needed.”
The plan has even drawn support from across the political aisle. Republican U.S. Sen. Mel Martinez called Obama’s plan a “welcome step.”
“Like President Obama, I believe we need to help deserving people stay in their homes,” Martinez said in a statement. “Curbing foreclosures helps neighborhoods, helps communities and will eventually help the entire economy. I look forward to working with the administration to implement these ideas.”
Who determines who's "deserving"? How do they determine who's "deserving"? Is there a mark on their forehead?
They are deserving as long as they vote for the communists and agree to let the Constitution die.
Mel Martinez is nothing more than an embarrassment to the Republican Party and the State of Florida, and I have told him that to his face on several occasions! I can’t wait until his term is up!
This is a local thing. Some of the worst excesses of the housing bubble were in central Florida, and some of the areas with the highest rates of foreclosure are there too. Statewide elections are decided in central Florida, so both parties want to “help” that area.
why not just give these people 40 years mortages, in addition to lowering their rates, but don’t give them tens to hundreds of thousands off of their mortgages. these things have consequences.
economy gets better, then they can switch to a 30 year.
they made a bad investment that usually only brings a return of 4% a year.
40 year ought to lower their payments immensely.
Why not make the mortgage longer than their lifespans and call it rent.
I heard last night on one of the financial shows, that there were only 5 states that were really in trouble with mortgages. California, Nevada, Michigan, Arizona (I think)...but I know Florida was on the list.
Here’s an article from the St. Pete Times saying 1/3 of homes in the Tampa Bay area are “upside down” on their mortgages.
That being said, I know a lot of people who are upside down and are continuing to pay their mortgages on time, they don’t expect a bailout. I have several friends who after having lost their jobs, and going upside down on their homes, sold them and are living in rented condos (these are people who were well established in business, had jobs for years, but due to the downturn they were jobless and realized it was unrealistic to try to keep the home.) So their middle aged and starting over, so to speak.
All that to say, I’m not surprised Martinez is supporting it, or Castor for that matter (but Castor did vote against the original TARP bill.)
http://www.tampabay.com/news/business/realestate/article981265.ece
I don't want to "give" them anything. Why should I have to give them something? I played by the rules and now I'm supposed to give a large additional chunk of my money to speculators who did not play by the rules?
If people cannot afford to pay their mortgages, throw them out. Let the markets work.
Who put a gun to the head of these borrowers and forced them to sign their mortgages?
Who the hell is going to bail me out?
My Senator Mel Martinez is a disgusting human being.
Go push your amnesty b.s. you p.o.s. and take MY money away from MY family and give it to those who don’t deserve it nor worked for it.
Climb back under the rock you came from you filth.
I am well aware how ignorant, dumb even, Obama supporters are but how could ANY responsible homeowner vote for any legislator who supports paying for the 10% who aren’t responsible?
How could ANY legislator bend to the 10% instead of stand up for the 90%? Is there no tomorrow? Won’t these “chickens come home to roost”?
I just don’t get it? I have to pay my mortgage and theirs too? How long will America put up with this?
i totally agree with your sentiment, but rather give them freebies and special treatment that the rest of us don’t get, us responsible ones, if they exchange their mort. for a 40 year instead of a 30, it would lower payments without having to give them anything special, hell they would pay more.
i like you, play by the rules. i knew that i couldn’t afford a house, i rent. good thing, i was laid off and am still looking for a job.
i totally object to people to be given anything. there has to be a consequence, if they get to manipulate their loan where someone else, who’s paid their’s on time and has cut their own budget to manage their mort. can not, they are given a gift. there has to be a consequence. it needs to be like a BK and on their record for years, they should have a tax liability, etc.
in addition, many of these mort. are for illegal immigrants. they should get nothing but the boot.
good thought, it would work
“How do they determine who’s “deserving”? Is there a mark on their forehead? “
If they’re living in a house worth several hundred thousands more than they can afford, they’re deserving. You and I, who buy homes we can afford are NOT.
The $700,000 plus limit is obscene.
When I could no longer afford my NICE home, I moved to a cheaper one. THAT is how it’s supposed to work.
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