More Households Benefit From Loan-Mod Program (Taxpayers HARPooned to tune of 75Billion$)

wsj online ^ | 2/18/2010 | james hagerty

[milwguy]

The U.S. Treasury said its foreclosure-prevention program has cut mortgage payments for about 947,000 households, at least temporarily.

HAMP, announced a year ago by President Barack Obama, gives lenders incentives to help struggling borrowers avoid foreclosure by shrinking their payments through a reduction in the interest rate to as low as 2%. In some cases, loan terms are extended to 40 years.

Participants first are given three-month "trial" modifications. If they make payments on time and meet other requirements, including documentation of their income, they are given permanent modifications. As of Jan. 31, about 116,000 borrowers had such permanent fixes, up 75% from a month earlier.

[milwguy]

The HARP program is a cornerstone of Obama's redistribution, er, 'stimulus' program. Up to 1.7 million taxpayers are eligible to take part and doesn't it sound swell that Uncle Sam is 'forcing' those evil banks to rework the poor undocumented illegal aliens predatory mortgages.

King Barack has committed 75 BILLION $ of yours and my tax dollars to this noble effort. So far 116,000 lucky homeowners have gotten this sweet deal. By my calculations if ALL 1.7 million of those eligble got their mortgages reworked it would only cost Uncle Sam $44,117.64 per mortgage. If half got them reworked, the cost rises to $88,234 per mortgage.

First we hear about the boondoggle 'weatherization' program being run by the Energy Dept, and now this. No wonder people are crashing planes into buildings in frustration with an obviously incompetent or corrupt bureaucracy.

[cranked]

Despite the fact that foreclosures continue to rise......

[mapmaker77]

According to Dave Ramsey, this program is so tied up with red tape and the beauracracy that almost no one can actually get a modification.

We’re from the federal government and we’re here to help you. NOT!

[HereInTheHeartland]

“The HARP program is a cornerstone of Obama’s redistribution,”

I think you mean HAMP. HARP is a sister program that shouldn't be costing the taxpayers very much.
HARP allows the refinance at market rates for homeowners who have seen their property values drop.
It is for borrowers who are current on their mortgage and just want to refinance to a lower rate.

[FerociousRabbit]

Maybe I will just become a Democrat. Then I can sit back, watch Spongebob and Chris Matthews all day and not have to worry about a thing.

I can collect unemployment, food stamps, welfare of every kind... I can also have the government pay for my house and even weatherstrip it for me. I could even not pay taxes and get back the money I never had to pay in.

Then I can look forward to the day that I can have all my medical bills paid for and eventually collect my social security and get my prescription drugs for free.

Gee, just imagine if all those idiot conservatives finally saw the light and became Democrats too — then everyone could get everything in life for free! Wouldn’t that be great? No one would ever have to work and no one would ever want for anything. If only those evil conservatives would see the light they could join Democrats in realizing this perfect world within our reach. /s/