Unemployed with FHA mortgages can stop making payments for up to a year

[tsai3904]

http://www.bloomberg.com/news/2011-07-07/obama-administration-extends-foreclosure-programs-for-unemployed.html


Unemployed homeowners with mortgages backed by the Federal Housing Administration or participating in a federal foreclosure prevention program will be given up to a year of forbearance on mortgage payments, the Obama Administration announced today.

Banks must increase the amount of time delinquent homeowners who are looking for work can gain relief from paying their mortgage from three or four months to at least 12 months, U.S. housing regulators said. Unemployment is a top reason borrowers fall into arrears.

A few months is “inadequate for the majority of unemployed borrowers,” Housing and Urban Development Secretary Shaun Donovan said. Sixty percent of the unemployed have been out of work for more than three months and 45 percent have been out of work for more than six, he said in a written statement

More at link above.

[anaconda]

On the backs of the taxpayers.

[Zippyjuan]

Taxpayers aren't subsidising it. The amounts, including interest, get added onto their mortgage balance.

The unpaid payments are added to the cost of the loan and must be repaid with interest.

[Travlyr]

When the truth is known, most mortgage holders lost their ability to foreclose on homeowners when they bundled the mortgages up and securitized them. Very few banks can produce the original promissory note.

[tsai3904]

Taxpayers aren't subsidising it. The amounts, including interest, get added onto their mortgage balance.

Taxpayers, through the FHA, are taking the risk that the homeowners won't live for free for a year and then let the banks foreclose.

[Dianne]

I think the reason for this is that 85 to 90% of all mortgage foreclosures have been done so fraudulently by the banksters, and they are trying to bring the bank lawsuits to a halt. People with no mortgages have been foreclosed on, and houses emptied.

Here's the deal with almost all foreclosures. Countrywide aka Bank of America, for example, gives you a home loan then immediately sells it to some securities trust (usually foreign interests). Bank of America is therefore paid handsomely for your loan. BOA aka Countrywide decides to sell the same mortgage to about three more securities... They get paid four times for your mortgage. They never send the promissory notes to the trusts they sold your mortgage too, just in case they want to sell it for a fourth time to another group of suckers. Broken Chain in title... notes must always stay with the holder. Then the beauty of their scheme is if you miss a mortgage payment, they steal your home with manufactured and forged documents and claiming they are your note holder on fraudulent court documents. They auction off your house and get paid for a fourth or fifth time. The government steals your money (aka taxes, and borrows a trillion or two more from China) to bail out those whiney little Trust Accounts (securities) that just took a big hit from the banksters. All's good... the banks stole your home and profited from it four or five times... the US taxpayer lost their homes, lost their jobs and are left with the price tag of corruption, greed, theft, rackateering, ponzi schemes .... all complements and under the watch of the U.S. Federal Government and of course, the Federal Reserve.

[Zippyjuan]

Not exactly. Yes, the mortgage issuer can resell the mortgage which can get packaged into a security and that security can get bundled with other securities into another bundle- in this way it is getting resold- but they cannot sell the same mortgage four or five times by itself.

[Dianne]

When the truth is known, most mortgage holders lost their ability to foreclose on homeowners when they bundled the mortgages up and securitized them. Very few banks can produce the original promissory note.

Absolutely !!! It's unimaginable to me that more people in this forum are not abreast of the absolute rape and theft of real property. I've brought it up before, but no one really seems to care. The banks can't produce a real promissory note because they have to stand behind their lies that the notes were sent to the security (stock investors) they sold it too. It's like selling your car to six different people, collecting their money and never giving anyone the car.

http://www.huffingtonpost.com/2011/06/06/foreclosure-fraud-20-billion_n_872207.html And 20 billion won't even cut it... Almost every home foreclosured on was done so fraudulently which could result in treble damages for current and prior homeowner's who sue.