More Foreclosure Measures Unveiled

So far, the Obama Administration claims, the Making Home Affordable program has helped more than 55,000 Americans with loan modifications that might be helping to prevent foreclosure. However, those efforts may not be keeping pace with the growing rate of foreclosure in the country. 55,000 is a start, say some, but hardly a solution to a problem that involves millions of homeowners.

New foreclosure prevention measures revealed today

Timothy Geithner, the Treasury Secretary, and Shaun Donovan, the Housing and Urban Development Secretary, both announced new measures designed to help prevent foreclosure. The two main goals of housing market incentives announced today include:

1. Streamlining the process of property transfer when loan modification is not possible, encouraging quick private sales instead of foreclosure proceedings.
2. Protection against home prices declines, offering incentives to mortgage lenders to engage in loan modification in areas where home values have dropped severely.

It is clear that the current Administration feels that the housing market is a cornerstone of economic recovery, and is doning what it can to try and kick-start the housing market — or at least keep it from declining further.

image source: respres via Flickr