ONLY WASHINGTON CAN SAVE THE HOUSING MARKET

July 16, 2009

It's become all to evident that the banks and mortgage companies have positioned and insulated themselves against any financial losses that they might have experienced as a result of the collapse in housing prices. Worst of all, the collapse was totally due to these companies own actions, with implicit (and sometimes public) approval from Congress and no oversight from the SEC.

Mr. Frank, Mr. Baucus, Mr. Grassley, Mr. Dodd please investigate the refusal of most banks and mortgage companies to deal with homeowners in good faith. Large numbers of "loan modification services" have recently been found to be scams, again taking advantage of distressed homeowners. Homes that fall into the "jumbo loan" category aren't selling because it's nearly impossible to obtain financing, even with a huge down payment. "Short sales" are routinely being dismissed by these companies because they are sure they can make out better by forcing homeowners into foreclosure.

Even though these companies engaged in deception and were allowed to operate with no regulatory oversight, attorneys will not take on these groups to force them to face the music. Instead, they continue to operate in a manner that is beyond greed and now approaches a level never before seen.

Over 336,000 properties were foreclosed on just last month! When will someone in the Federal government stop this bleeding?