Washington, DC – October 27, 2011 – (RealEstateRama) — Today, Congressman John Tierney urged Acting Director Edward DeMarco of the Federal Housing Finance Agency (FHFA) to continue to take critical steps to prevent foreclosures and to push private lenders to provide relief. Earlier this week, the Administration announced that the FHFA would implement a series of policy changes that would allow more homeowners to access the Home Affordable Refinance Program (“HARP”) to refinance their home mortgage.
“The Administration took some positive steps this week to help homeowners whose home values have been eclipsed by their mortgage balances, but more remains to be done for other homeowners in danger of foreclosure – a way must be found to restructure some loans, refinance others, and provide principle relief where appropriate,” Congressman Tierney said.
“Today I join my colleagues in calling on Acting Director DeMarco to continue to provide homeowners with opportunities to stay in their homes, including applying pressure on private banks to do the same. Too many big banks are hiding behind ‘moral hazard’ arguments or capitalization concerns, and refusing to take commonsense steps to work with homeowners. Of course, these same lenders had no problem with ‘moral hazard’ when taxpayer money was used to bail out Wall Street. Mr. DeMarco should take immediate steps to ensure homeowners, regardless of who their lender is, have access to all appropriate options to stay in their homes.”
Following numerous demands for action from Congressman Tierney and his colleagues, the FHFA announced on Monday a series of changes to the Home Affordable Refinance Program (HARP) that will help more eligible borrowers refinance their home mortgage. Congressman Tierney was expected to meet with Mr. DeMarco this afternoon, but was delayed by votes in the House Education and the Workforce Committee.
