It is no secret that we are facing a national foreclosure crisis in the United States. Many homeowners are struggling to make their mortgage payments and are worried how they are going to make it through the holiday season. As a result numerous states are considering a temporary moratorium on all foreclosures through January 2009. California Governor, Arnold Schwarzenegger has proposed a 90-day suspension for home owners that are currently in default but has allowed enough flexibility for the lenders to reject the ban under certain circumstances.
California is not the only state considering the ban: many others are following suit. Florida has the third highest foreclosure rating in the country with 30,190 filings in October 2008 alone. Florida Governor Charlie Crist is pushing hard for the moratorium but continues to have concerns over how it would affect the banking industry. Mortgage finance companies Fannie Mae and Freddie Mac announced a temporary halt on foreclosures and evictions shortly after the bailout measure passed. Connecticut Governor M. Jodi Rell has proposed the most aggressive ban yet. As part of a bill she has offered that would provide help to struggling homeowners, she would offer a six month ban on all foreclosures and evictions.
However, Florida Gov. Crist is still facing other challenges due to a growing revenue shortfall. Crist is meeting with state legislature to try to rearrange the state budget so that he will not have to raise taxes for Florida residents. The plan that he currently offered would require a four percent spending freeze contingent that it would not affect the public school system, teachers or recipients of state health aid.
The foreclosure crisis is affecting every state and financial institution in the country. We are only now starting to see the effects of it in our local neighborhoods. Many small businesses that were once successful have been forced to close their doors due to expanding overhead costs. You don't need to look very far to see the repercussions in your own community. Families that were once concerned about buying Christmas trees and gifts for their children are facing much more serious problems. Thousands of families across the country will not even have a home to spend the holidays in. Middle class families are showing up to food banks in record numbers and local churches are struggling to keep their pantries full. Admittedly the temporary mortgage ban will only place a band-aid on a very large problem, but it will take some of the stress off of struggling families during the holiday season.
Author Resource:-
Need Mortgage Help? Bill Morin offers FREE CONSULTATION for ANY Homeowner facing mortgage problems or foreclosure at www.NoMortgageStress.com
![[Valid RSS feed]](images/icon_Rss.png "XML Feed For RSS"){kind=icon}
Category Rss Feed
Print This Article
Add To Favorites
