Image by Getty Images via @daylifeWall Street was swift to react to the foreclose mess. Last Thursday investors dumped stock of many of the financial institutions involved in the foreclosure fiasco. At this point investor confidence is still low. Bank earnings and the fragile housing market will take a direct hit. Since 2007 house prices have been falling and foreclosures are reaching almost 3 million homes.
The White House has said that it is against a national moratorium on foreclosures. It expects that the banks will speed up the process and get their internal reviews completed in a matter of weeks rather than months. Once the problem has been corrected, regulators will be watching this issue closely to make sure it is not repeated any time soon.
"As institutions are determining their next steps in addressing these issues, we remain committed to holding accountable any bank that has violated the law," White House spokesman Robert Gibbs said in a statement. "In addition to strongly supporting the investigation by the state attorneys general, the administration's Federal Housing Administration and Financial Fraud Enforcement Task Force have undertaken their own regulatory and enforcement investigation into the foreclosure process."
It is imperative that this issue be resolved as soon as possible. Remember that bank owned real estate (REOs) accounted for 30% of real estate sales in September. So this is a significant portion of the real estate market that is sitting in limbo.
Related articles from House Refinance Center
National Foreclosure Moratorium
Bank of America Restarts Foreclosures
Helping You Avoid Foreclosure
Fannie Mae Sets Timeframe For Foreclosures
"As institutions are determining their next steps in addressing these issues, we remain committed to holding accountable any bank that has violated the law," White House spokesman Robert Gibbs said in a statement. "In addition to strongly supporting the investigation by the state attorneys general, the administration's Federal Housing Administration and Financial Fraud Enforcement Task Force have undertaken their own regulatory and enforcement investigation into the foreclosure process."
It is imperative that this issue be resolved as soon as possible. Remember that bank owned real estate (REOs) accounted for 30% of real estate sales in September. So this is a significant portion of the real estate market that is sitting in limbo.
Related articles from House Refinance Center
National Foreclosure Moratorium
Bank of America Restarts Foreclosures
Helping You Avoid Foreclosure
Fannie Mae Sets Timeframe For Foreclosures
Posts
thats the nicest thing i read today..wonder what would be the responses of the banks
ReplyDelete