New York (CNNMoney.com) - Five more states will receive federal funding to help troubled homeowners avoid foreclosure, the Obama administration announced Monday.
Last month, President Obama unveiled the Hardest Hit Fund, which pumped $1.5 billion into state housing agencies in California, Arizona, Florida, Nevada and Michigan. These five were originally identified because they had been hardest hit by the housing bust, with prices declining more than 20%.
Now, an additional $600 million is being doled out to the five states that have the largest number of counties suffering unemployment rates above 12%: North Carolina, Ohio, Oregon, Rhode Island and South Carolina.
"The goal for our second set of awards was to identify states suffering from high shares of populations living in concentrated areas of economic distress," said Alan Krueger, Treasury assistant secretary.
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Another waste of tax dollars. The government needs to let the market correct itself instead of propping up artifically high prices with our tax dollars.
Seems to me it would be fair for the President to look at how those state's representatives have voted on the Stimulus bill or on Healthcare Insurance Reform.
If they've not been with the President, should they get the money?
I know what the Republicans would not do [pun intended].
I wonder what's Sen. McCant and Mr. HAyworths position on this.
Hey, GOPers, don't you all have a direct line to God, or something? Now might be a good time to help the unemployed and economically challenged by cashing in on a chit or two.
Whining, stamping your feet, and throwing tantrums hasn't helped much in cleaning up the mess G.W. left.
What if your house has declined in value and you are not in distress. I do not understand why we help some people and not others. My home value has declined just like everyone elses. but because I did not overextend my ability to pay. I get nothing, while those who did, get a break. Seems like we are rewarding risky behavior again.
I am a real estate appraiser in Florida. Despite the good intentions of this program, I fear that it is postponing the inevitable. We are hearing that around 50% of these loan modifications end up going back into foreclosure for the SECOND time.
The question then arises: Do we try to help people out who are probably going to default anyway while at the same time adding to the national debt burden. If that is true then we are throwing money away. We have already seen interest rates go up in the bond market due to concerns about the federal deficit. Higher interest wil severely impact the fragile real estate market.
This is a very tough call.
I dare South Carolina to return the money. They don't want a BIG government take over. Let them handle this on their own.
Why are they giving it to Florida. All these politicians are out there badmouthing Obama and running against him, Bunch of looney toons here. I voted for Crist and he is being roasted by the teabaggers, older people for common sense.Florida needs to grow up not just old. This government is trying to help and that is a hell of a lot more than the republicans are doing.
Does this add to the already staggering deficit?...just asking...
Who is checking the following:
1) Did the homeowner lie on the original loan forms.
2) Did they take equity out of their house or get a 2nd trust to enhance their life style.
3) Are they illegals.
Many people are deserving of help and others not. I here nothing about sorting out the 2 groups.
I sincerely hope our demented Gov uses the money assist,re-educate,create opportunties. Its close to elections and they are really playing the hardball game here
Great, more welfare handouts I'll have to help pay for. Get a job people,get a job.