LOAN MODIFICATION: A Wait & See Game - Part II

In my posting yesterday, I begun disscussing the prospects of homeowners in their attempts to get their Mortgage Loans modified and restructured. As I noted, some homeowners are of the opinion that things will work out for them once the President signs the bill in March.

At the end of that posting yesterday, I observed that there was a political aspect to the Stimulus
that needed to be factored into any determination as to what the final bill will be like that the President is to sign.

We are all aware that he has been making overtures to the Republican opposition in the Congress, in his effort to,one; bring a sense of biparatisanship to Washington, so that, two; he could move the country farther faster out of the devastating economic condition he found it in on January 22, 2009 following eight arduous years of Republican mismanagement.

It appears that the Republican opposition has decided that rather than being constructive, loosers that they are, would be obstructionist and make hard times harder for an already suffering public.

So, given whatever the pundits and "experts" postulate, until the bill is final as signed by the President, its not advisable to presume to "know" what the details are.

And remember, as I noted in my posting of 02/26/2009 there are certain tax consequences that even with a maximum $8000 refundable tax credit not everyone will be able to buy any home they want anywhere. A careful study of credible information now available will tell you that the program is directed primarily to housing that are located in local redevelopment and revitalization zone. Any casual look at where most foreclosure took place in any local jurisdiction will bear this out - it is in those areas that your $8000 tax credit will do you the most good - that is if you choose to move in those areas that may well be suffering from serious economic obsolescence (think you know where I'm going here?). Where have all the businesses gone...? To use a well known refrain.

Recalling again an earlier posting, 02/18/2009, it was noted that even the President said, that the " 'plan will not save every home' - in effect not everyone will qualify for loan modification..."
So lets continue to be hopeful as he, the President, that is, has asked us to be, while at the same understanding that you may quite likely not be one of those who can be helped.