While the Undersecretary of the Treasury in the US still feels that the housing market is the number one risk factor for the economy, he cited the fact that increasing numbers of remortgages may stave off disaster. Hundreds of thousands of homeowners have been approved for remortgages through the Hope Now plan, but unfortunately, there are millions more that may be in need of a remortgage before the end of the year.’Housing remains the biggest downside risk to the economy right now, but we are seeing some signs of progress,’ said Undersecretary of Treasury for Domestic Finance Robert Steel. ‘We are working to limit the impact of the housing downturn on the real economy without impeding the completion of the necessary housing correction.”To be clear, our objective is not maximizing modifications; rather it is minimizing foreclosures for homeowners who want to stay in their homes and have the financial wherewithal to do so,’ he continued. ‘If investors choose to walk away because they put no money down and their free option is now worthless, we do not believe taxpayers should be held accountable,’ he said. ‘We are focused on helping homeowners who want to stay in their homes and have the financial wherewithal to do so.’
Related reading: Uncategorized
Comment on this article