Experts about New Mortgage Initiatives
New initiatives designed to help mortgagers in need, and stimulate the troubled economy, have been much spoken about lately. Experts tend to find a number of weaknesses in Obama’s Homeowner Affordability and Stability Plan and doubt that these initiatives can really tackle the current crisis. They say it is too expensive, time-consuming, and have limited access due to certain provisions and stipulations.
One of the serious weaknesses of the new initiatives they point out is that only borrowers with loans held by the federally-controlled and subsidized Fannie Mae and Freddie Mac will be eligible to refinance. Borrowers whose loans are held by private investors are denied this right. The housing market at present looks divided to define the government-selected winners and losers areas.