Monday, May 11, 2009

Gov't program Hope for Homeowners: FAIL

Another example of socialistic (read: statist) programs that sound grrrreat, but as usual, FAIL:
Nor are the "programs" trotted out by Obama (and his predecessor, to be fair) doing anything.  We recently learned that "Hope for Homeowners" made a grand total of..... wait for it..... 51 loans.

FIFTY ONE?  No, that is not a misprint:

Senior federal housing officials say that of 51 loans made under the program, 50 were made by Melville, N.Y.-based Lend America, and those 50 loans are being held up pending ongoing federal investigations. The officials, who insisted on anonymity because they are not authorized to speak on the matter, declined to offer specifics except to say anything from inadequate documentation to unethical practices could be the focus of the queries.

Remember, "Hope for Homeowners" was supposed to help four hundred thousand people stay in their homes.

The net closed loan count is fifty one over a period of six months.

Oh, and the reason for that article?  The company responsible for 50 of the 51 loans is under investigation by The Department of Justice!
Hat Tip:  Market Ticker

1 comment:

Anonymous said...

Hope for Homeowners Was signed into law and administered by the Bush administration. Obama had nothing to do with it.

The 51 loans and the failure of the program were known and reported about back in December. All the lenders/banks, except the few you mention, would not touch it. Instead they decided to hold onto their bad loans to see what the new administration would do.

Obama's plan that was announced in March is called Making Home Affordable. It has many fundamental differences with Hope and it is currently helping millions of homeowners. In fact, I think that if you took the time to compare both programs you would find Making Home Affordable much less "socialistic" than the original Hope program.