On the surface, North Carolina’s plan to use $159 million in Troubled Asset Relief Program funds to help homeowners facing foreclosure gets high grades.
So far, however, the federal bailout initiative’s actual impact has received only mixed reviews. Critics say only a small percentage of participants have benefited.
The program includes:
-- “Rescue Payment Assistance” designed to help homeowners who have missed payments and are at-risk of foreclosure.
-- “Partial Payment Assistance” to help unemployed homeowners not eligible for loan modifications get up to $15,000 in forgivable loans.
-- “Modification Assistance” to help homeowners seek more affordable payments or reduce what they owe.
“Transitional Assistance” to help people move to residences they can afford.
Unemployed applicants must show that they’re actively looking for work but can’t find it or are pursuing training that will help them find jobs. And targeted counties with unemployment rates of 12 percent or higher will be eligible for additional aid.
Preventing home foreclosures is critical in an economic recovery. A wounded real-estate sector drags down the rest of the economy. By reducing the number of foreclosures, troubled neighborhoods stabilize.
Given TARP’s dubious track record, doubts linger. Yet this latest initiative still has potential to succeed."
Greensboro News & Record Editorial Board
The ultimate result of shielding men from the effects of folly
is to fill the world with fools.
Coined the phrase “Survival of the fittest”
Does the Greensboro News & Record Editorial Board
want to temporarily stabilize the economy,
by borrowing from the relatively younger and their children,
who may not reap the prosperity of their parents?
is that you eventually run out of other peoples money.
Is a more stable real estate market and local economy in the short term,
in the best interests of the Greensboro News & Record?
Statements by high officials are practically always misleading,
when they are designed to bolster a falling market.
Gerald M Loeb
Don't steal from my kids