Conservative
Type 40
I thought the Dems were the ones saying we needed MORE regulation by government, not less???
Dems Want Fannie, Freddie Overseer Out Over Resistance To Mortgage Write-downs | Fox News
Sounds like DeMarco has the right idea to me.
Dems Want Fannie, Freddie Overseer Out Over Resistance To Mortgage Write-downs | Fox News
A top regulator's unbending refusal to use troubled mortgage giants Fannie Mae and Freddie Mac to rescue underwater homeowners is whipping up a growing protest from liberal lawmakers and advocacy groups -- some of whom are now calling on President Obama to fire him.
The little-known Washington official, Edward DeMarco, is under pressure by the left to reduce mortgage principals for struggling borrowers. Nearly 20 Democrats in Congress along with groups like MoveOn.org have launched somewhat of a campaign against the head of the Federal Housing Finance Agency.
The lawmakers specifically want DeMarco to agree to write down principal amounts for struggling homeowners. The Van Jones-backed Rebuild the Dream, which is circulating a petition supposedly signed by 90,000 people, calls DeMarco the "number one obstacle to solutions for struggling homeowners" and a "right-wing ideologue" who sides with Wall Street.
DeMarco repeatedly has defended his agency's approach, which focuses on existing mortgage relief programs including recent refinancing opportunities. The agency pushes, among other options, forbearance -- which defers interest payments for portions of the principal.
At a recent forum hosted by the National Journal, DeMarco said the key to mortgage relief is to reduce monthly payments and relieve the strain on family budgets. He said forbearance -- as opposed to principal write-downs -- achieves that goal, and "preserves" taxpayer dollars in the process. Furthermore, he said the majority of deeply underwater homeowners are "current" on their mortgages, meaning they are willing to meet their obligations.
"This should be recognized and encouraged - not dampened with incentives for people to not continue paying," DeMarco said.
Sounds like DeMarco has the right idea to me.