The Chosen
Nov 11th, 2008 at 8:18 pm by Susie
Only a relative handful will get help, huh?
WASHINGTON — The Bush administration on Tuesday announced another plan to modify what it thinks will be hundreds of thousands of distressed mortgages held or backed by mortgage finance giants Fannie Mae and Freddie Mac.
But the plan, more than 15 months into a deep nationwide housing slump, is far short of the moratorium on foreclosures sought by President-elect Barack Obama and the Democrats who next year will have stronger control Congress. It would help only a relatively small number of homeowners whose loans Fannie Mae and Freddie Mac packaged and resold to investors as so-called mortgage-backed securities and a still smaller number of homeowners whose loans Fannie Mae and freddie Mac have kept on their books.
In a briefing conducted on the condition of anonymity, officials involved in the plan acknowledged that it might reach only 200,000 or so homeowners next year. That’s a fraction of the 2.8 million who are thought to face foreclosure this year.
