Obama Plans to Stop Foreclosures

President Obama's new stimulus plan has a portion designed for the homeowners of America who are facing foreclosure on their homes. This plan will help homeowners to refinance at a lower interest rate. If they are still unable to save their home then they will be able to reduce the mortgage debt. Either plan will lower their monthly payments.

Without such intervention banks are offering to work with homeowners to reduce interest rates however the homeowner may still face the weight of the back balance due as well as any late taxes. This stimulus will have help for the bank and homeowner so that the loss is not felt by both but a win win is able to be created. The bank is able to hold the mortgage and the home owner is able to stay in the home with a mortgage payment that they can afford. The details of how this plan will work are still sketchy but the nation holds their breath hoping that this will bring relief.

This plan brings much hope to home owners across the US that have been facing the risk of home foreclosures. This plan should also bring relief to the states as the foreclosures are particularly affecting the state and local governments which rely greatly on property tax revenue. The state and local governments need help addressing the foreclosure issue as the foreclosures cause the assessed values of homes to go down in neighborhoods and towns which effects the tax revenue as well.

This hope is not just effecting the home owner it effects whole towns as they provide schooling and busing for children through taxes as well as fire and police safety. As a nation we look with hope at the stimulus preparing to see a difference in the next year as individuals are helped which will help the towns and states of these homeowners.

There are voices of opposition. Some of those voices are complaining that its not fair that those who are struggling to pay their mortgages have no relief or help when those who have failed to pay their mortgage get the help. Mercy is key component in this stimulus. These homeowners need mercy. As a nation we need to not point out what the homeowners did to fail but rather what we can all do to help. This is nationwide and pointing fingers and saying its not fair is not going to solve this problem.

With a clear bipartisan mind we as a nation must choose to offer this hand to those who need help. The foreclosure plan is one of a three part plan designed by President Obama to stabilize the economy. The cost of this plan is hundreds of billions of dollars. Arizona is one of the most effected states by foreclosures. There are homes there and in other states that now sit vacant. Neighborhoods now have eye sores in their midst. Grounds and homes are often not being cared for and neighbors are complaining.

To stop this dilemma before it spreads is a God send. We need help as a nation and now is not the time to say too bad to the homeowner. The truth is that if homes foreclose it effects the whole neighborhood, which effects the state, which effects the nation. Lets stand together and see the solution to this problem one house at a time.