Proposed Solutions To The Foreclosure Crisis

1047 words - 4 pages

Foreclosure is a growing national disaster in the United States. Every time you tune in to your local news, there is a new family whose house is being foreclosed. Every time you ride around the neighborhood, there is another house up for sale. There are several solutions to this increasing trend including cutting government spending and cutting funds towards unsuccessful government programs, devising financial plans to assist families by setting up payment plans that they can afford, getting communities more involved, more stimulus packages, raising the taxes of the wealthy to lower rates, and easing the limits on section eight housing.
Cutting government spending and cutting funding to the government programs that are unsuccessful would solve a tiny piece of the puzzle. Cutting these programs would save essential money that can go towards building new housing projects or funding more programs that could possibly lower rates for the families that cannot seem to get by in this bad economy. Money spent on building unnecessary statues and gardens like those consistently being built to beautiful parks and other attractions can go towards more homes and roads that lead to them.
If more financial solutions were available to families, they would have more options to choose from and lower rates because of competition between the different companies. Competition is the strongest factor between quality and cost. If a new company specializing in helping families afford their rent or mortgage payments develops, they will offer solutions cheaper than the other companies currently in the market. This could also lead to more affordable plans for low-income families because most of the financial plans set in play require over thirty percent of a families combined income which takes away a large sum of their money which probably would have gone towards other essential things, such as the family’s bills or food. Which leads them to decide which is more important, the family’s food or house, thus they will hold off on their mortgage or rent with increasing ease until they have dug themselves into a hole they cannot get out of.
Communities are the best support towards a family fighting for their home. A community can provide support, compassion, money, food, clothing, and even more. In an effort to raise money, for example, one’s community can set up events such as chili cook-offs, garage sales, neighborhood football or basketball games, or even set up special accounts at neighborhood banks so other people who do not know the family can drop off items like canned goods and money like those whose house has been lost in a fire or other disaster. People love to go to basketball, football, and even baseball games. If neighborhoods would get together and get their kids involved by becoming members of the neighborhood teams, these games could work to benefit that community’s needy families.
Another solution the foreclosure crisis would be sending out more...

Find Another Essay On Proposed Solutions to the Foreclosure Crisis

Possible Solutions to the Foreclosure Crisis

1209 words - 5 pages The purpose of this writing is to analyze the foreclosure crisis and offer some solutions to keep people in their homes and satisfy the financial accounting records of the banking industry. With more lost jobs on the horizon and fluctuating adjustable mortgage rates, the foreclosure crisis continues to plague America. A recent report from the Mortgage Bankers Association reveals that 14% of loans are behind or in foreclosure. This is

Solutions to the Foreclosure Crisis: Refinancing

1056 words - 4 pages professionals to make the agreements with banks, and social workers or managers to determine eligibility, enforce community service requirements, and create new programs. These jobs would be created in areas with high unemployment and are therefore another positive benefit of the proposed legislation. Solving the foreclosure crisis will not be easy. The economic crisis has affected every American, and our government has already stretched itself thin trying to prevent further catastrophe. We must dig deeper however, at least for a short while, in order to save entire cities and regions from complete destruction.

Solutions to the Foreclosure Crisis in Cleveland

1572 words - 6 pages to highly foreclosure-prone borrowers.” Economic conditions and predatory lending in Cleveland have hindered the city from being able to effectively respond to the crisis. However, Cleveland has been successful in its property acquisition tools for revitalization, namely its city land bank. The use of the city land bank has been a key element in the successful efforts of community development corporations (CDCs), but as economic conditions and

Solutions to the Foreclosure Crisis and Beyond

1326 words - 5 pages Solutions to the Foreclosure Crisis and Beyond “Ster•il•ize : to deprive of the power of reproducing, as in surgically sterilizing cats and dogs.” Such is the definition of this word as listed in Webster’s Dictionary.(1) In looking at all the havoc the financial wizards of Wall Street have laid upon the global economy, it seems appropriate to review this term. Our society has been overcome with notion of “excess” in the past few years

Proposed Plan to Reverse the Current Foreclosure Crisis

1699 words - 7 pages Optometrists label 20/30 as imperfect vision, but soon, financial advisors will see 20/30 as the perfect vision for solving the worst home foreclosure crisis since The Great Depression. For obvious reasons, those on the verge of foreclosure are suffering; however, foreclosures negatively impact other parties as well. They cause major harm to surrounding neighborhoods and businesses, bring about additional foreclosures, and decrease home prices

Proposed Plan for Solving the Foreclosure Crisis

1376 words - 6 pages The foreclosure crisis that we are currently facing is a very complex issue that affects everyone either directly or indirectly. The sub-prime meltdown that peaked in the Fall of 2008, has had a ripple effect of ramifications felt to the far corners of the planet. The world has become such a global market that no one can claim immunity to the devastation of the foreclosure crisis. The procedures for dealing with the foreclosures vary from

Proposed Options for Ending the Foreclosure Crisis

1435 words - 6 pages I really didn’t know much about foreclosure. So I did some research. I asked many people of many different ages from eighteen to sixty-two. A lot of people said,“ Just pay the bill”, but that is often easier said then done. Some said they got in over their heads and were not able to get out. Some also said that their income and credit look good on paper but did not cut it when it came to paying their bills. Some told me their income had changed

Proposed Methods for Solving the Foreclosure Crisis

1519 words - 6 pages The media has cast the shadow of blame for the Foreclosure, on several different sources. The first of these sources is the mortgage banking industry itself. The reason being it’s poor credit underwriting. Wall Street is also in the shadow of blame for its collecting these loans and then selling them on Wall Street. And of course, the borrowers are also largely to blame for this catastrophe. They buy properties hoping to flip the houses for a

Proposed Options for Solving the Foreclosure Crisis

1062 words - 4 pages , non responsive should be held accountable to go forward with foreclosure and commend those who are responsive and responsible with compassion. Becoming unemployed is humiliating enough, and knowing you need a roof over your head to receive the food, heat, water you need to make the impression it takes to be hired for those few and far job opportunities that 30 other people also applied for. Everybody is feeling the crunch. Companies are

Solving The Foreclosure Crisis: Two Solutions

1416 words - 6 pages truly getting a grasp of his financial capacity. However, is it fair to put all the blame on average Joe who has no idea about how important the issue of buying a home is? This question is relevant especially since lenders make it seem so simple in order to trap Joe and make a quick buck, without being aware of how they affect the market. The Solution To solve the foreclosure crisis, two processes must be put into action: one to counteract the

Proposed Plan to Aid the Foreclosure Crisis and Improve the American Economy

2238 words - 9 pages Hard times lie ahead of us, and yet our best days are still to come. The purpose of the present paper is to elucidate the nature of the present foreclosure crisis, to examine its causes and to discuss possible recommendations for resolving an ever-growing rash of foreclosures, and to nurture a real, lasting recovery. Thousands of personal and family foreclosures are occurring every month as millions of people reorganize their lives

Similar Essays

Proposed Solutions To The Foreclosure Crisis In America

1815 words - 7 pages Foreclosure, the process of claiming the defaulted property to cover the cost of an unpaid debt, has hit America like a tidal wave. Considered to be a crisis and a major factor in the poor economic situation of today, there is no doubt that the current state of the housing market and the influx in foreclosures across the nation has had a dire impact on the American economy since the beginning of 2007. Strategies, policies, action plans, and

Solutions To The Foreclosure Crisis Essay

1004 words - 4 pages The foreclosure crisis is tearing away at this economy causing people to loose their house and be in national debt for long amounts of their life times. More people are filing bankrupt because they can’t afford to pay the adjustable interest rates that they set when signing loans for their houses. Now the economy is at a vast down turn, slowly turning up to becoming better internally, but still people are homeless due to their homes being

Solutions To The Foreclosure Crisis Essay

1111 words - 4 pages Federal Deposit Insurance Corporation, houses stopped selling, people were laid off in the financial industry, the stock market deteriorated, and realtors were not making any commissions because home sales stopped dead in their tracks. Worst of all people searching for The American Dream are facing foreclosure. I think that we need to get back to basics as far as the mortgage crisis is concerned. During the last 15-20 years there have been too

Proposed Solution To The Foreclosure Crisis

1310 words - 5 pages look at revitalization as a goal and focus on stabilization and a greater flexibility on funds where physical solutions to social problems exist. Only through greater participation from mortgage lenders on foreclosure counseling, enabling legislation to assist states with tax deeds, tax sales, the declaration of blight, the licensing of professional counselors and most importantly, the requirement of pre-purchase education and counseling, will we begin to solve the foreclosure crisis.