Solving The Foreclosure Crisis - 1291 Words

On its surface, the current foreclosure crisis appears to have erupted from a volatile mix of debt, deregulation, risk, and over-leveraging within the economy. This; however, is a merely symptomatic approach to the recession, and does not address its underlying causes. In order to truly solve the crisis of foreclosures, one must address the systemic deficiencies which allowed the crisis to originally form. In the housing sector, the foreclosure crisis can be viewed as the bursting of the housing bubble. Indeed, the economy as a whole around the turn of the millennium can be characterized by its bubbles, and any solution to the housing bubble must necessarily take into account the complex web of interconnections between each and every†¦show more content†¦In this way, an incentive is provided for cleaner, sustainable development, which has been hindered to the current day by its economic infeasibility. When taking a long term approach, however, one can see that any further entrenchment of the current fossil fuel status quo is ultimately infeasible due to its unsustainability. With true economic incentives in place for the development of green energy, new development in the future will take on a different character. A host of new industries will manifest themselves, moving the economy away from the old modes of production into an engine ready to take the United States through the 21st century. With the development of new jobs and reliable long term sources of income for the population will come the true economic growth and security needed to save peoples homes. The United States stature on the world stage has long been derived from its avant-garde status as a technological innovator --all GDP growth is born of technology; GDP is simply the adaptation of technology to marketplace. The fiscal mirages of the past decade are a product of the lack of incentives in place for fostering real, production based growth. Adopting a Graduated Energy Standard for the dollar not only provides an incentive for increasing economic output, but also pushes that new output in a forward-thinking direction. Because the foreclosures in the housing market are a direct symptomShow MoreRelatedSolving the Foreclosure Crisis 1107 Words   |  5 PagesSolving the foreclosure crisis is not an easy quest. In order to solve the crisis, it will take everyone getting involved. The banks and other lenders need to be willing to work with people who have been in their homes and need to have their loans restructured or refinanced. There should not be any more QUICK FIXES. Too many of the lending institutions are trying to put a bandage on an open wound. Instead of working with the homeowners, they are willing to put the residents out of the homes and thinkRead MoreSolving the Foreclosure Crisis 972 Words   |  4 PagesIn order to solve the foreclosure crisis, first we must identify and examine the reasons why people are going into foreclosure. The unstable economy which has led to the loss of thousands of jobs is the most obvious reason that people are foreclosing their homes. Without a stable and sufficient source of income, it is virtually impossible to pay back mortgage lenders. The first step we should take to solve the foreclosure crises is to create more jobs so that people can pay their mortgages on timeRead MoreSolving The Foreclosure Crisis Essay985 Words   |  4 PagesHome foreclosures have been a hot topic in recent months as the economy has been in a serious downfall with a very slow recovery process. There are many different philosophies and many people truly feel that we can recover from this. We can alter the foreclosure status by giving serious considera tion to the economic times and the types of mortgages that are available. Buyers must become more educated on the additional costs when getting a mortgage such as taxes, insurance, etc. The governmentRead MoreSolving the Foreclosure Crisis 1156 Words   |  5 Pagesâ€Å"Foreclosure filings were reported on 336,173 U.S. properties in June, the fourth straight monthly total exceeding 300,000†¦Ã¢â‚¬  Brooklyn, NY – December 30, 2009 Foreclosures continue to rise drastically across the United States due to the recession, and have effected, and continue to affect thousands of families and individuals every day. One aspect we must take into consideration is that most people are not informed of what foreclosure means, or the process, even those who are homeowners.Read MoreSolving The Foreclosure Crisis1012 Words   |  5 PagesThe current foreclosure crisis is affecting everyone in this nation. If people are not experiencing the crisis firsthand, they hear about it through family, friends, and their other social networks. Nonetheless, it is impossible to escape because the media is constantly showing coverage about it. People are becoming more aware and seeing how expansive the impact is through television, internet, print, and radio. Americans are quickly realizing the impact the foreclosure crisis is having on theRead MoreSolving the Foreclosure Crisis 979 Words    |  4 PagesOne way to solve the foreclosure crisis is to actually foreclose on every homeowner’s home loan, including the homeowners in bankruptcy, pre-foreclosure and post-foreclosure. The credit report of these homeowners should read as a recession in 2009 and it should not lower their credit scores. The banks should then match the previous interest rates to the interest rates of today and appraise each home and property at the value that it was assigned by its local tax assessor. By doing this it willRead MoreSolving the Foreclosure Crisis 1578 Words   |  7 Pagespotential loss breaks down as follows: Loss from sales price: $200,000.00 5% Commission: $10,000.00 3% closing cost credit: $6,000.00 Repair credits: $1,000.00 Foreclosure fees: $50,000.00 Total loss $267,000.00 Case number one: For those whose income has not had any major variations from the time they initiated their mortgage, but are finding themselves unable to continue their payments because of anRead MoreSolving the Foreclosure Crisis Essay1092 Words   |  5 PagesThe foreclosure crisis was one of the harbingers of the coming economic recession. This was the issue that shifted the focus of the 2008 presidential election from the Iraq War to the economy. As one can imagine, many individuals and families are currently hurting as a result of this foreclosure crisis. High unemployment rates and lack of job creation leave very few options for already struggling homeowners. Because the housing industry composes such a large part of the American economy and affectsRead MoreEssay on Solving the Foreclosure Crisis 969 Words   |  4 PagesThe current foreclosure crisis that our nation is experiencing has become a great hardship on many people in America. People that have lost their jobs due to cut backs, people with families for whom they need to provide shelter, people who are otherwise very responsible but have been put in a position from which they cannot escape, these are the people that are suffering. Normally if one could not afford to make payments on their mortgage, there would be ways for them to refinance their mortgageRead MoreThe Solving The Foreclosure Crisis933 Words   |  4 Pages The foreclosure crisis, which tragically happened several years ago, stole away the homes from countless Americans and left them high and dry. These Americans were not even neglecting to pay for their mortgage on purpose; the economy took a drastic downfall and took all of those unshielded Americans with it. Now, these Americans are left with many questions that are unanswered – until now. They still have the chance to improve their credit, test out their dream home, and thrive in the current reasonable