An Attack on HEMP - the bad we have to fight

[davephx]

The Attack of HAMP
There are some saying HAMP is a waste of money. We need to counter this kind of typically Republican view.

Example Mark Hanson is in the mortgage banking business in wholesale and correspondence sales in residential mortgages. He has been on The Glen Beck Show and many others.

His blog includes:
Well it doesn't allow copying but...

He contends that HAMP is a waste of money and has no effect other than an artificial delay of foreclosures at a huge cost to the taxpayer. HAMP has effectively served as the longest foreclosure moratorium seen yet.

"Millions of underwater, over-leveraged zombie rental-homeowners squatting in their house because of a loan mod simply ensure the housing market remains a heavy and volatile asset class for years.

Obama-mod three month trials are expiring now. Those that don't make the trial go directly to foreclosure.

But the fact is that over the period of 9-12 months, most HAMP mods will fail based upon historic cure and re-default rates making HAMP the largest can-kicking experiment to date. When HAMP is acknowledged as a failure the only place left to go with be massive principal reductions, which will cause a whole new set of problems - about 3 trillion of them."

Source: blog | Mark Hanson Advisors

[flagirl4444]

Well, he's right. You can read the COP report to get the same information. The only thing I disagree with is that principal reductions are forthcoming. Never going to happen en masse.