Brookstone Law, Pc: Obama’s Housing Strategy Is a Red Flag for Property owners Looking for Relief


Newport Beach, CA (PRWEB) November 05, 2011

Though the Obama administrations recent efforts to assist home owners could bring relief to millions who owe a lot more than their houses are worth, the measures getting regarded as by Washington are clearly made to benefit banks more than homeowners, according to Vito Torchia, Jr., managing attorney of Brookstone Law, Pc.

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The Presidents proposal is purely political and will possibly enhance spending a lot more than avert foreclosures. He intends to placate the Banks at the expense of homeowners who clearly need to have loan modifications, which banks have been reluctant to provide, stated Vito Torchia, Jr.

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According to media coverage, the collapse of the housing industry has left an estimated 11 million Americans owing more on their mortgages than their houses are worth. Although about 70% of those borrowers have loans with interest prices higher than are available today, their lack of collateral prevents them from refinancing into new, much more cost-effective loans.

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It is becoming increasingly apparent that home owners with out expert legal counsel are going to have to deal directly with banks that are empowered by the government to supply solutions not most likely to give home owners what they need to have, mentioned Vito Torchia, Jr.

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Current media coverage shows that though a reduction in monthly payments could avert some property owners who aren’t in default these days from going into foreclosure, experts anticipate an estimated two.2 million borrowers to shed their properties in 2012.

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If the Presidents plan is intended to support property owners who are beneath water, assisting the Banks while pushing more than two million people over the cliff is clearly the incorrect way to do it, said Vito Torchia, Jr.

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According to media coverage, lenders could reduce their losses significantly by modifying mortgages to reduced the month-to-month payments of defaulting borrowers, but Banks are doing so due to the fact it lowers their bottom line income.

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There’s no shortage of home owners whose property values and incomes have collapsed via no fault of their own even though lenders claim there is a moral problem in bailing out borrowers who can’t pay off their debts. This is ludicrous taking into consideration the Banks pushing of toxic loans, then regularly victimizing hardworking people all through the nation trying to hold their residences as has been effectively documented in the media, mentioned Vito Torchia, Jr. This clearly shows the Banks dont care about customers, who need to have powerful counsel in order to safeguard their rights when dealing with the Banks.

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Recent media coverage has incorporated reports that FannieMae, FreddieMac and most national banks have refused to participate in a California system that delivers to spend half the price of principal reductions for lower- and moderate-revenue home owners with a demonstrable hardship, such as a extreme illness or a layoff.

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If they wont help low income property owners with hardships, it is apparent they wont aid other property owners suffering from the toxic loans, lack of due diligence and wrongful foreclosures for which the banks are initially accountable, said Vito Torchia, Jr. Home owners attempting to save their houses are at greater risk than ever of not being capable to repair the troubles brought on by the banks that threaten them with the loss of their residences.

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According to media coverage, state prosecutors from about the nation are pursuing mortgage fraud claims against the key banks and might persuade them to commit billions of dollars to writing off some of the debt owed by borrowers.

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Fannie and Freddie, which have already been rescued by Washington, want to support homeowners beneath water, but if their consistent leaning towards a solution that rewards the banks at the further expense of home owners continues the victimization of millions of men and women in our country who are just trying to hold their properties, stated Vito Torchia, Jr.

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ABOUT BROOKSTONE LAW, Pc&#13

Headquartered in Newport Beach, Calif., and with offices in Los Angeles, Calif., and Ft. Lauderdale, Fla., Brookstone Law, Pc is a law firm comprised of attorneys with expertise and success in organization, corporate and personal finance, employment, entertainment and media, art and museum, intellectual house and actual estate law. The firm has a network of a lot more than 40 affiliate attorneys nationwide and employs extremely educated specialists, paralegals, paraprofessionals and administrative employees devoted to serving clientele. For data, call (800) 946-8655 or visit Brookstone Law.com (http://www.brookstonelaw.com).

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