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Comment on New Bailout Plan, Paying The Neighbor’s Mortgage, Rallies Market by jay
['Douglas A. Mcintyre', 'John Seetoo', 'Sep', 'Rich Duprey', 'David Moadel', 'Omor Ibne Ehsan', 'Chris Lange']
Comments for 24/7 Wall St.
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The market rallied strongly into the close on news that the Administration was planning to offer financial help to deserving homeowners who are falling behind on their mortgages.
According to Reuters, “The Obama administration is hammering out a program to subsidize mortgage payments for troubled homeowners who have gone through a standardized re-appraisal and affordability test.”That means some taxpayers will be helping cover the mortgage of the person who lives next door to them.
In a perverse way that works out.
A foreclosure hurts the value of every home in its neighborhood.
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