CPST1

In Defense of the Paulson Plan

In short, and beginning on October 1, the Housing and Economic Recovery Act of 2008 begins. It ends Septmeber 2011.

It enables an estimated 400,000 borrowers / home owners to refiance through FHA (Federal Housing Administration )

www.hud.gov/news/recov...

FAQ

Q: Will this law be a bailout for speculators, homeowners, investors, and lenders?

A: No. It is narrowly tailored to keep families in their homes. For example: ... www.hud.gov/news/recov...


Q: How does this law help neighborhoods that have been hit by the foreclosure crisis?

The law strengthens neighborhoods hit hardest by the foreclosure crisis by providing $3.9 billion in Community Development Block Grants to states and localities to buy foreclosed homes standing empty, rehabilitate foreclosed properties, and stabilize the housing market.


Q: Will this law reward families who bought homes they could not afford?

A: Many homeowners facing foreclosure were misled, were deceived, or were in other ways the victims of unfair lending practices.

www.hud.gov/offices/hs...