Calculated Risk has a quick synopsis of all the government efforts to support house prices.
These attempts have been more or less a total failure, with the number of permanent mortgage modifications numbering in the tens of thousands while the number of foreclosures continues in the millions.
The best solution, namely allowing bankruptcy court judges to reduce mortgage principle, has been voted down twice in Congress.
So, prices will fall further, foreclosures will parallel the unemployment rate, and remaining homeowners who do hang on will become renters in practical terms.
Gorilla thinks: “Our leaders live in an empty house, they remain a wholly owned subidiary of Wall Street!”
Tags: housing