Federal Reserve’s Position on the Housing Crisis
The Federal Reserve continues to offer plans for owners of distressed real estate.
“The goal of the policy is to avoid preventable foreclosures on residential mortgage assets that are held, owned or controlled by a Federal Reserve Bank,” Fed Chairman Ben Bernanke wrote in a letter Tuesday to Rep. Barney Frank, D-Mass., chairman of the House Financial Services Committee.
Under the program, homeowners would be offered lowering the amount owed on the mortgage, reducing the interest rate or lengthening the term of the loan.