The exact destiny of the tax payer owned mortgage companies haven’t been decide yet, but proposals have been released. The Obama administration outlined three options for the mortgage giants that were bailed out by American taxpayers in 2008. The three proposals would eventually lead to the dissolution of mortgages provided by the lenders over the next five to seven years. The decisions to give out low quality loans led a large number of loan defaults and caused the crash of the real estate market in2008.
In the interest of providing low income families and individuals with home loans Fannie Mae and Freddie Mac created a situation where record numbers of people face foreclosure. The record numbers of unemployed has also led to the downturn in the real estate market. States where unemployment is high also have higher rates of foreclosures. States most widely impacted by foreclosure include California, Arizona and Nevada. A multitude of people were granted loans that they could not pay off and their homes are being taken away in staggering numbers, but that can be avoided with the expertise of a foreclosure lawyer.
Once a bank decides to foreclose on a home the owners have option to stop the process and a foreclosure attorney has the expertise necessary to advise the defaulted. Some lenders will restructure loan agreements or sell the home at a lower market value. Individuals who face losing their homes should immediately contact a foreclosure attorney.
