White House doubts need to halt all foreclosures

[democracy1st]

WASHINGTON – A top White House adviser questioned the need Sunday for a blanket stoppage of all home foreclosures, even as pressure grows on the Obama administration to do something about mounting evidence that banks have used inaccurate documents to evict homeowners.

"It is a serious problem," said David Axelrod, who contended that the flawed paperwork is hurting the nation's housing market as well as lending institutions. But he added, "I'm not sure about a national moratorium because there are in fact valid foreclosures that probably should go forward" because their documents are accurate.

Axelrod said the administration is pressing lenders to accelerate their reviews of foreclosures to determine which ones have flawed documentation.

"Our hope is this moves rapidly and that this gets unwound very, very quickly," he said.

With the reeling economy already the top issue on voters' minds, the doubts raised over foreclosures and evictions are becoming a political issue with the approach of Nov. 2 elections.

Underscoring those pressures, two leading lawmakers took opposing stances on the wisdom of a moratorium.

Rep. Debbie Wasserman Schultz, D-Fla., a top House Democrat, said she backed a foreclosure moratorium and government talks with the banking industry to concoct ways to let lenders reshape troubled mortgages. She said the foreclosure problem has been "extremely vexing" in her state.

The No. 2 House Republican, Rep. Eric Cantor of Virginia, said a national moratorium would remove the protections that lenders need.

"You're going to shut down the housing industry" with a national stoppage, Cantor said. "People have to take responsibility for themselves."

http://news.yahoo.com/s/ap/us_foreclosures_white_house

[Ruby the Liberal]

1. I would love to hear Mr Cantor's explanation to homeowners

as to how exactly they are to take responsibility when the lender can't find the note or files fraudulence documentation.

I'm all ears.

[phantom power]

2. The thought of halting foreclosures *everywhere* seems dangerous...

if mortgages became essentially unenforceable, who would issue them? And if nobody issues them, can anybody, anywhere, buy or sell a house?

You could say the banks deserve it (and I'd agree) but... Danger Will Robinson.

[dixiegrrrrl]

3. You KNOW the banksters have stempeded Congress via dire threats of economic collapse

unless they get Gov't cover-up.
Yeah, I bet lenders "need protection".
I wish when idiots like Cantor makes a remark like that, someone would ask " What protections for lenders are you eager to support?".

[stray cat]

4. Do DUers think freezing home sales nation wide is really a good idea?

[democracy1st]

5. we're talking foreclosures not home sales