Reply #33: He has a targeted plan

[sandnsea]

Obama will create a Foreclosure Prevention Fund to help people facing foreclosure stay in their homes and renegotiate with their lenders or sell their homes. The Fund will not help speculators, people who bought vacation homes or people who falsely represented their incomes. Given the downturn in the economy, Obama has called for immediate creation of this $10 billion fund as part of his economic stimulus package.

The Fund will:
�� Dramatically increase emergency pre-foreclosure counseling resources.
�� Allow families facing foreclosure to responsibly refinance their mortgages by working through the
Federal Housing Administration, Fannie Mae and Freddie Mac. Resources will also be provided to
these agencies to develop new loan products that are more flexible and enable distressed borrowers
to refinance on terms that enable them to keep their homes.
�� Assist individuals who purchased homes that are simply too expensive for their income levels to sell
their homes. The fund will help offset the costs of selling a home, including by helping low-income
borrowers get additional time and support to pay back any losses from the sale of their home, and
waiving certain state and local income taxes that result from an individual selling their home to
avoid foreclosure.
�� Partner with state governments, community organizations and loan providers to ensure fair loan
modifications can be made in a timely manner that avoids the need for foreclosure or bankruptcy.

http://www.barackobama.com/pdf/MortgageFactSheet.pdf