Oppenheim Law Argues for “Meaningful Principal Reduction” in The Miami Herald
In case you didn’t hear, the Obama administration announced changes for requirements of paperwork and documents regarding the Making Home Affordable on Thursday, hoping to improve the success rate and communication between homeowners and lenders.
While this bureaucratic decision may indeed help a few more modifications squeeze through the banks clenching hands, ultimately, the change that is needed for South Florida homeowners requires substantial principal reduction on underwater mortgages.
Oppenheim Law has been arguing for over a year that there are too many mortgages valued greater than the actual market worth in South Florida, and merely lowering interest rates and extending the life of loans will not do enough to solve the Florida foreclosure problem.
To read my thoughts on the latest Home Affordable Modification Program changes, check out the entire Miami Herald article, “Home-loan aid altered” in the Oppenheim Law News Room.
From the trenches,