News
Economics, Industry NewsState of the Union: Obama urges aiding struggling housing market
In the annual State of the Union address on Tuesday evening, President Barack Obama’s vow to help struggling homeowners refinance their mortgages and improve the housing market offered glimmers of hope for the real estate industry.
Obama proposed a new program to help Americans hold onto their homes and allow them to refinance their mortgages at historically lower interest rates. He offered few details on the plan but estimated savings of about $3,000 a year for average borrowers.
“While government can’t fix the problem on its own, responsible homeowners shouldn’t have to sit and wait for the housing market to hit bottom to get some relief,” he told the gathering of attendees including lawmakers, government leaders and invited guests.
“That’s why I’m sending this Congress a plan that gives every responsible homeowner the chance to save about $3,000 a year in their mortgage, by refinancing at historically low interest rates. No more runaround from the banks. A small fee on the largest financial institutions will ensure that it won’t add to the deficit and will give banks that were rescued by taxpayers a chance to repay a deficit of trust,” he added.
As the housing crisis takes center stage in the campaign, Obama also referenced the challenges businesses face in a difficult economy.
“An economy built to last is one where we encourage the talent and ingenuity of every person in this country,” he said. “It means we should support everyone who’s willing to work and every risk-taker and entrepreneur who aspires to become the next Steve Jobs.”
The center of Obama’s address focused on improving the economy and restoring the American dream. He spoke of restoring basic goals such as owning a home, earning enough money to raise a family and putting money away for retirement.
He followed up Tuesday night’s address with a three-day tour of five states ending today in Michigan. Polling shows Americans are divided about Obama’s overall job performance but unsatisfied with his handling of the economy. His speech Tuesday comes just a few days before the Florida Republican primary that could help set the path for the rest of the race.
|
Diana Dietz is the Multimedia Journalist at the PA Association of Realtors(R). |
Related posts:
Print This Article
This administration has been a failure to the real estate industry and has no concept how the free market works.We would be better off if they would stay on the sidelines and watch
Politics as usual, especially from this Pres; words of hope followed with no details at all. His league of followers will drink the Kool-Aid and wish ill upon the terrible big business; the very same big business Nobama wants to pay the tab for his plans
“A small fee on the largest financial institutions will ensure that it won’t add to the deficit and will give banks that were rescued by taxpayers a chance to repay a deficit of trust…”
Aside from the fact that this is an unfair socialist policy, these large financial institutions will find some way to pass this fee onto the consumer.
Actions speak louder than words. Federal fiscal policy re: FHA financing runs counter to his words…again…and again…
He also is in the process of lowing the closing assistance that the seller can assist the buyer with costs, for FHA loans. This will lower the amount of people that will be able to get into a home.