THE SOLUTION TO THE PROBLEM IS TO RESET ALL HOME MORTGAGES THROUGH A NEW PROGRAM THAT OFFERS MORTGAGES FOR HOMES THAT WILL BE OWNER OCCUPIED; A 3% FIXED RATE LOAN FOR A 30 YEAR TERM AND OFFER THIS PROGRAM FOR THE NEXT 3 YEARS.
THESE MORTGAGES WILL ALSO APPLY TO NEW HOME PURCHASES WITH MORTGAGES FOR OWNER OCCUPIED MORTGAGES ONLY.
THIS WILL PUT MONEY BACK INTO THE HANDS OF THE CONSUMERS AND BOOST THE ECONOMY.....STABILIZE HOUSING PRICES .....REDUCE EXCESS INVENTORY... BRING PARITY TO THE HOME OWNER VERSUS RENTERS INBALANCE.
RESTARTING THESE MORTGAGES UNDER THIS PROGRAM WILL MAINTAIN THE CURRENT BORROWED AMOUNT BASIS WHICH WILL ALLOW FINANCIAL INSTITUTIOS "REMOVE THEM FROM THE TOXIC LIST".....STOP FORECLOSURES AND CREATE DEMAND.