One Bullet Left!

Want to save the housing market from a second dip?

Get a good Short Refinance Program going. I said “a good program”, one that really makes sense. It would work just like a short sale, only you keep the house.

For the last 3 years the attempts have been loan modifications, a program that we knew from the get go was just a foreclosure or a short sale in waiting. The facts now support the re-default rate of 75% on loan modifications. I don’t know if it’s billions or trillions but it’s a total waste.

We need the U.S. Treasury Department to get behind Short Refinancing today. With mortgage rates as low as they are, it could be the one bullet left in the Fed’s arsenal.