http://www.cnbc.com/id/29838780 Video http://www.cnbc.com/id/15840232?video=1069148633&play=1 Is this plan a major step in turning things around? The stock market seems to think so. What about long term though? What other steps are next after this?
No this will not fix the problem. It is a start but very, very weak. The numbers need to be much larger to take away more of the banks good assets. these number need to be around 50%, not 7%...that is ridiculous. No assets, no profit!!!!!! No profit means you have to start re loaning money. This is only part of the problem. The foreclosures must be stopped. We cannot keep flooding the market and out neighborhoods with houses that are going to kill our property values. If we can't sell what we got then were not going to buy anything new which is going to further ****** the rebound in the housing market. Additionally the appraisal system needs a long , long overdue revamp. Kind of hard to sell your house when there are 2 or 3 recent foreclosures in your neighborhood that the bank has got rid of for 50 cents on the dollar and those are used as your new comps to determine the value of your home. No bank will let someone buy a $250,000 home, when the appraiser says it's only worth 150 because of the recent foreclosure's in the neighborhood.................. and so the cycle repeats
