Center for American Progress

Extend and Broaden the Mortgage Debt Relief Act Now

Extend and Broaden the Mortgage Debt Relief Act Now

We are at risk of taxing troubled homeowners at a time when they can least afford it.

Last month, the federal conservator of Fannie Mae and Freddie Mac issued significant new policies streamlining the process for short sales, through which underwater borrowers can sell their home for less than what they owe on their mortgages.

Industry experts and economists agree that more short sales are critical to our housing recovery.  They help avoid lengthy and costly foreclosure processes, prevent vacancies, preserve local home values, and provide much-needed mobility for struggling homeowners who wish to move.

The above excerpt was originally published in American Banker. Click here to view the full article.

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Julia Gordon

Senior Director, Housing and Consumer Finance