How a Green Party Governor would handle foreclosures in Ohio

[sfc_oliver]

So people who either don't or can't pay their mortgage should be able to pay the rent? Some how I don't think this will work. It's people living beyond their means that is part of the problem already. And I would hope that any intelligent lender would provide upkeep on any properties they own or it's the same as writing them off as a total loss. Not good business I would think.

But then again, I'm no banker.

[irishbobcat]

How a Green Party Governor would handle foreclosures in Ohio

Foreclosures and their impacts on homeowners and communities can be reduced by requiring that lenders and borrowers go through mandatory mediation, by creating a disincentive to foreclosure by requiring banks to pay to properly maintain homes they foreclose on, and by giving foreclosed homeowners the right to rent their homes for some years after foreclosure. Strengthening state enforcement against fraud and other abuses, while giving whistleblower protections to employees at lending institutions, will further help deter predatory and fraudulent practices.
Although record foreclosures are currently wreaking havoc in communities across the nation, the federal response has been weak and has so far failed to stem the rising tide of foreclosures. Many borrowers have little or no contact with their creditor prior to foreclosure, not to mention attempts to modify the mortgage. Mandating foreclosure mediation brings the parties together, which will lower the number of foreclosures without allocating scarce resources. Requiring lenders foreclosing on homes to maintain those properties and giving foreclosed homeowners the right to remain in their homes as renters for a specific amount of time (5-10 years) will keep vacant homes from contributing to blight, and help prevent homeowners from having their families' lives disrupted. By cracking down on illegal practices by predatory lenders, states can stop the exploitation of moderate- and low-income communities.
Average Americans are absolutely incensed about what appears to be a rigged financial system where businesses destroy jobs and wealth, only to be rewarded with government bailouts. Additionally, homeowners who thought themselves financially secure are now vulnerable in a way most never even contemplated. State leaders have a political opening to take strong action to address these concerns. Indeed much of the voter discontent that has recently been recorded is the result of anxiety from economic problems, and voters should respond favorably to actions that are low cost, but effective in reducing foreclosures and bankruptcies. The current economic turmoil has also sparked a significant increase in populist sentiment, which continues to grow as major bad actors in the financial industry swing quickly to profitability and reinstate obscene pay structures. A direct push against these institutions by empowering their workers through whistleblower protections will bring predatory practices to light, reinforcing sentiment in favor of reform.