"In just the last six months, about 800,000 homeowners have entered foreclosure"

Posted on Mon, Dec. 31, 2007

MORTGAGES OF MASS DESTRUCTION

FORECLOSURE CRISIS IS FAR FROM BEING FIXED

TOO MANY FAMILIES in this country have been celebrating the holiday season under a shadow of dread -the prospect of losing their homes.

The national mortgage meltdown, fueled by an explosion of risky subprime mortgages, is in full swing. In just the last six months, about 800,000 homeowners have entered foreclosure.

That's right: 800,000 people who have or are about to lose their homes, with millions more estimated over the next few years as adjustable-rate mortgages continue to reset to much higher, unaffordable levels.

That number is hard to comprehend.

Maybe that explains why President Bush, Congress and the Fed have yet to react with the proper degree of urgency. Maybe they are still trying to grasp what those numbers mean.

Although they have taken action recently to help some homeowners from losing their homes, that action will have about as much impact as washing the windows would keep a house from falling down.

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