Solving the Foreclosure Crisis

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Today there is a big problem in our society, foreclosure. It is something that is slowly working its way up the financial chain. Middle class families are finding themselves in this situation more and more everyday. They think that they will be making enough to pay off mortgage but something comes up. Accidents, identity theft, loss of a job, many things can happen to a person putting them in not only in a bad situation personally but a bad financial situation. Mortgage companies are allowing families to take out mortgages that they may not be able to pay back if something were to happen in their family. There are many different options to consider, but one way to help fix this problem is raising the estimate family income for a mortgage. This would be difficult for some families that are trying to get a more expensive home but it will help them too by avoiding foreclosure. If they were to decide on a cheaper home that would mean a smaller mortgage and less they owe someone else. The sooner a person can get out of debt the better because you never know what is going to happen. Like I mentioned earlier, accidents and identity theft happen all the time and you never know if or when they are going to happen to you. Nothing is worse than being in debt and not having a source of income.

The government has set up programs such as HUD homes for families that are less fortunate than others. The problem is not every eligible family knows of them and utilizes them. The government uses tax money for those who are less fortunate so some of that money should also be set aside for those that find themselves in debt and foreclosure. There is also a tax break for those buying their first home. Also, not everyone understands all of the rules an...

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... find a way out. If it means selling their house and finding a cheaper one, our government should help them do that. We say that we are so fortunate but if we were truly to unite and help one another more, this could be true.

It is not usually the family’s fault that they have found themselves in foreclosure. It is usually by a technicality, a loss of annual income such as loosing a job, or an accident. If a family of three has one source of income, usually the father, and the father is hurt in some way, car accident, cancer, or any other event, that family no longer has that normal income coming in. Now they have bills unpaid and the person who usually brought in the homes money still can not work. These are unfortunate cases but they do happen. That is why it is important that something is done to help those who find they are victims to the foreclosure problem.
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