On October 24th, 2011 President Obama announced a new plan to help homeowners who owe more on their mortgage than their house is worth. The President announced his plan while visiting us here in Las Vegas, which is the “most fun city in the world” and “foreclosure capital” of the world at the same time. The plan would help owners of these so-called “underwater mortgages” through a combination of various techniques:
Together, Fannie Mae, Freddie Mac and FHA own about half of the REO properties across the country. The Obama Administration is soliciting comments in order to determine a method to convert these government agency-owned properties into affordable rentals.