"New York has consumer protection safeguards in place that are among the strongest in the nation, designed to provide distressed homeowners with the ability to contest wrongful foreclosures and negotiate fair loan modifications," the New York Mortgage Coalition said in a statement. "According to the Joint Economic Committee of Congress the cost of the average foreclosure in the US is $77,935 - compared to $3,300 to prevent a foreclosure. To penalize New York for focusing on foreclosure prevention rather than foreclosure itself and for putting a priority on home retention over home eviction, seems misguided, unfair, and inconsistent with the mission of Fannie Mae and Freddie Mac. Further, the interests of US taxpayers are best served when total social costs are reduced."
Advocacy groups also cautioned the implementation of the program in states affected by hurricane Sandy. "Since the publication of the proposed rule, communities in Connecticut, New Jersey and New York have suffered historic damage due to Hurricane Sandy," Americans for Financial Reform wrote. "Borrowers who lost or suffered significant damage to their homes are experiencing extreme financial hardships and need to be able to borrow at the lowest market rates available. This proposal would further impede restoration efforts."
--Written by Shanthi Bharatwaj in New York
>To contact the writer of this article, click here: Shanthi Bharatwaj.
>To follow the writer on Twitter, go to http://twitter.com/shavenk.>To submit a news tip, send an email to: email@example.com.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV