“The failure to stem the foreclosure crisis affects us all. A foreclosure in your neighborhood reduces your property values; multiple foreclosures compound this problem. As a result, the foreclosure crisis is dragging down property values nationwide, and with it, tax bases and local revenues. The real loser if the federal government does not step up its efforts to make the servicers and the banks prevent foreclosures will be the American people, and state governments that will be left to pick up the pieces.
“More and more working class families are losing their homes to foreclosure. With at least another 9 to 11 million foreclosures staring us in the face and Wall Street, banks and their servicers having been feeble in their efforts to stem the tide of foreclosures, Congress should mandate that banks reduce mortgage principals for certain, qualified borrowers whose finances are in stress through no fault of their own. This is the only way to stop foreclosures. As I have said before, regulators, congressional leaders and the White House need to stop talking like they don’t have the power to make this happen. They have more than the bully pulpit; they have tremendous leverage. They should use it.”