In response to:

Investors Reject Obama Mortgage Bailout Proposal

amackent Wrote: Dec 31, 2012 11:35 AM

I'm sorry, but why pay off the conventionally lenders for 5 years? If the Feds want to write standards that would allow people in this situation to refinance with the Feds guaranteeing these peoples mortgages that's bad, but understandable, but why would they have to pay off the conventional lenders for 5 years? Unless there's some kind of pre-payment penalty, why would the current lenders need to be paid anything? Are they yet again funneling big money to the wall street bankers?

Join the Debate!

All comments and users are subject to Townhall's new comments policy.

Read Full Story

Investors Reject Obama Mortgage Bailout Proposal

A long-rumored plan for the Obama Administration to facilitate federal purchases of underwater mortgages has begun taking shape, and a familiar story has emerged: investors and markets aren't fans of the idea.

The Wall Street Journal originally reported on the plan to expand mortgage relief even in the wake of what looks to be positive economic trends in the housing market. The mortgage relief program expansion would allow borrowers who aren't covered by Fannie Mae or Freddie Mac to participate.

CNBC reports: