Looks like the City of Seattle is getting in on some of the home “owner” bailout action.
The City of Seattle is offering a helping hand to homeowners facing foreclosure.
The pilot program would offer $5,000 loans to 40 families.
Wow, $5,000, huh? That will let some overstretched buyer keep making their adjusted-ARM payments for about… six months. After which, they’ll either need to find another sucker to front a loan, or they’ll end up in foreclosure anyway. Or maybe they’ll just take the $5,000 and get in touch with You Walk Away. Cha-ching.
“When a home forecloses on a block, within hours the value of the homes on that block are reduced by $5,000 each,” said Mayor Greg Nickels.
Oh, goodness. We wouldn’t want the value of other homes to go down. That would be terrible, just terrible. It might even lead to… actual, affordable housing! We can’t have that. Gotta have people relying on the government to get them into “affordable” housing.
(Lori Matsukawa, King5, 01.30.2008)