Syndicated columnist Michelle Singletary has a theory on the root cause of what she terms a nationwide “forclosure fiasco” — that treating mortgages as the equivalent of trading cards led lenders astray from the fundamental values of home ownership.
Singeltary’s remedy? S-L-O-W D-O-W-N.
She says “Fair would be to slow down. Fair would be to hire even more people, as many as it takes, to spend a fair amount of time reviewing the cases of people in mortgage trouble. Fair would be carefully examining every single sheet of paper in foreclosure files.
There is no easy solution except to give up on mass production of both home mortgages and foreclosures.”
Of course the ultimate brake on the race to foreclosure is found in the bankruptcy code — an automatic stay that halts the foreclosure process in its tracks. Not every homeowner needs that type of emergency protection, but when you do need it, it’s nice to know that there is at least one set of laws that are fair to individual consumers.
By Doug Beaton