Crist praised Alex Sanchez, president of the Florida Bankers Association, and Aletta Shutes of the Florida Credit Union League, for agreeing to give struggling homeowners a break through the holidays. He also announced where further federal money would go to help local governments buy abandoned properties and redevelop neighborhoods.
"Florida has the third-highest foreclosure rate in the nation. More than 166,000 households were impacted by foreclosure activities last month alone," Crist said. "We know that many families and homeowners are struggling."
Pounding his lectern, Crist stressed that the moratorium does not mean people can just skip their house payments or that investors can escape from commercial contracts. The governor said the 45-day break is not retroactive and applies only to occupied homesteads, not investment properties.
"This is to help people who really need help," Crist said. "This is not for somebody who went and bought a bunch of condos in South Florida in the spec market."
Sanchez urged homeowners to contact their bankers immediately if they are having financial difficulties. He said lenders don't want to throw people out of their homes, and if there is no mortgage fraud — a point he emphasized — banks will try to work out repayment arrangements.
"This is a reaffirmation of what our practice is in the banking industry in the state of Florida," Sanchez said of the 45-day breather. He praised Crist for "compassionate leadership and his reminder of what's really important."
Democrats scoffed at the agreement, saying it would do nothing for homeowners who lose their jobs or have fallen far behind in their house payments. State Democratic Party spokesman Eric Jotkoff said Crist "is only offering tone-deaf optimism and more of the same failed policies that left the Sunshine State in recession for the first time in 16 years and an average of 1,750 Floridians receiving foreclosure notices every day."
State Rep. Scott Randolph, D-Orlando, gave Crist credit for getting the lenders "to the table," but said the governor should issue a list of banks participating in the moratorium. He said "45 days is not a long enough moratorium. It doesn't include those families already in foreclosures and (Monday's) press conference left Floridians wondering if their bank is even included in the offer."
source: FloridaTrend.com
link to the original post:
http://floridatrend.com/article.asp?aID=50189
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