Wednesday, May 30, 2012

Finally, it's mortgage do-over time

A change in the attitude toward mortgage-principal reductions is good for the economy.

This month, Bank of America said it would start reducing mortgage balances by $150,000 on average for up to 200,000 underwater homeowners behind on their payments. The biggest news was the dog that didn't bark. Few pundits or Internet commenters criticized the program as unfair to people who didn't take on more than they could afford. The apparent evolution of public opinion is healthy. It's just too bad that it took so long.


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