DS News Interviews Elyse Cherry on FHFA Principal Reduction Modification Program
Xhevrije West of DS News reached out to BCC and Elyse Cherry to discuss strategies for solving the ongoing housing crisis, specifically related to principal reductions for homeowners with underwater mortgages. In "Assessing the Full Impact of Principal Reduction", West quotes Elyse on the FHFA's recent launch of its Principal Reduction Modification program:
"While we're delighted that the FHFA is doing something, the idea that [this program] is limited to 33,000 loans is just really a drop in the bucket, There are somewhere between four and six million loans in this country that are still underwater... The country has moved on in terms of our focus and interest, but in fact, this crisis continues to play out, particularly in lower-income communities, and I would like to see the FHFA be far more aggressive in terms of their approach to principal reduction."