Foreclosure concerns draw the ire of House members unhappy with lack of progress

The House Committee on Financial Services Subcommittee on Housing and Community Opportunity held a hearing concerning foreclosure prevention and sound mortgage servicing.

The committee interrogated a panel of governmental housing program leaders including Laura Maggiano, Deputy Director of the Office of Single Family Asset Management at the Department of Housing and Urban Development (HUD). Maggiano defended HUD’s assistance to families unable to finance their homes amid strong criticism from each congressional representative at the hearing, particularly Chairwoman Maxine Waters (D-CA).

Rep. Emmanuel Cleaver (D-MO) told the panel that with our country experiencing “approximately 20,000 foreclosures a week” that we have“more than a casual problem”.

Maggiano’s defense emphasized that her department was trying hard to both help keep borrowers informed about the housing contracts they were agreeing to pay, and ensuring loaners that could receive the money they distribute.

Also, Judy Caden, answering questions on behalf of the US Department of Veterans Affairs (VA), argued in her defense that not all foreclosures were the result of bad loans being distributed.