Government Foreclosure Help Programs Not Helping Very Many Homeowners

When the government gets involved in a particularThe government's programs over the past few years
segment of the market, it often creates distortion andto stop the foreclosure crisis have all been excellent
waste, as well as providing services that may not beexamples of bad ideas with overly optimistic promises
needed or desired by the target markets. Also, sincethat soon failed. Many of these programs were
there is no incentive to maximize returns or keepdesigned to assist borrowers in negotiating with their
costs down, the programs can cost far more than thelenders for loan modification plans or other solutions.
benefits they bring to one group or another. And worstWhile no homeowner was given the choice to fund
of all, funding such central planning schemes is alwaysthe plans or not, the programs encouraged only
involuntary.voluntary participation by lenders.