While this may help individual mortgage borrowers who fell behind due to personal circumstances, the larger part of the problem is coming from the fact thatr homes have declined in value and will continue to do so. handing someone 10,000 who is underwater in their mortgage by 50k will not solve the problem but will simply kick it down the road a few months.
It will also completely screw renters and people who chose not to buy on terrible terms.

For the record, I don’t reckon the current bailout will solve any problems either. The government can’t fix the problem by throwing money at it, no matter who the money is thrown at.

Losses need to be taken. IMO, they are better taken by the peole who have been profiting from the risks for the past 5 years, rather then the common person who hasn’t even seen an increase in average wages in that same time span. This nothing more then crony capitalism where taxpayer wealth is shifted to large well connected private parties. Disgusting.