Federal Housing Help Falls Short The Housing and strongEconomicstrong.pdfVIP

Loyola Consumer Law R eview Volume 21 | Issue 2 Article 6 2008 Federal Housing Help Falls Short : The Housing and Economic Recovery Act of 2008 Evan Page Follow this and additional works at : http://law commons.luc. du/lclr Part of th Consum r Prot ction Law Commons R comm nd d Citation Evan Pag Federal Housing Help Falls Short: The Housing a nd Economic Recovery Ac t of 2008, 21 Loy. Consum r L. R v. 249 (2008). Available at : http://law commons.luc. du/lclr/vol21/iss2/6 This Stud nt Article is brought to you for fr e and op n acc ss by LAW eCommons. It has b n acc pt d for inclusion in Loyola Consum r Law R vi w by an authoriz d administrator of LAW eCommons. For more information, pl ase contact law-library@luc. du. FEDERAL HOUSING HELP FALLS SHORT: THE HOUSING AND ECONOMIC RECOVERY ACT OF 2008 Evan Page* INTRODUCTION T he impact of the subprime mortgage foreclosure crisis on homeowners is, to put it simply, staggering.1 In July alone, banks took back 77,295 homes.2 Projections indicate that almost 2.2 million subprime foreclosures will occur primarily late in 20o8 through the end of 2oo9.1 The spillover impact of such foreclosure rates will result in 40.6 million homes suffering price declines at a value 4 of 352 billion dollars. Nationally this averages out to over eight thousand dollars in the decrease in home value per unit, while in Illinois the average exceeds ten-thousand.5 As a result of this current subprime mortgage crisis, Congress has taken a number of affirmative steps to help out homebuyers.