Conyers Mortgage Relief Measure Passes House

WASHINGTON (DC) – House Judiciary Committee Chairman John Conyers, Jr. (D-Mich.) applauded the passage of H.R. 1106, the Helping Families Save Their Homes Act.  This bill extends the application of mortgage modifications in Chapter 13 bankruptcy so that a judge can modify the loan terms for a family’s home in Chapter 13 payment plans the same way that is currently available for vacation homes, yachts, airplanes and other investment properties.

"Today the House took an important step toward ending the downward spiral of foreclosure that has engulfed communities across the country," said Conyers. "The bill we have passed will help keep families in their homes, and out of foreclosure, by giving those whose home mortgage is in distress a better opportunity to come to agreement with their lender on realistic and workable payment terms. 

"It is only fair that we offer average families the same alternative to foreclosure that has been available under the law for many years to owners of vacation homes, investment properties, private jets, and luxury yachts. Unlike the hundreds of billions we have spent in recent months to bail out Wall Street banks, the mortgage modification provision in this legislation comes at no taxpayer expense.  And while some mortgage lenders will not get every penny now owed to them on the mortgage paper they hold, on balance they are going to get a lot more than if these families have no other choice than to fall into foreclosure.

"The passage of this bill will give families a fighting chance to keep their homes and will help stem the foreclosure crisis, revive our country’s housing market, and stabilize our economy."