ASSEMBLYMEMBER TED LIEU
53RD ASSEMBLY DISTRICT
For Immediate Release: April 15, 2008
Contact: Ashlie Simpson
Phone: (916) 319-2053

Bush And Schwarzenegger Mortgage Plans Failing

Assemblyman Ted Lieu (D-Torrance) issued the following response to a recent study released by RealtyTrac showing a further increase in foreclosure activity during the month of March in California:

“Once again, California leads the nation in terms of foreclosure filings.  According to a report released by RealtyTrac this morning, foreclosure filings were reported on 64,711 California properties in March, the most of any state for the 15th consecutive month.  California foreclosure activity increased almost 106 percent from March 2007.

These dismal numbers demonstrate what many have known to be true for quite some time:  the weak and purely voluntary efforts of the Bush and Schwarzenegger Administrations to address the mortgage crisis have failed miserably.  President Bush’s Hope Now voluntary plan has a nice sounding name but has had virtually zero effect in stemming the record tide of foreclosures.  Governor Schwarzenegger’s mini-Hope Now plan has not done any better since a fraction of zero is, well, zero.   

It is time Governor Schwarzenegger endorsed the strong package of Democratic mortgage reforms bills being advanced by the California State Legislature.  What we need now are real reforms, not feeble voluntary efforts that look good in press conferences but have little real impact.  We must do all we can to help existing homeowners in trouble and to ensure that a crisis of this magnitude never happens again in California.”