HUD: FHA Could Aid 240K Facing Resets

The Department of Housing and Urban Development estimates that the Federal Housing Administration could help about 240,000 homeowners facing resets on their adjustable-rate mortgages avoid foreclosure."Of the 2 million loans expected to reset by the end of 2008, we estimate about 500,000 will actually foreclose," HUD Secretary Alphonso Jackson told the House Financial Services Committee. "Through FHA, we estimate that we can help about half those homeowners." The secretary noted that HUD can help these homeowners under its new FHASecure refinancing program. However, the FHA could help even more struggling homeowners if Congress passes FHA reform legislation, he said. HUD can be found on the Web at http://www.hud.gov.