Mortgage Forgiveness Will Help U.S. Homeowners, Stevens Says

The U.S. government needs to do more to help homeowners stay in their properties, including exploring options for principal forgiveness with mortgages held by Fannie Mae and Freddie Mac, according to David H. Stevens, chief executive officer of the Mortgage Bankers Association.

Principal reductions and programs that lower interest and payment rates, would place “cash flow into the hands of families,” Stevens, a former Federal Housing Administration commissioner, said today in an interview on Bloomberg Television’s “Bottom Line” with Mark Crumpton.