Mortgage Deal Mocks Responsible Homeowners

The $25 billion deal struck with the nation’s five biggest mortgage servicers is no cause for celebration. At its best, the agreement presents the White House with a politically pleasing sound bite. In announcing the settlement, President Obama promised voters that it would “deliver some measure of justice for families that have already been victims of abusive practices.” Unhappily, that measure of “justice” is offset by the very injustices behind the deal. While homeowners who bought properties within their means and have paid down their mortgages will get nothing from the deal, others who borrowed more than they could afford on overvalued properties, and who stopped making their payments, will get a windfall.