House Majority Leader Eric Cantor (R-VA) today issued the following statement on the passage of the Home Affordable Modification Program (HAMP) Termination Act:
“Today, the House voted to put an end to the ineffective Home Affordable Modification Program that will prevent nearly $30 billion in TARP funds from being spent. This ill-conceived program failed to meet expectations and was one of the Obama Administration’s attempts to fix the weakened housing market by throwing taxpayer dollars at faulty mortgages, which ignores the root cause of the problem. However, of the $30 billion allocated, only a small portion has been used, providing sub-par services resulting in a high rate of re-default. By all accounts, including experts within the Administration, this failed program costs taxpayers too much money and is actually doing more harm than good to the homeowners it aims to help.
“The real solution for Americans facing foreclosure is to get our economy moving and foster an environment where jobs are created and the private sector is lending again. House Republicans are committed to growing the economy, stop spending money we don’t have, and root out wasteful government spending – and ending HAMP achieves all three purposes. I thank Chairman Bachus and Congressman McHenry for their hard work on this important bill.”