Permanent Moratorium on home foreclosure

• Saturday, January 10, 2009, 23:51

Davao City Mayor Rodrigo Duterte is planning to ask the Balikatan Housing Finance Inc. (BHF) for a permanent moratorium on home foreclosure after the holiday is over. This month, his request for moratorium will expire and BHF might start with its foreclosure proceedings for delinquent homeowners. The Mayor, however, admitted that he is helpless with the situation and that only President Arroyo and Congress can solve the foreclosure problem in his locality. He can only requests for extension or maybe, a permanent moratorium, but, he cannot really force them if the mortgage company will do otherwise. The BHF is currently foreclosing more than 6,000 homes of delinquent owners. House Speaker Prospero Nograles said that indeed, the problem with Balikatan is a national issue that could only be settled by the national government. The complexity involves a transaction where a local financial entity has sold non-performing assets of great magnitude to a foreign investor. The House is now investigating BHF and Speaker Nograles has promised to find the solution. In the meantime, he has warned the Balikatan not to keep on with its foreclosures especially in this city.

Source: Pinoy Herald