Is reducing total home loan payments by $2000 per year REALLY that big a helping hand?

[bertman]

That's $167 per month, which still doesn't seem like much if you're struggling due to unemployment, medical bills, etc.

I'd love to hear how DU'ers assess this part of the stimulus package.

[havocmom]

1. for many people, that is a chunk o change

[blm]

10. yep - 1 or 2 weeks worth of groceries depending on family size. That will DEFINITELY matter.

Or a power bill. 167 bucks a month is nothing to sneeze at for most working class folks.

[Warpy]

11. Exactly, you can feed a family of 4 on that much money

although you won't feed them well. Add it to an inadequate food budget and it suddenly becomes an adequate food budget.

A forty dollar a week windfall is significant to most working families in this country. They will make good use of it.

[havocmom]

14. It is terrible that the disparity of wealth makes it so hard for so many to grasp the facts

Really teetering on the edge of feudalism.

[Fresh_Start]

2. its more than they're getting right now

and its not the totality of the aid from the stimulus.

[livetohike]

3. For families that is a good savings - it's $167 more than

they would have otherwise - $40.00/wk for groceries or bill payments. So yes, I think it's a big deal.

[Veritas_et_Aequitas]

4. It doesn't seem like a lot, but it can go a far way.

For example, that much would cover my month's medicine without insurance with enough left over to pay for my car insurance.

[rateyes]

5. If a person took that $167.00 savings and applied it each

month to the principal of the mortgage, they could pay down a 30 year mortgage in half the time, thus saving, in the long run, more than $100,000.00. Yeah, it's a big deal.

[Robb]

8. Ding ding!

We have a winner. :thumbsup:

[AyanEva]

6. That's a pretty hefty amount for me.

I wish I had an extra $167. That would pay off a bill or two or buy some groceries.

[aikoaiko]

7. Thats 30 rice and bean dinners for a family of 4.

[LynneSin]

9. HELL YES!!!

OMG that would be an amazing help for me - an extra $167 a month could help catch up on some bills or pay off some debt.

[Winterblues]

12. Add the $13. a week in tax saving from your withdrawal tax

In some places $220. a month is worth something..

[lumberjack_jeff]

13. It's a little over half of my property taxes. n/t

[pnutbutr]

18. I wish

I'll trade you property tax payments. :hi:

[lumberjack_jeff]

36. Does it represent 16% of your income? n/t

[pnutbutr]

15. an extra $167 per month

would be freekin awesome. That's about half my family monthly grocery budget. Or saved up over 12 months we have ourselves a very much needed family vacation.

[AlCzervik]

16. that would almost cover my car insurance every month.

[guitar man]

17. beats a poke in the eye with a sharp stick nt

[fed_up_mother]

19. That money will definitely make a difference for the better in many budgets

but I'm not sure how many folks will be able to stay in their homes based on that amount alone.

[CrispyQ]

20. It's about a dollar an hour. (40 hour work week)

Tons of people would be thrilled to get a dollar an hour raise.

My husband's company had an austerity meeting & told the employees that the top pay raise will be 2%, but warned that many won't get even that.

[we can do it]

21. So What Do You Want? Just Forgive the Loan & Give Everybody a Free House?

[shraby]

22. Is that for all mortgages or just the ones in trouble? n/t

[OPERATIONMINDCRIME]

23. How Much More Do You Want? Should Everyone Live Rent Free?

Some people are just never satisfied with friggin anything...

[TBF]

24. Actually I would like to see everyone guaranteed shelter. That people

are homeless bothers me a great deal.

[OPERATIONMINDCRIME]

25. Yes Yes, And World Peace Too And An End To Disease.

What are you, running for a beauty pageant?

Wasn't really the point of my reply in context to the OP.

[TBF]

31. Your point that some should live better than others? Oh I have no doubt

you feel that way.

[OPERATIONMINDCRIME]

32. You're Just Way Out There Aren'tcha.

Just go on makin up stuff that ain't there kid. Makes ya look quite silly. :hi:

[TBF]

33. I'm not your (nor anyone's) son, but whatever. If I'm so off-base

why don't you clarify what you mean?

[Earth_First]

26. I'll take yours if you don't mind...

I'll apply it with mine as an extra payment to the principal on my mortgage and we'll see who pays theirs off first.

Deal?

Ready. Set. GO!

[Coyote_Bandit]

27. Every homeowner

should receive either an annual mortgage reduction or, if they own their home outright, a single cash payment of $2000. Every homeowner has been negatively impacted by the housing meltdown.

[BlooInBloo]

28. (facepalm)

[Blue_In_AK]

29. I'd take it,

but my mortgage is already quite manageable since I bought my house back in the last real estate downturn in Anchorage in 1990, so someone else can have my $167.

[TheKentuckian]

30. Wow!!! I can't imagine even asking this question

$167 a month is a meaningful discount for many, if not most of us.

[radfringe]

34. will help here - my partner lost her job about a 1/2 hour ago

next week she would have had full benefits, including health insurance.

[bertman]

35. Thanks for all of the replies and the commentary on how valuable this is for those who

are in dire straits.

I wasn't sure from President Obama's statement if $2000 is the max or if it is the amount every needy homeowner will get. For some reason, I was thinking it was based on an interest rate reduction that would total $2000 per mortgage. Does anyone know how this works.