The Baumgarten Report

DETROIT – The battle cry among those who opposed the Wall Street bail out has been, “what about us?”

Many opponents to the bailout want to know why the government is helping the fat cats that got us into this fiscal mess but doing nothing for the people who are the victims, whose homes are being foreclosed at record numbers.

One government entity, however, is doing something about it.

Wayne County Michigan is intervening on behalf of homeowners who face foreclosure.

The plan, outlined on News Talk Online on Paltalk.com by County Executive Robert Ficano, is now, he says, being looked at by other regional and local governments across the nation.

Financial counselors are being provided for those in Wayne County facing foreclosure. The counselors try to negotiate a new mortgage payment plan that keeps the person in his or her house. If that is unsuccessful, they try to find the person more modest accommodations.

And, says Ficano, if the worse occurs, they help them move out with dignity, rather than having to face the embarrassment of bailiffs forcing them out of their homes and tossing all their worldly belongings on the curb.

I know of no other government that’s this proactive in helping citizens in its jurisdiction. Hopefully Ficano’s plan does help people who’ve received foreclosure notices. And hopefully the other governments studying his program follow his lead.

Costa

DETROIT – Chuck Costa is known as the guy who once owned the most inner city residential units in Detroit. He went belly up in the 70s when the government ended direct vendor payments to landlords. But diversified and recovered.

As the former head of Detroit’s landlord association, he has seen economic declines in Detroit in general and a housing market that has gone south. But never, he says, as bad as it is today.

Worse now, he says, because of the downturn in the automotive industry. Costa was my guest today on News Talk Online on Paltalk.com.

Costa says there is, however, a silver lining. Housing prices are so low, he says, that investors can pick up residential properties for a song, and make money.

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Photo credit: Gary Baumgarten

Ficano

DETROIT – The entire nation is suffering an economic downturn, but no area of the country is more heavily affected than southeastern Michigan.