Hillary Clinton Statement on the Fall in Home Prices

1/29/2008 -- The respected Case-Shiller Index shows that home prices fell 7.7% in November 2007 from November 2006. The dramatic decline means that families have lost an estimated $1.6 trillion in household wealth.

The loss of household wealth is compromising the financial security of millions of families and it is sending ripples through the economy as consumers cut back their spending. Today’s housing data is further evidence that the state of the union is a state of economic anxiety for too many families.

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The data underscore the need for a solution to the foreclosure crisis that is contributing to the weakness in home prices. Data was also released today showing that 2.2 million foreclosure notices were sent out last year, a 75% increase from 2006. We cannot jumpstart the economy without addressing the foreclosure crisis.

That is why my stimulus plan calls for $30 billion in assistance to states and communities to help them fight foreclosures. I have also called for a 90-day moratorium on subprime foreclosures and a 5-year freeze in rates on subprime adjustable mortgages.

Source: Hillary Clinton campaign