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Federal Sale of Troubled Mortgages Draws Criticism

Community advocacy groups are giving mixed grades to a federal housing agency initiative that has resulted in the sale of nearly 100,000 distressed mortgages to mainly private investors, especially when it comes to keeping borrowers in their homes.

The Center for American Progress, in a report issued Friday, says the Housing and Urban Development Department needs to give nonprofit organizations a better chance of competing with investment firms in the bidding to buy the delinquent loans.

via Federal Sale of Troubled Mortgages Draws Criticism From Community Groups – NYTimes.com.

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