Democratic Congresswoman Laura Richardson of California was recently the victim of foreclosure, according to Capital Weekly. She quickly issued a statement “clarifying” the story; she says the house is not in foreclosure and that her loan has now been modified.
Reading her statement, which begins with a non-denial denial, it seems to me she probably moved to “modify” her loan only after this news hit the papers.
I just find the facts hilarious. She managed to get a zero-down mortgage, likely an Option ARM given the Neg Am that’s piled up, in January 2007….just as the housing bubble began bursting.
100% LTV on a $535k house; the report says she now owes $578k in total.
The story would be even MORE ironic if she’d voted in favor of the various House measures to aid “distressed” homeowners. Sadly, no: she claims to have been absent from the House when the crucial votes were taking place.