(MintPress)—Homeowners facing foreclosures in key swing states are mobilizing together in an attempt to create a lobby group too loud for President Barack Obama and Republican frontrunner Mitt Romney to ignore, touting a message of responsibility for banks and legislation that would reset mortgages to current market values.
The majority of homeowners who make up the group in the key 17 states are considered ‘underwater,’ meaning they face a mortgage that now far exceeds the actual market cost of their homes. The ‘underwater’ crew has grown to include more than 15.7 million homeowners throughout the nation — and that’s the exact issue the Home Defenders League (HDL) is seeking to change.
HDL is clear in its assertion that the predicament they’re in is not their fault — they blame the banks for inflating salaries on applications and of committing fraud in the process. Now, they see themselves as the ones being punished, falling victim to banking practices and losing their homes, credit and life savings in the process.
“Four years after Wall Street banks drove the housing market off a cliff, we have been left to pick up the pieces,” HDL states on its website. “We are wrestling with servicers that file fraudulent paperwork and don’t return our phone calls.”
While many involved in the movement have been fighting foreclosure battles for years, they’re now coming together to actively campaign for a change in the entire system, not just their own case. In a three-day campaign, which began May 31, the group is expected to break out of the woodwork, holding rallies, house parties and making cold calls for support. They’ll also be taking to the streets, going door-to-door to talk about their cause in an attempt to grow the organization and gain bipartisan support.
In addition to actively campaigning, HDL plans to register homeowners to vote in the upcoming November election and evaluate politicians’ stances on the housing crisis, determining who, in its opinion, is siding with Wall Street banks.
“The same Wall Street banks that crashed the economy continue to overcharge Americans on their mortgages and too many politicians have refused to stand up to them,” California homeowner Rose Gudiel said in an HDL press release.
On its website, HDL gives two primary examples of individuals impacted by the foreclosure crisis — and their success stories, including Gudiel and Bobby Hull of Minnesota. Activist groups worked collectively to lobby the banks into loan modification programs, saving both homeowners from eviction.
Hull purchased his home in the early 1970s — after decades of paying his mortgage, he fell ill, suffering three heart attacks and losing his business. As a result, he fell behind on payments to Bank of America. After essentially giving up, Hull was approached by a movement known as Occupy Homes, which is quite active in the Minneapolis, Minn. area. With the help of Occupy Homes, Hulls avoided eviction, striking a deal with the bank. Throughout the protest period, Hull’s supporters erected a ‘foreclosure free zone’ fence and hosted a block party. In the end, Hull was able to keep his home.
It’s stories like Hull’s that give HDL hope that such change can occur on a widespread basis, with a little power in numbers.
“For too long, we have had to battle with these banks as individuals, but there is a limit to what we can do on our own against the power of Wall Street,” Gudiel said. “Now we are joining together to strengthen the voices of homeowners. Together, we are calling on candidates for elected office to side with homeowners — not Wall Street — and take bold action so that our neighborhoods have a chance to recover and prosper.”
According to HDL, the collective cost owed on homes throughout the U.S. that exceed market value adds up to $1.2 trillion. The group claims that’s reason enough to believe that resetting mortgages to equal market values will help out homeowners, which would directly benefit the economy.
In a petition to Obama, HDL argues resetting mortgages would relieve underwater homeowners of an average cost of $6,500 each year — a figure they equate to jobs and economic growth.
“We can’t wait,” HDL states in its petition. “Our economy can’t wait.”