Reyes, R-Saipan, said his bill will assist borrowers in these difficult financial times.
He will ask CDA and NMHC to submit documentations on the status of foreclosed properties so that the government can come up with specific details on how to help delinquent borrowers.
“This is the time we need to assist our people — borrowers and homeowners,” he said. “Everybody is faced with a difficult financial situation and putting a moratorium on foreclosures will greatly help them.”
Reyes said CNMI lawmakers, like their counterparts in the states, should also look how the “American dream of having a home” can be realized in the commonwealth.
Reyes said moratorium may be lifted after a year or as soon as the economy improves.
He believes that the moratorium will also help CDA because of the present “low value” of lands and properties. “Given the present economic condition, if you foreclose the property now and the value is only $50 [per square meter] instead of $100, both CDA and the landowners stand to lose,” he said.
According to Reyes, his committee will invite CDA and NMHC to make a presentation on the current status of their loan and housing programs.
Over 60 percent of CNMI homeowners are delinquent in their loan payments.
