Housing Reform Urged by Attorney Generals

A group of 12 state attorney generals is urging the Obama administration to expand the current Making Home Affordable program.

The officials recommended cutting loan balances in addition to lowering mortgage rates and monthly payments, especially in areas that have been hardest hit by declining home prices.

Additionally, the group wants loan servicers to reform adjustable rate mortgages. Currently, 40 percent of these mortgage loans are delinquent and many are expected to go into foreclosure.