About half of all Arizona mortgages are under water, meaning owners owe more than the property is worth. This proposal was aimed at helping those who continue to make payments rather than simply walk away. It is a bit complex, involving the state using its power of eminent domain to acquire the property, paying the bank the current market value with money from investors who buy state bonds, and giving the lender a no-interest promissory note for the balance. That buys the homeowner some time for the market to recover.
LAS VEGAS — For the last year, gardener Juan Romulo was unemployed and stood outside of Las Vegas nurseries, waiting for any kind of day labor work that would come his way. Then, when a landscaping firm hired him in February, he joined the ranks of a growing number of Americans going back to work.
His new job is hard work, and the pay is barely above minimum wage, but for Romulo, it is a relief to have a steady paycheck again to feed his family.