San Jose, California - Dispute having an interest free, $150, 000 30-year mortgage and investing 500 hours in "sweat equity" into their home and that of a neighbors as down payment for their modest town home (condo), Habitat for Humanity announced that it regrets to inform its homeowners that they will begin foreclosing proceedings against them due to the liquidity shortage.
The news comes at quite a shock to all since high profile non-profit organization has build and financed the homes for the working poor homeless families for well over a decade.
"We have to foreclose because the collapse of liquidity has caused a sucking effect much like that of a newly installed toilet makes when you first flush it," said a plumber for Habitat for Humanity.
As the real estate market continues to freefall, said an economist, it is taking everything down with it. Even more sensibly priced modest homes like those built by Habitat for Humanity.
Habitat for Humanity is not gibing up the good fight so easily, and it intends to keep its promise to housing to the homeless. At this very moment, it is implementing its backup emergency plan to continue to provide shelter for their former homeowners.
"Yeah, about that. Well, we managed to save all the cardboard boxes from all the refrigerators, stoves and washing machines they came in, so we're passing those out as shelter," said a spokesperson for Habitat for Humanity, whose offices have been relocated between Hollywood Blvd and Vine in Hollywood, California.
Unfortunately, the former homeowners, though now living in cardboard boxes on the street, must still comply with the original terms of the mortgage contract, as the new bankruptcy and current refinancing laws require that they payback their creditors just the same.