Bernanke presents housing crisis helpers

In a press conference after the Federal Reserve's two-day policy meeting, Federal Reserve Chairman Ben Bernanke said that both the modifying of loans and the disposing of foreclosures should be happening faster so distressed properties will no longer clog the housing market.

"I would like to see just further efforts first of all to modify loans where appropriate, and where not appropriate, to speed the process of foreclosure," Bernanke said. "Get these homes out of the pipeline and allow people to operate in a market where they are more confident that prices will be stable rather than falling."

Reuters reported Bernanke also acknowledged that a lack of uncertainty about employment and the economic recovery is holding people back from investing in home ownership.

According to NASDAQ, Bernanke said the Federal Reserve's second round of asset purchases lowered overall mortgage rates, but high credit standards continue to prevent many individuals from receiving financing.

A CoreLogic study found pending inventory of residential homes declined to 1.7 million in April 2011 from the 1.9 million recorded a year earlier, as fewer delinquent properties entered the market and distressed property sales increased. The report also found, however, that an estimated 2 million homes have underwater loans, which puts them at high risk of entering the pending inventory.  

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