The two presidential candidates Senator John McCain and Senator Barack Obama both agree that the current foreclosure crisis demands an immediate fix; but they disagree on exactly what is the right plan of action to stem the tide of foreclosures.

McCain proposes that homeowners facing rapidly declining house values and possible foreclosure could apply for a government-backed FHA loan; but only if they can prove their creditworthiness. The new loan would be for the current value of their home, forgiving any negative equity.

Obama also proposes mortgage restructuring designed to prevent foreclosure , but says that the Housing and Urban Development group should work with current lenders. He proposes a 90-day foreclosure moratorium and $25 billion in aid to states and cities in order to avoid property tax increases which could exasperate the foreclosure crisis.  He would also change the bankruptcy code to allow judges to restructure primary home loans and reduce the risk of future foreclosure.

Whoever your candidate may be, we can all agree that something needs to be done to help homeowners avoid foreclosure. Both plans thankfully address homeowner needs. McCain’s negative equity forgiveness and Obama’s 90 day moratorium on foreclosures is something homeowners need today not tomorrow.