September 12, 2007 (LPAC) -- A whopping 57% of homeowners could not refinance their Adjustable Rate Mortgages (ARMs) in August, according to a national survey of mortgage brokers by research firm Campbell Communications.

The refinancing, which could have helped the homeowner avoid higher monthly payments, was not possible, either because loan programs have been drastically scaled back or were just no longer available.

Some 5 million more ARMs will reset to higher interest rates in the next 18 months, Lehman Brothers says. Triggering another wave of foreclosures, this adds to the urgency for mobilizing Congress to adopt LaRouche's Homeowners and Bank Protection Act of 2007.

Closings on home purchases also took a hit, as one-third of them were cancelled in August. Loan closings were turned down for 56% of subprime borrowers, while closings were denied to 21% of home buyers with good credit.