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In the third quarter of 2007, American homes entered foreclosure at a record pace, according to the Mortgage Bankers Association. Since then home prices have continued to fall, and now online realtor service Zillow is reporting that more than 30 percent of U.S. homeowners who bought in the last two years owe more on their mortgage than their house is currently worth. Things are likely to get worse with about 1.5 million mortgages due to reset at higher mortgage rates this year and another half million next year. Housing and Urban Development Secretary Alphonso Jackson: SOUNDBITE: Housing and Urban Development Secretary Alphonso Jackson, saying (English): "The people who need us are our friends and neighbors. They are the people we work with and the people we share our lives with. Their home are usually their most important asset." On Tuesday representatives from the private and public sector unveiled a plan to help some of the people on the brink of losing their homes. SOUNDBITE: Treasury Secretary Henry Paulson, saying (English): "Today six of the largest mortgage services that represent 50 percent of the mortgage market are announcing Project Lifeline, a targeted outreach to homeowners 90 days or more in delinquency that may lead to a pause in the foreclosure process." The six top mortgage companies - including Citigroup, Bank of America, and JP Morgan Chase - have launched the program - called Project Lifeline - to delay foreclosure for those that qualify in the hopes that more affordable loan terms can be worked out. The effort would cover all types of home loans, unlike an earlier plan aimed at freezing interest rates on some subprime mortgage loans. The lenders said they would use the program to reach out to delinquent homeowners to keep them from losing their homes. Andrew Jakabovics of the Center for American Progress. SOUNDBITE: Andrew Jakabovics of the Center for American Progress, saying (English): "On paper it sounds great. Although in practice it is the case that people may or may not qualify, which they may or may not offer loan modification, so in a sense this is not really stepping beyond what they are authorized to do or are willing to do." Homeowners who are already in active bankruptcy or face a foreclosure sale in less than 30 days will not qualify for a pause, nor will vacant homes and investment properties. Deborah Lutterbeck, Reuters