re: #112 davinvalkri
Well you can certainly bet that Obama is gonna blame Bush for this.
But sometimes facts get in the way of the Obama’s message: The Community Reinvestment Act, as revised by Clinton and The Dems, punished banks for not making mortgage loans to people with no credit history or a bad credit history. Thus was created the SubPrime Mortgage.
Wall Street Investment “Banks” like Lehman, Goldman Sachs and Merrill Lynch saw an opportunity - buy Billions of dollars worth of these SubPrime Mortages, put them in a pool and then issue bonds at low rates because those bonds were “securitized” by those pools of mortgages. Then Fannie and Freddie got into the act with reducing “normal” requirements for down payments and a lot of folks were buying houses with 100% financing - no equity in the home that they purchased at all.
Then, either because of the buyer’s greed (I HAVE to have a 3,000 sq ft. house and I HAVE to have granite countertops and I HAVE to have all stainless steel appliances) or Seller’s greed (I want to make every penny I can off this house when I sell it) and the mortgage brokers and the realestate brokers actually helping people to buy and finance houses when those brokers KNEW that the buyers’ wouldn’t be able to afford the mortgage, real estate taxes, utilities FOOD and all, without MAJOR changes in their lifestyles and now WE’RE stuck paying off their mortgages as well as our own.
If Republicans can EVER get their message out over the MSM cover that Obama has, folks will realize what’s happened here.
And then Buyer’s (or Voters) Remorse will set in.