A Lil’ Somethin’ Extra

This may seem like a good thing and our legislators can have that “feel-good” feeling and pat themselves on the back for “doing something”. But, in the long run, they are stalling the inevitable and it’s going to hurt worse then than it will if they let the chips fall where they may right now.

Now people who have no trouble paying their current mortgages and those of us who have avoided paying mortgages will be forced to fit the bill for those who were unfortunate enough to end up with a shitty mortgage.

I’m all for helping out my fellow man, but this ain’t the way to do it and it never should have been encouraged in the first place. Let these mortgage companies feel the pain and suffering of those they suckered. The rest of us who made smart decisions should not be forced to pay for those who weren’t as smart.

From Reason Magazine – Hit & Run: Rescue Me

Now that President George Bush has dropped his veto threat, the gargantuan housing bailout is on the verge of becoming law, pending passage in the Senate. Thus, a housing bubble that has long been artificially inflated by the ever-growing presence of the government (and quasi-government) in the lending market, especially the lower-income segments; will now be artificially re-inflated, especially in the lower-income segments, by a government doubling down on its bad bets. Since Fannie Mae and Freddie Mac already have their federally guaranteed fingers in about half of all U.S. mortgages, what will be their market share at the end of this downturn/re-regulation process? Sixty percent? Eighty?

~ by freespiritdiva on July 24, 2008.