Conservatives: Forget Distressed Homeowners, Let’s Help The Real Estate Industry
Conservatives: Forget Distressed Homeowners, Let’s Help The Real Estate Industry
Yesterday, House Republicans delivered an economic recovery plan to President Barack Obama. Along with the to-be-expected permanent corporate tax cut, the plan includes a $7,500 home-buyers credit, “in order to encourage responsible buyers to enter the market and stabilize [housing] prices.”
As the Center for American Progress’ Andrew Jakabovics noted, this credit has been pushed for by the real estate industry, and “will only save the average buyer the equivalent of a latte a month, which is not likely to incentivize anyone who is not already planning to buy a home.”
To address declining housing prices, the “flood of foreclosures” needs to be halted, but that is not something conservatives are willing to support. Instead, they’d rather craft a gift credit for special interests.
6 Responses to “Conservatives: Forget Distressed Homeowners, Let’s Help The Real Estate Industry”
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That “irrational” rationale of the GOP “recovery plan” only means that they submitted a plan and can now complain that they were not listened to. That may play well in the MSM that supports this, but if those who are really paying attention bring this out, then it will land in the “bull pucky heap”.
What Obama should say to the GOP is YES, it is a great plan…once the economy has started to recovered, but not right now…thanks! Please submit again in 2010 or 2011!
Of course it is backed by realtors, they want to sell houses, but what they are not saying is whether they are marketing SUB-PRIME mortgages, or if they really care about the type of mortgage.
What realtors are not saying is that their income is based on home sales…and 2-4% of anything is better than what they are getting now – 2-4% of nothing.
January 24th, 2009 at 12:48 pmman i wish they would tell me what is going on, becuase there is a big difference between spending and a stimulus, I wish somebody would Gimme $785 Billion
January 24th, 2009 at 1:17 pmOnce again the Republiklan party leaders show that they appear bought and paid for by business and do not represent regular people.
Click on my username to stop the Republican party and their filibusters and take back America.
January 25th, 2009 at 4:40 pmmy house has lost 1/3 of its value. not my fault! just bought it 15 months ago too w/fixed rate. and obama & nearly every economists say things are going to get worse. so im going to lose more than 1/3. why pay on a negative investment? ima retire in 11 years. wont be able to sell it for a profit b/c 4 of those 11 years the market will still be sinking, thanks to wall street wheelers and dealers. so why continue to pay the mortgage note? the banks are going to mark to market & reduce the value of their assets (including my loan), so why shouldn’t i get a reduced principle?
January 25th, 2009 at 8:43 pmmany feel like i do. thats why foreclosures are on the rise. 6 obervable homes on my block right now. to fix the economy, start at the bottom and many problems will be solved.
In all my dealings with Conservatives in my area, I have come to the following conclusion: They have no ability to think things through.
So their latest plan is to give billions in welfare to the Real Estate industry and nothing to those who would try to buy a house.
How is anyone supposed to buy a house when they have nothing? $7500 is invisibly small next to a modest home price of $175,000.
Damn, Republicans are so stupid!
Look at ‘What’sRational’ said, Republicans are fighting hard against re-assessing home values solely because the banks are desperate to claim the full paper value on their books. That’s fake money, it doesn’t actually exist. BUT ‘What’sRational’ is on the hook to pay the bank the full face value, which means the banks are guaranteed that income (as long as people like ‘WhatsRational’ can continue to pay that.
The point I am getting to is that the businesses out there have not figured out that their customers can no longer afford their products. Like the credit card companies jacking rates of perfect credit customers, they assume that the American People have unlimited cash to pay their increased fees.
The banks are so damned greedy that they willingly force homeowners into foreclosure rather than reduce the paper-value of the home. So instead of reducing the paper value of a dozen homes from $350,000 to $250,000 and keeping those homes occupied and paying in their mortgages, they stubbornly retain those imaginary numbers and then get NO mortgage payments when they are foreclosed upon.
I blame Gordon Gecko!
January 26th, 2009 at 12:52 pmThe real estate industry has just figured out how they can rangle a big gimmie. And the Repocons think the Dims are stupid enough to give it to them.
All of each $7500 goes to the MI. So. How many mortgates are there in this country?
n x 7500 = a really big Repocon gimmie ripoff of the tax payer and leaves nothing in the householder’s hands except next month’s payment, which they still can’t afford because of the contorted way mortgage contracts are constructed by the mortgage industry’s lawyers.
I rent, but if the Dims go for this, I’m moving to another planet, cause there ain’t nowhere else on this planet that’s even remotely functional.
January 28th, 2009 at 5:36 pm