Tuesday, August 6, 2013

Obama urges revival of bubble-era mortgage policies

President Barack Obama today urged a revival of two devastating mortgage policies that helped inflate the real estate bubble before the economic crash of 2008.
“Let’s make it easier for qualified buyers to buy homes they can,” he said in a campaign-style speech in Phoenix, Arizona, today.
“We should simplify overlapping regulations and cut red tape for responsible families who want to get a mortgage, but who keep getting rejected by banks,” he said, echoing President George W. Bush’s support in 2002 for lower lending standards.
Obama, like Bush, also urged greater immigration. Conceding that this totally unrelated item from his laundry list was “something you don’t always hear about when it comes to the housing market,” the president claimed an influx of new and in many cases low-skill immigrants will spur home buying and house prices.
“It’s pretty simple: when more people buy homes, and play by the rules, home values go up for everybody,” he told a cheering audience of local Democratic activists. “The Senate has already passed a bipartisan immigration bill that’s got the support of CEOs, labor, and law enforcement… let’s get this done.”
This time around, Obama insisted, massive government interference in the private real estate market would not produce the catastrophe Americans endured in the last decade.
“I hope everybody here learned some hard lessons from what happened… It was kind of crazy,” Obama told his Phoenix audience. “So what we want to do is something stable and steady,” he said.
Obama’s proposal to stimulate the real estate sector echoes Bush’s call in 2002 to spur home-buying by immigrants and African-Americans.
Via: Daily Caller

Continue Reading....

No comments:

Popular Posts